Texas Homeowners Insurance Made Easy

Residents of the state of Texas who are in the market for home insurance need to have a basic understanding of the different kind of Texas homeowners insurance policies so that they get adequate coverage for their dwelling and possessions. If you live in Texas, be sure to keep the differences between the following three types of homeowners insurance policies in mind. That way, you will not have many headaches later on and will also be able to sleep well because you know that any loss or damage will be covered.

1. HO-A Policies — The HO-A policy provides the most limited coverage of the three Texas homeowners insurance options, but it is also the least expensive. These may be good policies for those who have a good amount of money in their savings accounts and can afford to pay some of the repair costs after a disaster or who are able to pay replacement costs for stolen contents. You may have to pay more out of pocket in the event of a loss since you will only receive “actual cash value” settlements that do not take into account labor costs and other expenses to rebuild, but you will save money each month on your premiums.

2. HO-B Policies — HO-B policies offer better coverage because they will pay the actual cost it takes to rebuild a home. That is, you will get a settlement that not only covers materials, but it will also cover the labor involved in using these materials to repair or reconstruct a damaged home.

3. HO-C Policies — The most expensive home insurance policies in Texas are those that cover damage that is caused by nearly any event imaginable. These are the HO-C policies, which also offer actual replacement costs just like the HO-B policies, but they also have fewer limitations than HO-B coverage.