Texas Homeowners Grapple With Rising Insurance Rates:
Can Lawmakers Offer Relief?
As Texas lawmakers debate property tax relief and exemptions, another issue is on the rise: rising homeowners insurance premiums. In 2024 alone, home insurance rates in Texas rose by 22%, according to the Texas Department of Insurance, as reported by the Fort Worth Star-Telegram.
These rising premiums are pricing out prospective buyers and pushing homeowners to consider dropping coverage altogether
Real Estate Meets Reality
Paul Epperley, president of the Greater Fort Worth Association of Realtors, told the Star-Telegram that many buyers are caught off guard when they see their projected insurance premiums. “I do feel like there are people that just either drop out or they drop down,” he said, referring to prospective buyers walking away altogether due to rising insurance costs.
Proposed Solutions in the Texas Legislature
Several proposals are currently under consideration to rein in the rate hike in premiums:
- Senate Bill 1643, filed by Sen. Charles Schwertner, would require insurers to obtain approval from the Texas Department of Insurance before increasing a policyholder’s rate by more than 10%. Consumer advocacy group Texas Watch supports this measure but recommends amendments to ensure insurers can’t bypass the cap through multiple smaller increases.
- House Bill 1576, sponsored by Rep. Tom Oliverson, proposes grants to help homeowners retrofit their properties against wind and hurricane damage, preventative steps that could reduce future storm-related claims and potentially lower premiums.
Industry Pushback
Insurers warn that rate oversight could disrupt market stability. “The insurance market is cost-driven,” said Beaman Floyd of the Texas Coalition of Affordable Insurance Solutions. “We pay out billions of dollars in claims… that’s what drives our business model.”
The Insurance Council of Texas echoed that sentiment, supporting measures that prevent losses—such as roofer licensing and mitigation incentives—over increased regulatory control.
Why Insurance Rates Matter
At a press conference on April 3, Lt. Gov. Dan Patrick acknowledged the challenge of managing both property taxes and soaring insurance premiums. “There’s a fine line here,” Patrick said. “If [insurers] feel like they’re not getting the right return, they’ll just pick up and leave the state.”
This concern is not hypothetical—states like California have already seen major insurers exit high-risk markets, leaving residents with fewer options and higher costs.
What Homeowners Can Do
In light of this unfortunate news, policyholders should take proactive steps:
- Review your policy in detail. Understand whether it’s based on replacement cost value (RCV) or actual cash value (ACV).
- Check your deductible and policy limits.
- If you’ve received a non-renewal or faced an unexpected rate hike, explore your rights—and legal options.
How Chad T. Wilson Law Firm Can Help
At the Chad T. Wilson Law Firm, we specialize in helping homeowners challenge denied, delayed, or underpaid property insurance claims. If you’re being treated unfairly by your insurer or struggling with a coverage dispute, our experienced team is here to help.
Contact us today for a free consultation. Your recovery is our mission.
Source: www.star-telegram.com/news/politics-government/state-politics/article303942121.html
Do not lose hope if you have filed an insurance claim and were denied or underpaid.
Let the Chad T. Wilson Law Firm get justice for you.
