How Much Is Windstorm Insurance in Texas?

Windstorm insurance protects property owners from financial losses resulting from damage caused by high winds and hail. This specialized coverage is particularly relevant in Texas, a state frequently impacted by severe weather events. With its extensive coastline, Texas is highly susceptible to hurricanes, tropical storms, and other wind-related phenomena. This coverage addresses perils often excluded from standard homeowners insurance policies in high-risk areas.

Determining the Need for Coverage

The necessity of windstorm insurance in Texas is largely dictated by geographical location and lender requirements. Homeowners in the 14 coastal counties, known as Tier 1 counties, and certain parts of Harris County (east of Highway 146) typically find that wind and hail damage is excluded from standard homeowners policies. In these areas, mortgage lenders commonly require a separate windstorm policy.

Even if not strictly mandated by a lender, acquiring windstorm coverage is a prudent consideration for any property situated in these designated catastrophe areas. Without this specialized policy, homeowners bear the full financial responsibility for repairs stemming from wind, hail, or hurricane damage. This coverage provides a financial safety net against the substantial costs associated with rebuilding or repairing a home after a severe weather event.

Factors Affecting Premiums

The cost of windstorm insurance in Texas varies considerably, influenced by several factors that reflect the risk associated with a property. The average annual premium for a Texas Windstorm Insurance Association (TWIA) residential policy is approximately $2,480 as of June 30, 2025, though other sources cite figures ranging from $1,600 to $2,400 depending on specific coverage details. Actuarial analysis indicates that TWIA rates may need to increase by 38% for residential policies to be fully adequate.

Property location is a primary determinant of premiums, with coastal areas facing higher rates due to their increased exposure to hurricanes and other wind events. While TWIA, which covers the 14 first-tier coastal counties and parts of Harris County, does not use territorial rating based on distance from the coast within these areas, private insurers may have more localized pricing.

The characteristics of the home itself also play a significant role in premium calculation. The age of the home, its construction type (e.g., brick, frame), and the type and condition of the roof all affect how well a structure might withstand high winds. Homes with specific wind-resistant features, such as hurricane clips, reinforced windows, or storm shutters, may qualify for premium discounts, sometimes up to 26%.

Coverage limits and chosen deductibles directly influence the premium amount. Policyholders select dwelling coverage amounts, personal property coverage, and percentages for wind/hail deductibles. Windstorm insurance deductibles are typically calculated as a percentage of the dwelling’s coverage limit, ranging from 1% to 5%. Opting for a higher percentage deductible, such as 2% or 5%, generally results in lower annual premiums, though it means the homeowner is responsible for a larger out-of-pocket amount before the insurance coverage begins.

A property’s claims history can also affect future premiums. Underwriting considerations, which involve a thorough assessment of risk, may include factors like the property’s elevation and its precise proximity to the coastline, especially for private market policies.

Obtaining a Policy

Acquiring windstorm insurance in Texas involves navigating two primary markets: the private insurance sector and the Texas Windstorm Insurance Association (TWIA). Homeowners can begin by seeking quotes from independent insurance agents who have access to multiple private carriers. Some private insurers may offer wind and hail coverage as part of a comprehensive homeowners policy or as a separate endorsement, even in coastal areas.

If private market coverage is unavailable or insufficient, TWIA serves as the “insurer of last resort.” TWIA provides windstorm and hail coverage to properties in designated coastal areas where private insurance is not reasonably available.

A core requirement for TWIA eligibility is proof that coverage was declined by at least one private insurer. The property must be certified by the Texas Department of Insurance (TDI) as having been built or repaired according to applicable windstorm building codes. This certification (WPI-8 or WPI-8-C) confirms the structure meets specific wind resistance standards. Properties built before 1988 may have some exceptions to the WPI-8 requirement.

For properties constructed, altered, remodeled, or enlarged after September 1, 2009, and located in certain high-risk flood zones (V, VE, or V1-30), proof of a National Flood Insurance Program (NFIP) flood policy is also required for TWIA eligibility.

A licensed insurance agent registered with TWIA typically facilitates the application process, helping gather property information and determine coverage amounts. The property must also be maintained in an insurable condition, free from unrepaired damage or hazardous conditions.

Understanding Your Policy’s Coverage

A typical windstorm insurance policy primarily covers direct physical loss to a home and its contents caused by wind and hail. This includes damage to structural components like roofs, walls, and siding, as well as detached structures such as garages and sheds. Policies also extend to personal property within the home, covering items like furniture, appliances, and clothing if damaged by wind or hail.

Windstorm coverage includes additional living expenses, also known as loss of use coverage. This component helps cover costs if a homeowner cannot reside in their damaged property during repairs, providing financial support for temporary housing, food, and other necessary expenses. Some policies may also include coverage for debris removal and emergency repairs to prevent further damage.

Standard windstorm insurance specifically does not cover flood damage, even if the flooding is a direct result of a hurricane’s storm surge. For comprehensive protection against water-related damage, a separate flood insurance policy, typically through the National Flood Insurance Program (NFIP), is necessary.

Policyholders also need to be aware of their deductible, which is the amount paid out-of-pocket before the insurance company begins to cover damages. Windstorm deductibles are often a percentage of the dwelling’s coverage limit.