Texas homeowner insurance premiums have jumped 79% since 2020, and the state's insurance regulator wants carriers to reward people who fight back with storm-resistant upgrades.
The Texas Department of Insurance (TDI) issued Commissioner's Bulletin B-0008-26 on Wednesday, Sept. 16, urging every property and casualty insurer in the state to offer "meaningful, actuarially supported premium discounts" to homeowners who invest in loss mitigation. The bulletin names three qualifying categories: roofs built to the Insurance Institute for Business and Home Safety's FORTIFIED Home standard, impact-resistant roofing materials and retrofits that protect against wildfire.
The bulletin carries no mandate. It encourages companies to build loss-mitigation credits into their rating plans and to tell policyholders what credits exist. Insurers that want to introduce or expand discounts must file changes through the state's System for Electronic Rates & Forms Filing (SERFF).
Gov. Greg Abbott directed TDI to act on Aug. 24 after what he called a steep rise in costs. "High insurance costs hit Texas families hard," Abbott said in a Sept. 16 news release. Average annual premiums statewide climbed from less than $2,000 in 2020 to more than $3,500 in 2026, according to the governor's office.
Insurance Commissioner Amanda Crawford said in a TDI news release that the upgrades benefit more than individual homeowners. "When homeowners make their homes stronger, they're protecting their property and helping reduce costs for themselves and their communities," Crawford said.
What a FORTIFIED roof costs
A FORTIFIED roof upgrade on a typical 2,000-square-foot home adds roughly $1,000 to $3,000 over a standard re-roof, plus a $325 to $475 certified evaluator fee, according to The Roofing Brief, an industry publication. The designation lasts five years before a re-evaluation is required.
The Texas Windstorm Insurance Association and select private carriers already offer credits for FORTIFIED roofs, according to a McDade Insurance analysis. A University of Alabama study of more than 40,000 insured properties after Hurricane Sally found FORTIFIED homes filed 73% fewer claims. Louisiana's Legislative Auditor found that a state FORTIFIED grant program cut recipients' insurance bills by about $1,250 a year, according to the same analysis.
Texas has only a few hundred FORTIFIED homes despite leading the nation in hail claims. Alabama has more than 50,000.
Grants and legislative changes ahead
The Federal Home Loan Bank of Dallas set aside $10 million in 2026 for grants of up to $17,000 per home to cover FORTIFIED roof replacements, according to The Agent's Office, an insurance industry site. Homeowners earning at or below 120% of the area median income can qualify. Applications go through an FHLB Dallas member bank, not directly to the program.
Two funding windows opened in 2026: Jan. 26 and July 1. Both operate first-come, first-served. Whether funds remain from the July round could not be confirmed. Homeowners can call FHLB Dallas Community Investment at 800-362-2944 to check current availability.
TDI also proposed a rule clarifying that insurers cannot refuse to write or renew a homeowner's policy based on the age of a roof when state law already bars using a property's age for that purpose. The agency plans to create an Insurance Fraud Task Force, according to the governor's office.
Among legislative proposals TDI sent to the governor is a state-funded homeowner mitigation grant program for roof fortification. The Texas Legislature convenes in January 2027.
