Have you ever wondered the price of renters insurance in Texas? Renters insurance is an essential type of insurance.
It protects your belongings in the event that your rental property is damaged by a common occurrence.
A renters policy covers your belongings in the event of a fire, smoke damage, wind, theft or vandalism, and a variety of other disasters. Renters policies, unlike auto insurance, are not priced specifically by state.
Nonetheless, the cost of renters insurance varies surprisingly widely by state. Renters insurance rates vary depending on the number and cost of renters claims filed in that state, as well as the value of the belongings you’re insuring.
Everything is bigger in Texas, or so the saying goes, and your renters insurance rates may be no exception.
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Renters insurance in Texas is more expensive than the national average, but shopping around can often result in lower rates.
Here are comparisons between companies across the state to find the best cheap renters insurance in Texas to help you narrow down your options.
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What you should know about renters insurance in Texas
Tornadoes and tropical storms are common natural disasters in Texas. If one hits your house, your landlord’s insurance will only cover the structure, not any damage to your belongings.
That’s why it’s critical to understand what’s covered (or not) when looking for Texas renters insurance. According to the Texas Department of State Health Services, flooding is the most common disaster in the state, but it is not covered by standard renters insurance.
If you live in a ground-floor apartment near the beach or another low-lying area, for example, you may want to purchase separate flood insurance. Check that your renters insurance covers wind damage from hurricanes and tropical storms.
Though many standard renters policies cover wind-related claims, if you live in a high-risk area near the coast, such coverage may be specifically excluded. The state-run Texas Windstorm Insurance Association provides wind and hail policies to those who cannot find coverage elsewhere.
Even if you don’t live in a hurricane-prone area, you may want extra wind protection. On average, more than 100 tornadoes strike the state each year.
Wildfires are another common disaster in Texas, and while most renters policies cover fire-related losses, you should make sure you have enough personal property coverage to replace all of your belongings if the worst happens. The calculator below can assist you in determining the value of your possessions.
Factors that influence Texas renters insurance rates
Depending on a variety of factors, you may pay more or less than the average annual premiums listed above.
Your current location
If you live on the Gulf Coast, where hurricanes are common, or in a high-crime area, you may have to pay more for renters insurance.
To your credit
Many insurance companies use a credit-based insurance score, which is similar to a traditional credit score, to determine your likelihood of filing a claim. Renters insurance rates are typically lower for those with better credit.
Your coverage parameters
Renters insurance is typically more expensive if you have more possessions or particularly valuable possessions to cover.
Your tax deductible
Raising your deductible is a simple way to reduce your Texas renters insurance premium, as long as you are confident in your ability to pay it if necessary.
Other regulations
Bundling your renters and auto insurance policies from the same company can often result in a discount.
The cost of Texas renters insurance
“Renters insurance in Texas costs an average of $197 per year, or about $16 per month. This is more than the national average of $168 per year”.
There is a significant price difference between Texas renters insurance companies. Some renters insurance companies have the most expensive renters insurance company, and are more than twice as expensive as Lemonade, the cheapest option.
That means that switching renters insurance providers can save Texans $168 per year. The following is a breakdown of the cost of Texas renters insurance by Insurance companies.
- Lemonade
Lemonade offers the most affordable renters insurance quotes in Texas and has a quick claims process, making it our top recommendation in the Lone Star State. Lemonade also provides Texas renters with an easy-to-use online experience shopping for a policy or filing a claim takes only a few minutes.
According to Lemonade, 30% of claims are handled immediately, which is likely one of the reasons the company received the second-best score on J.D. Power’s annual customer satisfaction survey. According to the National Association of Insurance Commissioners, Lemonade received nearly twice as many complaints as competitors of comparable size (NAIC).
In addition, Lemonade does not currently offer car insurance in Texas, so tenants cannot combine their renters and auto policies.
- Amica
Amica provides excellent customer service to Texas renters. Amica is Texas’ top-rated renters insurance provider.
According to the NAIC, the company receives one-third the number of complaints as other insurers of comparable size. That means that the majority of Amica renters are pleased with their experience with the company.
