Should you re-shop your homeowners insurance every year?

Most people shop hard for insurance exactly once, the week they buy the house, and then let it auto-renew forever. Insurers know this. Here is why the yearly look matters in Texas specifically, and how to do it without disrupting your mortgage.

Why is this a bigger deal in Texas?

Because Texas weather makes Texas premiums, and the market moves constantly.

Hail, wind, hurricanes on the coast, and years of rising rebuilding costs have pushed Texas home insurance premiums to among the highest in the nation, and carriers reprice aggressively year to year. The insurer that was your best deal at closing may be far from it three renewals later. That churn is exactly what an annual comparison captures.

Source: Texas Department of Insurance market data and national premium comparisons as reported by industry trackers (2026). Premiums vary widely by location, home, and coverage.

How do you re-shop without making a mess?

• Start a few weeks before renewal. Your renewal notice shows the new premium. That number is your baseline to beat.
• Compare identical coverage. Match dwelling coverage, deductibles, and exclusions. In much of Texas, the wind and hail deductible is where cheap policies hide their savings.
• Use an independent agent. Independent agents quote multiple carriers at once, which does the shopping for you.
• Never let coverage lapse. If you switch, the new policy starts the day the old one ends. Your lender requires continuous coverage.
• Tell your mortgage servicer. Your escrow account pays the premium, so the servicer needs the new policy details. The agent usually handles this notice for you.

What happens to your mortgage payment when the premium changes?

Your escrow adjusts at the next analysis, so a lower premium eventually means a lower monthly payment.

Because most homeowners pay insurance through escrow, the savings from a better policy flow into your monthly mortgage payment after your servicer runs its escrow analysis. The reverse is also true, which is why a quietly rising premium shows up as a mysteriously rising mortgage payment. It was never the mortgage. It was the insurance riding inside it.

How much can the yearly look actually matter?

It depends on your home and market, and that is the point: you cannot know without looking. What we can say from years of working with Houston homeowners is that the review costs an hour, the savings recur every year they exist, and over the life of a mortgage those years add up. Even when the answer is "your current policy is still the best deal," you bought certainty for an hour of effort.

Frequently asked questions

Will switching insurers mess up my mortgage escrow?

No, as long as coverage never lapses. Your new insurer and your servicer coordinate the change, and your escrow simply starts paying the new premium. Tell your servicer when you switch so records stay clean.

When is the best time to shop?

A few weeks before your renewal date, which for many homeowners falls near their closing anniversary. That leaves time to compare without any pressure.

Does shopping for insurance hurt my credit?

Insurance quotes generally involve soft inquiries, which do not affect your credit score the way hard credit applications do.

Is the cheapest policy the best?

Not automatically. Compare the same coverage levels, deductibles, and exclusions, especially wind and hail deductibles on the Texas coast. A cheap policy that covers less is not savings.

Can Warens Financial Group recommend an insurance agent?

We can point you to trusted independent insurance partners who quote multiple carriers. Reply to any of our emails or call us and we will connect you.

Disclaimer: This article is for general educational purposes only and is not insurance or financial advice, a commitment to lend, or an offer of credit. Warens Financial Group is a mortgage brokerage and does not sell insurance; referrals to insurance professionals are provided as a courtesy. Coverage needs and premiums vary by home and homeowner. Warens Financial Group, NMLS #2532048. Equal Housing Opportunity. Warens Financial Group, NMLS #2532048. Franklin Warens, Mortgage Broker, NMLS #1249423. Equal Housing Opportunity.