Texas Home Insurance Coverage: What’s Covered (and Excluded)
When you buy a home in Texas, one of the smartest moves you’ll make is protecting it with the right Texas home insurance coverage. But here’s the catch: not everything is covered. Understanding the basics of Texas homeowners insurance can save you from nasty surprises when it’s time to file a claim.
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🔎 What Is a Peril?
In insurance terms, a peril is simply the cause of a loss. Fire, theft, hail, and windstorms are examples. Homeowners insurance policies define exactly which perils are covered — and which ones aren’t.
✅ What’s Typically Covered Under a Texas Homeowners Insurance coverage (HO-3 Policy)
An HO-3 policy is the most common type of Texas home insurance coverage, giving homeowners strong protection for their dwelling, belongings, and liability. It provides:
- Dwelling & Other Structures → Special Form coverage (protected against all risks unless specifically excluded).
- Personal Property → Broad Form coverage (only the named perils are covered, such as fire, theft, and windstorm).
- Liability Protection → Coverage if someone is injured on your property or you cause accidental damage to others.
❌ What’s Not Covered (Common Exclusions on HO-3 Policies)
Even with strong Special Form protection, there are important exclusions every Texas homeowner should know. Common gaps include:
- 🌊 Flooding → Requires a separate flood policy (private or through the NFIP).
- 💧 Water Backup → Damage from drains, sewers, or sump pumps (often added by endorsement).
- 🐜 Pests → Termites, rodents, and other infestations are considered maintenance issues.
- 💼 Business Property → Coverage is limited if you operate a business out of your home.
- 👷 Wear & Tear / Neglect → Gradual damage or intentional acts are never covered.
- 💣 War, Nuclear Hazard, Earthquake → These extreme events are excluded or require specialty policies.
👉 Key takeaway: HO-3 policies give strong protection, but they don’t cover everything. Always review exclusions carefully and talk with your advisor about filling the gaps in your Texas home insurance coverage.
🏡 Here’s a quick look at what an HO-3 policy in Texas covers — and what it doesn’t
| ✅ You’re Covered For… | ❌ You’re NOT Covered For… |
|---|---|
| Your house and garage if they’re damaged by sudden events (like fire, hail, or theft) | Flooding from heavy rain or rising water 🌊 |
| Your stuff inside the home (furniture, clothes, electronics) against common risks | Water backing up from sewers, drains, or sump pumps 💧 |
| Injuries if a guest slips and falls at your house (liability coverage) | Termite damage, rodents, or pest infestations 🐜 |
| Hotel or rental costs if your home is unlivable after a covered loss | Running a home business beyond small limits 💼 |
| Medical bills for guests hurt on your property (no lawsuit needed) | Normal wear and tear, neglect, or intentional damage 👷 |
| Damage from specific risks: fire, theft, wind, hail, smoke, etc. | Earthquakes, war, or nuclear events 💣 |
📌 Expert Insight
💡 Confused about what your Texas home insurance actually covers?
Let Gilded Oak Insurance guide you with confident insurance education and expert resources.
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🏠 Special Form vs. Broad Form Coverage
To understand your options, it helps to compare Special Form vs Broad Form coverage.
- Special Form (HO-3 / Dwelling Special):
- Covers your home for “all risks” unless specifically excluded.
- Most common and comprehensive for Texas homeowners.
- Broad Form (HO-2 / Dwelling Broad):
- Covers your home only for a named list of perils.
- Less expensive but also less protective.
📌 How We Can Help
As a licensed Texas insurance advisor, I help homeowners understand what’s covered — and what’s not — so you’re never caught off guard.
👉 Get Your Free Texas Homeowners Insurance Quote Today
📚 Additional Resources
Want to dig deeper? Here are a few helpful links:
- 🏛️ Texas Department of Insurance (TDI): Visit TDI Website
- 👤 About Gilded Oak Insurance: Learn About Us
- 🚗 Top Car Insurance Discounts Every Texas Driver Should Know: Read the Article
