Insurance Houston - Official Home For Unbiased Insurance Information

Regardless of what type of insurance you are looking for in the Houston TX market, you have come to the right place for unbiased information. Since Houston is the 4th largest city in the United States, there are an unlimited number of insurance options. Our goal is to help you sort through and find exactly what you need to make the best possible decision.

Let's start with auto insurance since it is required that everyone in Houston has Liability Insurance on their automobiles. The minimum coverage for Texas at the time of this writing was 30/60/30, you can visit how much car insurance to learn more about the liability requirements and Texas Law. Personal injury protection and uninsured motorist coverage are not requireed at this time and Houston is not a "No Fault" market.

That is a common question from auto insurance purchasers. When it comes to liability insurance most people will want to purchase more than the minimum requirements ( 30/60/30 ). Accidents are expensive and having expenses exceed those minimums are very common. You are responsible to pay any additional expenses above the limits out of your pocket, so a bad accident could be devastating to your finances. The most common level of liability coverage is 100/300/100. This provides $100,000 of coverage per person for bodily injury and a total of $300,000 of bodily injury coverage for all participants in the accident. The 3rd number is property damage, so this coverage would provide $100,000 of coverage for other people's property.

Those who have quite a few assets to protect should consider adding a Liability Umbrella Policy to their coverage. An umbrella policy not only covers you for car accidents but also insures against accidents that happen on your property etc. A common coverage amount for a liability umbrella is $1,000,000 and generally only costs $2-300 per year, so it an affordable addition.

Comprehensive insurance is not mandatory under state law, but is required by the lender if you have a loan on the car. It covers everything involved in damaging your car other than a car accident such as vehicle theft, vandelism, fire, flood and animals. Hitting a deer is a common accident that is covered under your comprehensive coverage as well as a rock damaging your windshield. There is commonly a lower deductible for glass than the overall deductible either a $50 or $100 deductible is common. Raising the deductible to $500 or even $1000 is a way to significantly lower your premium cost. Flooding and hail are two other common sources of vehicle damage that are covered by this type of insurance. Houston also ranks first for automobile theft in Texas with more than 31,000 motor vehicles stole in 2007 in the Houston metro area so that's another thing to consider when deciding on coverage. In 2008 A recent report from the National Insurance Crime Bureau showed that the most stolen vehicles in Texas are:

1. 2004 Dodge Ram Pickup
2. 1997 Ford F150 Pickup
3. 2000 Honda Civic
4. 1994 Honda Accord
5. 1997 Chevrolet Extended Cab 4x2 Pickup
6. 2004 Ford F250 Pickup
7. 2003 Chevrolet Conventional Cab 4x2 Pickup
8. 2006 Ford F350 Series
9. 1997 Ford Taurus
10. 2002 Ford Explorer

Collision coverage is the other part of auto insurance that makes up what is considered "full coverage". When you have an accident involving another vehicle it will be covered under your collision coverage. Since Texas is not a "no fault" state the insurance company of the owner found "at fault" will pay for the damage to vehicles. Many people choose to carry un-insured or under-insured motorist coverage which covers you and your passengers for bodily and property damage if you are hit by an un-insured or hit and run driver who is found "at fault".

Typically you must have collision coverage if you have a loan or lease on your car, even if you don't you want "full coverage" if your car is worth a significant amount of money. The policy will only pay out to a maximum of the value of your car, so if your car is no longer worth much it isn't worth carrying coverage. The deductible is the portion you will be responsible to pay to repair your vehicle, by raising the deductible to $500 or $1000 it will lower your premium.

Home insurance quotes often vary from different companies depending upon competitive factors but primarily premiums are based on the company's loss history for your area. In Houston, some of the primary risk factors for home insurance are summer storms that contain hail, severe winds or heavy storms. Since most P&C insurance companies insure both cars and homes severe hail storms can be of particular damaging. Houston experiences heavy and even hurricane type storms several times per century, the last one being in September 2008. Flooding is not covered by homeowners insurance requires that you own flood insurance, however in the case of hurricane force winds homes that are damaged by wind and flying debris are covered by your homeowners insurance.

It's best to shop for Auto and Home insurance at the same time since most companies will give you a multi-policy discount. It can be surprising how much rates vary from one company to another, especially when you take the discounts into account. Another factor that has become increasingly important in determining your rates are your credit score and credit reports. Be sure to request your free credit report regularly to make sure there are no errors that can cost you in the form of higher premiums.

Working with an honest agent in a good company who will give you honest answers and work in your best interest is the best thing you can do to make things easier and save you money. That's why carrying a multitude of coverage with the same company and agent is a good idea whenever possible.

The value of your home is a primary determinating factor because it's the amount of coverage you purchase. The more the house costs, the more expensive it costs to insure. The same is true for full coverage on cars or anything else you want to insure.

Whether it covers all damage or is specific purpose insurance. A specific cause such as fire has much lower odds of occurring compared to "any event" happening to your home. Most people choose "All Peril" insurance that covers almost anything that can happen.

