Homeowners Insurance Premiums in Texas Surged 30% in 5 Years—10 Times Faster Than Incomes

Homeowners in Texas are grappling with rising insurance premiums, as carriers raise rates in the disaster-prone state.Between 2019 and 2024, home insurance premiums rose 30% in Texas, to an average of $2,983 annually, according to a new report from Rice University's Kinder Institute for Urban Research. Meanwhile, Texas incomes rose just 3% over the same period.Zooming out, the report found that insurance premiums in the state rose 74% between 2009 and 2024, compared to an only 11% increase in median household income during the same period.Homeowners in Texas, which faces threats from tornadoes and hail as well as coastal flooding and wind from hurricanes, have struggled to absorb the rapid increase in premiums.With homeowners insurance factored into the cost of owning a home, about 7 million Texas households—nearly two-thirds of the state—are priced out of the median-priced home in their county, according to report.These 7 million Texas families would become housing cost–burdened if they purchased the median-priced home in their county, meaning they would spend more than the recommended 30% of their income on housing.The Kinder Institute and statewide public policy organization Tex...