Texas Storm Insurance: 7 Critical Reasons Homeowners Rates Keep Rising
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THE BUNDLEBEE BUZZ
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What’s the Buzz?
Texas storms are changing the homeowners insurance market. If your premium jumped, you are not alone.
Severe hail, hurricanes, winter storms, rising property values, and major insured losses are putting pressure on carriers. As a result, Texas homeowners are seeing higher rates and changing coverage options.
Why Are Texas Home Insurance Rates Rising?
Texas has always faced severe weather. However, the BundleBee guide points to several years of major storms and costly disasters that have changed the insurance market.
For example, the guide reports that average Texas home insurance rates increased 28% from 2022 to 2023. It also says Texas ranked first in the nation for hail events in 2023, with 1,123 events.
Meanwhile, Texas experienced 20 separate billion-dollar disasters in 2024. Together, these losses help explain why insurers are paying close attention to their exposure in the state.
Texas Storm Insurance by the Numbers
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28%
Average Texas rate increase from 2022–2023 cited in the BundleBee guide
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#1
Texas ranking for hail events in 2023
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20
Billion-dollar disasters in Texas during 2024 cited in the guide
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7 Critical Reasons Texas Homeowners Insurance Rates Keep Rising
1. Texas Keeps Getting Hit by Major Storms
A single major storm can produce billions of dollars in damage. Texas has faced several costly weather events within only a few years.
According to the BundleBee guide, Winter Storm Uri caused $10.5 billion in insured losses in 2021.
More frequent large losses can put pressure on the insurance market. Consequently, insurers may adjust pricing and underwriting to account for the risk.
2. Texas Has a Serious Hail Problem
Hail can damage roofs, siding, windows, solar panels, and other parts of a home. Therefore, repeated hailstorms can create significant insurance losses.
The BundleBee guide reports that Texas ranked first for hail events in both 2023 and 2024. In 2023 alone, it cites 1,123 hail events across the state.
For homeowners, that risk can show up through higher premiums, larger wind and hail deductibles, or different coverage terms depending on the carrier and property.
Why Hail Matters So Much to Texas Homeowners Insurance
Roof claims can become expensive quickly. In addition, one storm can damage thousands of homes across the same region at the same time.
That creates a different type of risk for an insurance company than one isolated house fire or plumbing claim.
As a result, homeowners should pay close attention to wind and hail deductibles, roof settlement terms, exclusions, and endorsements instead of comparing premiums alone.
3. Billion-Dollar Disasters Are Adding Up
The BundleBee guide reports that Texas experienced 20 separate billion-dollar disasters in 2024.
Meanwhile, storms in the Dallas-Fort Worth area in June 2023 alone generated an estimated $7–$10 billion in insured losses, according to the guide.
When losses reach this scale, insurers may reassess how much risk they are willing to accept and what premium they need to charge.
4. Hurricanes Add Another Layer of Risk
Texas homeowners face more than hail and severe thunderstorms. Hurricanes can create another major source of property losses.
The BundleBee guide highlights Hurricane Beryl in 2024 and cites estimated damages of $28–$32 billion.
Although hurricane exposure varies greatly by location, large statewide catastrophe losses can still affect the broader Texas insurance market.
Major Storm Losses Highlighted in the BundleBee Guide
| Event | Year | Impact Cited in the Guide |
|---|---|---|
| Winter Storm Uri | 2021 | $10.5 billion in insured losses |
| Dallas-Fort Worth Storms | 2023 | $7–$10 billion in insured losses |
| Hurricane Beryl | 2024 | Estimated damages of $28–$32 billion |
| Texas Billion-Dollar Disasters | 2024 | 20 separate billion-dollar disasters |
5. Texas Insurers Have Faced Heavy Losses
Insurance companies compare the premiums they collect with the claims and related losses they pay.
According to the BundleBee guide, Texas home insurers averaged a loss ratio above 100% from 2018 through 2022. In simple terms, the guide describes insurers as paying out more than $1 for every $1 collected.
As losses increase, insurers can respond by changing rates, tightening underwriting, reducing exposure, or changing the types of risks they will accept.
What Does a Loss Ratio Above 100% Mean?
A loss ratio compares certain claim losses with premium collected. The BundleBee guide uses the figure to illustrate the pressure Texas home insurers experienced from 2018 through 2022.
When losses remain high, insurers may need to change their pricing or risk selection.
For homeowners, those market changes can appear as higher renewal premiums, stricter eligibility rules, or fewer available carrier options.
6. Some Carriers Are Reducing Their Texas Exposure
Higher storm losses can also change which companies are willing to write new homeowners policies.
The BundleBee guide states that Progressive stopped writing new Texas homeowners policies in 2024. It also notes that some carriers have exited the market entirely.
When fewer companies compete for certain homes or risk types, finding affordable replacement coverage can become more difficult.