Whether it's a Replacement Cost or Actual Cash Value. Policy Many homeowners choose a policy that pays actual cash value because it's much less expensive. However, do to inflation ocurring year after year the value of replacing your home can quickly become much higher than the cash value you paid. Replacement cost coverage is more expensive, but is definitely worth having if something happens to your home.

The Level Of Deductible You Choose. Since this is the portion that you pay out-of-pocket, the higher the deductible amount is, the lower your premiums will be. Most people choose a $500 deductible and it's worth getting quotes for 2 or 3 different deductible levels to see how much of a difference it makes.

Your Personal Claims History - Insurance companies will look at your personal claims history to see if there is a pattern of excessive claims, if so it will cost more to get home owners coverage.

The Location Of Your Residence - There aren't any high crime neighborhoods in Fargo, so this is primarily based on how close you are to a fire department etc.

The Condition Of Your Home - Is the home well maintained and current on repairs? Also, most companies will offer a discount if your home is new.

Construction Type Of Your Home - Brick homes which are common in Houston fair better in storms etc and the rates to insure them will be lower than the same value home that is made from wood.

Your Credit Score and History - In recent years insurance companies have increasingly relied on credit scores to determine how much to charge people for insurance coverage. Make sure you check your credit reports on a regular basis to spot any errors and protect yourself against identity theft.

Life insurance is very standardized from state to state but these products are still primarily regulated within Houston by the Texas Insurance Commissioners Office. The basis of life insurance costs is the actuarial or mortality tables which predict your life expectancy. As of the latest available data Texas ranked 30th among the 50 states for life expectancy at 76.7 years which is about 3 1/3 years shorter than Hawaii the #1 state.

Some of the other primary factors that affect your premiums are the length of coverage you are searching for ( term vs whole life insurance ) and the age you are at the time of the application. Your age is rounded to your nearest birthday in most cases so 1/2 way between your birthdays is when your insurance age changes. Other factors that determine your premiums are your current health ( blood profile and medical history ), whether you smoke or drink excessive amounts of alchohol ( liver enzyme tests ) and whether you have a high risk occupation. For example: oil rig workers have significantly more occupation risk than someone who is working in an office all day.

Once you have determined what type of life insurance you need it's preferable to work with someone who you already do business with if you have a good relationship with them. If you are simply purchasing term insurance you can ask the agent that insures your house or car to give you a quote. Otherwise there are several online sources to get a quote from as well:

If you have decided that you would like to purchase a permanent insurance product ( whole life, universal life, variable life etc ), then you will want to do additional research to determine the financial strength ( insurance company ratings ) and possibly interview a few agents to find one you like. If you are making your purchase as part of an estate plan or other financial planning you may want to choose an agent with a Chartered Financial Consultant or Chartered Life Underwriter designation ( CHFC or CLU ) as they will have more training than the average agent and often work with attorneys who can provide necessary legal work.

Health insurance has become a major expense for all Americans and Houston is no different, health premiums continue to rise at rates far above overall inflation. Houston is home to the Texas Medical Center which is the largest health care complex of it's kind in the world, so high quality health care is available for those who have proper insurance coverage. The problem is that 30% of Houston residents are without proper health care coverage. This is due to several factors such as illegal immigrants that make up about 6% of the population and the high percentage of employers who are small businesses with less than 50 employees. Many small businesses have had to make hard choices to survive the worst economy in decades and many have chosen to cut costs by dropping health care coverage for workers.

As health insurance premiums continue to rise and more employers drop coverage, one alternative you may want to investigate is having a High Deductible Health Plan (HDHP) in combination with a Health Savings Account (HSA). A high deductible health plan can cost as little as $150 per month even for a middle aged individual because the patient is responsible for the first $1200-$5000 of expenses depending on the level of deductible you choose. The money you save on your insurance premiums can be deposited into an HSA on a tax free basis and then can be used to cover any out-of-pocket medical expenses. As the balance grows in your HSA account you may even choose to increase your deductible however their are limits so please read the Health Savings Account Rules as part of your due dilligence.

The Health Savings Account approach is not a good solution for everyone, but it sure seems to be a good solution for those who are tired of paying high health insurance premiums and want more control of their health care costs. Many employers also offer an HSA option so please consult your human relations personnel to see what health care options are available through your company.

As the 4th largest city in the United States almost every conceivable insurance option is available to Houston residents. In such a competitive marketplace it really does pay to do some comparison shopping prior to making any type of insurance purchase. Severe weather, torrential rain and theft are the primary concerns from a property casualty standpoint. Heavy traffic and frequent congestion is responsible for a significant number of automobile accidents on an annual basis with about 450 people involved in fatal car crashes in 2007 within Houston city limits. The lack of spending time outdoor s and engaging in exercise has lead to increased obesity which is one of the primary health risks for Houston residents including young children.