October Insurance Policy Renewals: What to Review Before Your Homeowner’s Policy Renews
October marks the beginning of the annual insurance policy renewal season for many Texas homeowners. As your homeowner’s insurance policy approaches renewal, it is critical to review your coverage carefully. Insurance companies frequently adjust coverage limits, increase deductibles, or exclude certain perils when policies renew. Understanding what has changed — and whether the new terms are acceptable — can prevent coverage gaps at a critical time.
Begin by reviewing your current policy’s declarations page, which summarizes your coverage limits, deductibles, and any endorsements or exclusions. Compare this to the renewal documents your insurer has sent. Look for changes in: dwelling coverage limits (has your home’s replacement cost increased?), deductible amounts, exclusions or sublimits for specific perils, and any new endorsements or riders.
Pay particular attention to windstorm and hail coverage. If you live in a coastal county or Harris County, your homeowner’s policy may exclude windstorm and hail coverage, requiring you to purchase separate coverage through the Texas Windstorm Insurance Association (TWIA). Verify that you have adequate windstorm coverage in place before hurricane season peaks in September and October.
If your insurer has significantly increased your premium or has excluded coverage you previously had, you have options. You can shop for coverage with other insurers — Texas has a competitive insurance market, and rates vary significantly between companies. You can also request that your insurer explain the reason for the increase or change. Under Texas law, insurers must provide clear explanations for coverage changes and premium increases.
If your insurer has refused to renew your policy or has placed you in a non-standard market (such as the Texas FAIR Plan), this may indicate that your property is considered high-risk. This could be due to claims history, property condition, or location. If you believe the non-renewal or placement in a non-standard market is unfair, you have the right to request a review or appeal.
About the Author: Jonathon G. Nixon is the managing attorney of Nixon Law PLLC, a Houston-based litigation firm focused on property insurance disputes, construction defects, personal injury, and commercial litigation. Contact Nixon Law PLLC at (713) 482-1523 or jnixon@nixon-law.com.