New home insurance can offer buyers coverage for lower cost
Houston - While many homeowners in Texas are facing higher insurance premiums and some insurers have stopped writing new policies, one type of insurance is growing.
It can help some new home buyers buy coverage for up to half the cost.
Data from the Texas Department of Insurance shows homeowner’s insurance premiums have increased more than 44% since 2013.
And we’ve reported some insurers have stopped writing new homeowner's policies in Texas, such as Progressive and Foremost.
Hippo Insurance just announced it’s expanding its New Home insurance in Texas through the builders Perry Homes and Van Daele Homes.
You may have heard of builder’s risk insurance or construction insurance, which covers homes while they’re being built.
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New home insurance specifically covers homes built within the last two years and can help new buyers buy coverage for 30% to 50% lower premiums.
That’s because new homes often have the latest features to prevent storm damage, and brand-new roofs, plumbing, and electrical work, which are less likely to fail.
"They’re brand new. Everything works, hopefully. You just built your new home. The kitchen is the way you like it, the bedrooms are the way you like it, the plumbing is brand new, the electrical work is brand new, and those homebuyers deserve credit for having a new home where everything works. That deserves to be recognized by your insurance carrier," said Mark Olson of Hippo Insurance.
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Whether you’re buying a new home or have an older one, here are some insurance discounts to ask about:
- New home construction discount
- Home security discount,
- Roofing discounts
- First-time homebuyer discount
- Green home discount
- Fortified home discount if you have added things like storm shutters or a hail-resistant roof to help prevent storm damage.