7. The Cost to Insure a Home Has Climbed
The BundleBee guide reports that the average premium for a $300,000 home reached $4,049.
According to the guide, that amount was nearly $1,700 above the national average.
At the same time, homeowners need to make sure their dwelling limits keep pace with the cost of rebuilding. Cutting coverage simply to reduce the premium can create a dangerous gap after a major loss.
What Rising Texas Storm Costs Mean for Your Policy
Higher premiums are only one possible change. Homeowners may also see different deductibles, underwriting requirements, roof rules, or coverage restrictions depending on the insurer.
For that reason, comparing only the final premium can be misleading. Two policies with different deductibles or exclusions may provide very different protection.
Before switching carriers, compare the important coverage details as well as the price.
Pay Close Attention to Wind and Hail Coverage
The BundleBee guide warns homeowners to ask about wind and hail exclusions. It specifically notes that some carriers may exclude wind and hail coverage on roofs or solar panels in high-risk areas.
Therefore, review the actual policy instead of assuming every part of your home receives the same storm protection.
What Texas Homeowners Should Do Right Now
Shop the Insurance Market
First, compare available carriers instead of assuming your renewal is your only option. The BundleBee guide says more than 180 companies were still writing in Texas, creating opportunities to compare the market.
Review Your Dwelling Coverage
Next, check whether your dwelling limit still reflects your home’s rebuilding needs. If the limit has not kept pace, you could face an insurance gap after a major covered loss.
Check Your Wind and Hail Deductible
Do not wait until a storm claim to learn what you owe. Instead, review whether your deductible is a flat dollar amount or percentage and ask how it would apply to an eligible loss.
Ask About Wind and Hail Exclusions
In addition, check your roof, solar panels, and other property for special storm exclusions or limitations.
Respond Quickly to a Non-Renewal
If your insurer sends a non-renewal notice, start shopping as soon as possible. Finding the right replacement policy can take time.
Review Your Policy Before Storm Season
Finally, do not wait until severe weather is approaching. The BundleBee guide recommends reviewing your homeowners policy if it has been more than a year since your last coverage check.
A Higher Renewal Does Not Always Mean You Have to Accept It
Texas remains a large insurance market. Therefore, homeowners may still have opportunities to compare carriers when their renewal premium increases.
However, price should not be the only factor. Compare dwelling limits, deductibles, roof coverage, wind and hail terms, exclusions, endorsements, and other important policy details.
BundleBee shops 80+ carriers, which allows the agency to compare available options instead of relying on only one insurance company.
Texas Storm Insurance: Frequently Asked Questions
Why Did My Texas Homeowners Insurance Go Up?
Storm losses are one major factor highlighted in the BundleBee guide. Hail, hurricanes, winter storms, large insured losses, and changes in the insurance market can all contribute to pricing pressure. Your individual premium also depends on your carrier, property, coverage, claims history, location, and other rating factors.
How Much Have Texas Home Insurance Rates Increased?
The BundleBee guide cites an average Texas rate increase of 28% from 2022 to 2023, which it describes as the highest in the United States during that period.
Why Does Hail Affect Insurance Rates?
Hail can damage roofs and other property across thousands of homes during a single storm. The BundleBee guide reports that Texas ranked first for hail events in both 2023 and 2024.
Should I Switch Insurance Companies if My Rate Goes Up?
It can be useful to compare the market. However, do not switch based on price alone. Compare limits, deductibles, exclusions, roof coverage, wind and hail terms, endorsements, and other policy details before making a decision.
What Should I Check Before Texas Storm Season?
Review your dwelling limit, wind and hail deductible, roof coverage, exclusions, endorsements, and any special conditions that could affect a storm claim.
Can BundleBee Compare Different Home Insurance Companies?
Yes. BundleBee says it shops 80+ carriers across Texas and New Mexico. Available companies and coverage options depend on the property and underwriting requirements.
The BundleBee Buzz Bottom Line — Texas Storm Risk Is Changing Home Insurance
Texas has experienced billions of dollars in storm losses, repeated hail events, hurricanes, winter weather, and other major disasters.
As a result, homeowners may face higher premiums, stricter underwriting, changing deductibles, or fewer carrier options.
If you have not reviewed your homeowners policy in more than a year, now may be a good time to compare your coverage and available options—especially before storm season.
Did Your Texas Home Insurance Rate Go Up?
BundleBee shops 80+ carriers across Texas and New Mexico. Let us review your homeowners policy, compare available options, and help you understand your dwelling limits, deductibles, and storm coverage.
Important Insurance Information
This article provides general insurance information only. Homeowners insurance rates, eligibility, dwelling limits, wind and hail coverage, roof coverage, deductibles, exclusions, endorsements, non-renewal requirements, and policy terms vary by insurance carrier, property, location, state law, and policy. Review your declarations page, policy forms, endorsements, limits, deductibles, exclusions, and applicable conditions with a licensed insurance professional before making coverage decisions.