It also received a high rating from ValuePenguin editors for its policy offerings, customer service reviews, and the value it offers renters. Furthermore, Amica provides the second-cheapest renters insurance quotes in Texas. On average, a policy costs $16 per month or $187 per year. That’s $32 less per year than the state average.
- Liberty Mutual
Liberty Mutual has affordable rates for apartment renters and allows you to share a policy with your roommates. Liberty Mutual provides low-cost apartment insurance in Texas. Apartment renters pay an average of $10 per month, or $116 per year, for personal property coverage of $25,000 per year.
Also, Liberty Mutual also allows you to share a policy with your roommates, which can save you money over purchasing two separate policies, a feature that not all insurers provide. Customer service at Liberty Mutual has received mixed reviews.
According to the NAIC, the insurer receives fewer complaints than expected given its size. However, it received a lower-than-average rating in J.D. Power’s annual customer satisfaction survey, indicating that policyholders were dissatisfied with their experience.
Furthermore, renters can only insure up to $25,000 in personal property with Liberty Mutual.
That’s not much for a house, but it might be enough for apartment renters. Before comparing quotes, we recommend taking a home inventory to determine the amount of personal property coverage you require.
- Allstate
Because of a discount of up to 25% for being at least 55 years old and retired, an Allstate renters policy is worth considering for older tenants.
You can also save money by combining your renters insurance with Allstate auto insurance. They have an average annual cost of $108 and average monthly cost of $9.
- Republic Group
You can upgrade your Republic renters policy to include replacement cost coverage, which means that if your belongings are stolen or destroyed, the company will pay you enough to buy brand-new replacements rather than paying you based on the depreciated value of the items.
They have an annual cost of $210 and a monthly cost of $18. You can also purchase additional coverage for valuable items like jewelry or fine art.
What Texas renters insurance cover
Almost every renters insurance company provides all of the basic coverages listed below.
If a renters insurance company does not provide these coverages, you should consider looking elsewhere.
- If your personal property is damaged or stolen, personal property coverage will pay to repair or replace it.
- Liability coverage compensates you for injuries or property damage that you cause, such as if a guest is injured in your home.
- Medical payments coverage pays for limited medical costs for others injured at your home, regardless of fault.
- If your apartment is unlivable due to damage covered by your insurance, additional living expenses pays for a short-term rental or other accommodation, as well as any other additional expenses you may incur.
Furthermore, many renters insurance companies provide optional coverages for a fee. Here are some important optional coverages to think about when purchasing renters insurance:
- Replacement cost coverage, rather than depreciated value, pays the full cost to replace an item after it is damaged or stolen.
- Valuable item coverage pays the full value of high-value items such as jewelry, musical instruments, and electronics, which are frequently excluded from standard policies.
- Water backup coverage pays to repair or replace items damaged by water from a drain backup.
- Flood insurance protects your property from damage caused by flooding, which is not covered by standard renters insurance policies. Flood insurance is typically sold as a standalone policy, rather than as an endorsement to renters insurance.
Conclusion on How much is renters insurance in Texas
Renters insurance is a low-cost way to protect your assets in the event of a disaster or unexpected event.
It is especially useful in the event of a burglary, fire, or destruction caused by severe weather. When looking for Texas renters insurance, price isn’t everything.
Policyholders must be confident that, in the worst-case scenario, their insurance company will be able to provide timely and effective service at a reasonable cost.
Frequently Asked Questions (FAQs)
- In Texas, is renter’s insurance required?
In Texas, is renters insurance required? Although renters insurance is not required by law in Texas, some landlords may insist on it if you live in their building.
Because your landlord’s insurance will not cover any damage to your personal property, it is generally a good idea to have at least some form of coverage.
- What exactly does renters insurance cover?
A renters insurance policy covers any loss or damage to the tenant’s personal property, such as furniture, clothes, jewelry, electronics, home appliances, valuables, and so on.
- What are the differences between the two types of renters insurance?
Personal property, liability, and additional living expenses are the three types of coverage that are typically included in renters insurance.
Personal property coverage can help pay for the replacement of your belongings if they are stolen or damaged as a result of a covered risk.
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