Texas homeowners insurance offers a policyholder financial protection against damage to his/her home caused by fire, theft or natural disasters. Most home insurance policies in Texas offer cover for damages resulting from fire, lightning, vandalism, malicious mischief, theft, explosion, riots, civil commotion, smoke, windstorm, hurricane, hail and unexpected water damage. However, damages caused by flooding, earthquakes, termites, insects, rats, freezing pipes in an unoccupied house and continuous water seepage are not covered by Texas homeowners insurance. This policy also does not provide protection against costs related to house maintenance.
Whenever a person in Texas buys a homeowners insurance policy, s/he must go through the Consumer Bill of Rights.
Texas Homeowners Insurance: Types of Coverage
A Texas homeowners insurance policy offers cover for the following:
Dwelling: In this, the policy pays for any damage to the structure of a house and the surrounding structures within the property, such as fences, garage and storage shed.
Liability: This provides cover for expenses related to the policyholder being held legally responsible for any injury to a person or damage to another person's property.
Personal property: Under this, a policyholder receives financial cover in case the contents of his/her house, such as furniture, appliances and clothing, gets stolen or damaged.
Loss of use: This cover pays a policyholder any additional living expenses incurred in case his/her house is rendered uninhabitable.
Texas Homeowners Insurance: Types of Policies
One can buy different Texas homeowners insurance policies based on the level of coverage required. This policy can be of the following types:
HO-A policy: This policy offers very limited cover for a home and its contents. Moreover, it covers only those types of damages that are specified in the policy.
HO-A amended policy: The cover offered by this policy is broader than that of the base policy. For example, this policy may offer cover for replacement costs and damage from the accidental release of water. The coverage included in this policy is, however, specific to insurance companies.
HO-B policy: This policy covers replacement costs for almost all types of damage. However, this policy excludes coverage for those damages that are specifically excluded from the policy list.
HO-C policy: This policy offers the most extensive coverage. The premium for this policy is the largest.
Alternative policy: An insurance company might offer different level of coverage. However, these policies must be approved by the Commissioner of Insurance.