Texas · No policy means you are the insurance company
Self-insuring a Texas house means you pay the rebuild, the debris, the extra living costs, and a liability judgment yourself. The state does not require a homeowners policy. A mortgage does.
Texas makes auto liability compulsory. It does not do that for the house. The deed of trust does. If the lender is on the loan, the contract requires a policy that meets the lender’s limit. That limit protects the loan, not a full rebuild. Coverage A, when you buy a policy, is rebuild cost. Land is not insured. If you skip the policy and the house is financed, the servicer can buy force-placed insurance. That protects the lender’s interest in the building. It is not a substitute for a policy you shopped, and it often leaves out your liability and your contents. You still pay for it, usually through escrow.
Whether the state requires it: is home insurance required in Texas. What a policy actually buys: a shopping guide, coverage, home and household, and the Texas hub. Price without dropping the rebuild limit: lowering the premium and saving without cutting Coverage A. Why an umbrella still needs a policy underneath: umbrella insurance.
