Highest property insurance rates in the United States found in Texas

Highest property insurance rates in the United States found in Texas

On average, a Texas homeowner is paying $1460 a year for their property insurance, while the rest of the country is paying $791.

With paying nearly double the cost of insurance and getting half the coverage as an average homeowner’s policy package – it’s no wonder, many are outraged.

“This is what Texas homeowners can expect as long as we have a system that allows insurance companies to dictate the terms of the market,” stated Alex Winslow of Texas Watch, an Austin-based consumer group. “Until and unless we enact comprehensive homeowners insurance reform that requires insurance companies to justify rates before they go into effect, we will continue to see insurance cost too much and offer too little.”

With legislation passing in 2003 giving the insurance industry free range to immediately put into effect new rates as soon as they file them. Many other states have regulations in place that the insurance commissioner must sign off on new rates before the consumer is affected. The industry argues that this process does not allow them to be competitive in an ever changing market and especially in areas with such high disaster rates.

Many are not surprised that the Lone Star pays more due to the state’s vulnerability to hurricanes, tornadoes and other severe weather that occurs. Second following is, Florida with an average premium of $1390 but many insurance companies have actually closed their doors to new business and non-renewing many existing policies. The industry cites over a hundred companies are still writing in Texas, making their system a more accurate way of doing business.

If you’re thinking of moving and measuring up the costs, look at some of the lowest states for home insurance: Top five lowest are: Idaho, average rate is $387. Utah, average rate is $432. Oregon, average rate is $439. Washington, average rate is $471. And Wisconsin, average rate is $503. Happy hunting!

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