Auto / year$1,428.941 vehicle · historical benchmark
Combined / year$4,292.94Premiums only; deductibles separate
How we got this
Homeowners insurance / year2023 Texas average per policy$2,864.00
Auto insurance / year2023 expenditure per vehicle × 1$1,428.94
Monthly premium budget$4,292.94 per year ÷ 12$357.74
What we assumed
This is a premium budget, not an insurance quote, coverage recommendation, or prediction of your premium.
Your own premiums are annualized as 12 monthly payments, two six-month payments, or one annual payment. Billing fees and installment discounts are not added.
Only the selected insurance lines are included. Deductibles, uncovered losses, policy limits, exclusions, and separate flood, earthquake, or wind policies are not included in the premium total.
The 0% planning buffer is your chosen additional budget scenario, not a statistical range, confidence interval, or forecast of rate changes.
Published benchmarks describe 2023 insurance experience. They are not current quotes and are not adjusted to today's prices.
The homeowners benchmark is the state average annual HO-3 policy premium across insured homes and coverage amounts. Home value, rebuilding cost, and individual risk are not used to predict a premium.
Auto uses annual average expenditure per liability-insured vehicle: total premiums across coverages divided by liability written exposures (car-years). It reflects the coverage mix actually purchased, not a standard full-coverage package or a per-driver premium.
The auto benchmark is multiplied by 1 insured vehicle. No multi-car or bundled-policy discount is assumed.
Some Texas homeowners forms are similar to, but not identical with, the national policy forms.
Texas auto exposures are approximated from quarterly vehicle counts. Estimated comprehensive exposures affect the combined average, but not average expenditure.
Planning a purchase? Enter $2,864.00 per year as homeowners insurance in the mortgage calculator →
%Your planning scenario; not a predicted price range.
With your cushion$357.74 / month$4,292.94 per year
Compare two deductibles Premium savings versus claim costs
Use two quotes with the same coverage. The starting numbers below are an editable example, independent of your budget above.
$Assumes this loss is fully covered above the deductible, within policy limits.
Annual premium plus your share of the covered loss
Scenario
Policy A
Policy B
No claim
$1,800.00
$1,500.00
One covered claim
$2,300.00
$3,000.00
Policy A costs less in this one-claim scenario. Policy B has the lower premium, saving $300.00 a year, and it takes 3.33 claim-free years for that saving to cover its $1,000.00 of extra out-of-pocket cost on this loss.
How we got this
Option A with no claimsAnnual premium only$1,800.00
Option B with no claimsAnnual premium only$1,500.00
Option A with one covered claim$1,800.00 premium + $500.00 of the covered loss$2,300.00
Option B with one covered claim$1,500.00 premium + $1,500.00 of the covered loss$3,000.00
What we assumed
Compare two actual premiums for otherwise identical coverage, limits, policy terms, and insured property or vehicles. This does not estimate the discount an insurer offers for a deductible.
The one-claim scenario adds the smaller of the entered covered loss and the dollar deductible to one annual premium. No claim means annual premium only.
The deductible must apply separately to this covered claim. Percentage deductibles, aggregate deductibles, liability coverage without a deductible, separate catastrophe deductibles, exclusions, depreciation, and losses above policy limits are outside this model.
Break-even claims per year divides annual premium savings by the extra out-of-pocket amount for this same-sized covered loss. It is an arithmetic threshold, not a prediction or probability of a claim. Multiple claims are assumed to incur the same deductible independently.
Claim-free years to recover divides that extra one-claim cost by annual premium savings. Both break-even measures are omitted when there is no positive premium-saving versus out-of-pocket tradeoff.
Premiums are held constant. Future rate increases after a claim, changes at renewal, discounts, taxes, fees, interest, and investment returns are not modeled.
Start with a published insurance benchmark for your state, replace it with a quote when you have one, and see the monthly and annual cost of protecting your home and car together. Each amount keeps its source and data year visible, so a historical average never becomes a supposed personal rate.
What the state averages actually measure
The homeowners benchmark is the NAIC average annual premium for an HO-3 policy. The renters benchmark is its HO-4 average. These are different products: a renters policy does not insure the building, and an HO-3 average is not a condo, landlord, flood, or earthquake quote.
The auto benchmark is average expenditure per insured vehicle. It reflects the mix of coverage people purchased, rather than a policy with standardized liability limits, collision, and comprehensive. Multiplying by your vehicle count is a budgeting assumption; it does not apply a multi-car discount.
Use a quote to make the budget yours
Choose your own premium for either insurance line and enter its billing period. A six-month premium is counted twice a year; a monthly premium is counted twelve times. For auto, enter the total for all selected vehicles when the field requests a household quote. Installment charges belong in the amount you enter.
The published data describe the report year, not the day you open this calculator. Local catastrophe exposure, rebuilding cost, driving history, coverage limits, deductibles, and insurer availability can make a current quote very different. This calculator does not add unverified age, credit, ZIP, or risk multipliers.
