Nebraska and Florida may top the charts for the states with the highest annual premiums for home insurance, but three Texas cities are in the top five, according to a new report.
The report from Bankrate found the national average cost of home insurance is $2,285 per year for a policy with $300,000 in coverage.
The most expensive city for home insurance is Oklahoma City at $5,561 per year, followed close behind by Houston ($5,451), Fort Worth ($3,867), and Dallas ($3,644).
While Oklahoma City is 143% above the national average, Houston is 139% above it. Forth Worth is 69% above the national average, and Dallas is 60% above it.
The average annual premium for home insurance in Nebraska is $5,652 (or $471 per month), and in Florida, it is $5,527 (or $461 per month). Texas ranked No.6 at $3,916 (or $326 per month).
“While inflation has slowed down since its peak in June 2022, insurance rates are reactionary. The cost of home insurance is still increasing due to the impact inflation has had on the previous losses experienced by the insurance company, the elevated cost of building materials, and the high likelihood of future extreme weather-related losses,” reads the Bankrate report.
Progressive Insurance recently announced that it would no longer write new homeowner’s policies in Texas.
In a statement, the company said, “We are temporarily restricting new homeowners (HO3) business for certain agents in several states. We remain committed to the property business in these states and expect that these actions will better position us to build a stronger, more stable, and more competitive Progressive Home business for consumers and independent agents in the long run.
“These actions will not impact any other lines of business in the affected states; impacted agents can continue to write Personal Auto, Recreational Lines, and Commercial Lines products. Additionally, property-appointed agents can continue to offer Renters, Condo, Flood, and Umbrella.”
The New York Post reports on skyrocketing home insurance premiums. Here’s the start of the story:
Rising home insurance prices are affecting homeowners across the country, but some states are feeling the pain more than others.
In Florida, 20% of homeowners are paying at least $4,000 per year for home insurance, the highest share of any state, according to new data released by the U.S. Census Bureau on Thursday.
The other states where at least 10% of homeowners pay more than $4,000 annually are Louisiana, Texas, and Colorado, according to the data from the 2023 American Community Survey.
Nationally, the average cost of home insurance for a policy with a $300,000 coverage limit is about $2,300 per year, according to Bankrate. Rates have been rising nationwide, which experts say is due to inflation in the cost of building materials and an uptick in weather and climate-related disasters.
In recent years, many insurance carriers have paid out more in claims than they collected in premiums. They’ve responded by raising their rates and reducing their coverage, particularly in areas prone to extreme weather and wildfires.