A cushion is a scenario you choose
An optional budget cushion shows the base annual cost alongside a higher amount you choose to plan for. It is not a statistical confidence interval, a prediction of renewal prices, or the range of quotes you will receive. A zero cushion leaves the base budget unchanged.
Compare deductibles without guessing claim probability
Enter two annual premiums and their dollar deductibles for the same coverage, then test one covered loss. With no claim, the modeled annual cost is the premium. With one covered claim, it is the premium plus the smaller of the loss and the deductible.
This comparison assumes the loss is covered in full above the deductible. Coverage limits, exclusions, depreciation, separate wind or hurricane deductibles, multiple claims, and renewal effects need to be reviewed in the policy. If a deductible is expressed as a percentage, convert it using the insured amount named in your policy before entering dollars.
Bring the insurance line into your housing budget
Use the annual homeowners amount in the mortgage payment or home affordability calculator. Keep it separate from property tax, HOA dues, and private mortgage insurance. PMI protects the lender and does not replace homeowners coverage.
Questions about this calculator
How much should I budget for home and car insurance together?
Select your state, choose homeowners or renters coverage, and include the vehicles you want to budget for. The calculator adds the annual amounts and divides by twelve. Replace the published benchmarks with current quotes to make the total specific to your household.
Are these insurance prices current personal quotes?
No. The state benchmarks are historical NAIC observations with the year shown next to the calculator. They do not price your address, vehicle, driving record, coverage, or insurer. Your own premium mode uses the quote or renewal amount you enter.
Does the auto average mean full coverage?
No. NAIC average expenditure reflects the actual mix of policies purchased per insured vehicle. It is not a quote with fixed liability limits plus collision and comprehensive. Compare actual policies with matching limits, exclusions, and deductibles.
Can I estimate renters insurance without including a car?
Yes. Choose renters coverage and turn off the auto line. The result then uses only the HO-4 state benchmark or your own renters premium. Your landlord’s insurance generally covers the building rather than your belongings.
Will choosing a higher deductible save me money?
A higher deductible can come with a lower premium, but the saving must come from an actual quote. Use the deductible comparison with two matching policies to see the annual cost with no claim and with one covered loss. The calculator does not assume how likely a claim is.
Does homeowners insurance include flood or earthquake damage?
A standard homeowners policy generally excludes flood and earthquake damage. Those coverages may require separate policies or endorsements. The HO-3 benchmark here must not be used to estimate their premiums. Check the relevant exclusions and deductibles in your policy.
Why is my insurance renewal much higher than the state average?
The average combines older policies with different properties, vehicles, limits, deductibles, and risk profiles. It also describes an earlier observation year. A difference from that average does not by itself show that a quote is overpriced or that coverage is equivalent.
Terms used here
Annual premium
The price paid for a year of insurance coverage, before any separately billed charges you have not entered.
HO-3
The homeowners policy form used for the published homeowners benchmark on this page.
HO-4
A renters policy form, used here for the published renters benchmark.
Average expenditure
NAIC’s auto spending measure per insured vehicle, reflecting the mix of coverage purchased.
Deductible
The covered loss amount you pay before the policy pays, subject to its terms.
Budget cushion
An additional percentage you choose to reserve; it is not a measured insurance price range.
Practical tips
Compare the same coverage limits, deductibles, policy term, and exclusions on every quote.
Enter the entire household auto premium only once; do not multiply a multi-vehicle quote again.
Use rebuilding cost rather than a property’s sale price when discussing dwelling coverage with an insurer.
Keep an emergency reserve for the deductible separately from the recurring premium budget.
Limits and caveats
Published annual averages are historical benchmarks and do not guarantee price, eligibility, availability, or coverage.
No automatic inflation adjustment, bundle discount, ZIP-level rate, or underwriting surcharge is assumed.
Health, dental, Medicare, flood, and other specialty products require their own data and methods. Their prices cannot be derived from HO-3, HO-4, or auto averages.
Rounding, versioning, and omissions that sit beside the guide rather than repeating it.
Comparable billing periods. Annual premiums are added and divided by twelve. Monthly entries are multiplied by twelve and six-month entries by two. No billing fees or discounts are invented.
The right denominator. Homeowners uses the HO-3 annual average; renters uses HO-4. Auto uses average expenditure per liability-insured vehicle, multiplied by vehicle count. A user-entered multi-vehicle quote is counted once.
Separate uncertainty from arithmetic. Historical averages remain historical. A budget cushion is an explicit user scenario, not an actuarial prediction interval. One-claim comparisons assume a covered loss within policy limits.
Calculation receipt
What each number here is
The arithmetic is decided by your inputs. Official data is printed beside the answer as context, and the answer stands without it.
OBSERVEDNAIC insurance database
Context printed beside the answer. The answer does not depend on it.