Frequently Asked Questions Regarding Texas Homeowners Insurance

Texas is a great place to live, but we’re no strangers to hurricanes, thunderstorms, and other incidents that can wreck your home. It’s not just weather. What would happen if your HVAC technician gets bit by a rattlesnake while working on your property? What if your tree crashes down on your neighbor’s fence? Obviously, understanding your policy options from homeowners insurance companies in Texas is really important. The most commonly-asked questions by Texas homeowner like yourself include the following:

Will my insurance be expensive?

First things first, the good news. Texas is not the most expensive state to insure your home. Now, the bad news. The average home insurance cost in Texas is $3,429. The average home insurance cost in Texas is more than the national average, due to our constant hurricanes. This makes finding a great policy even more important, because it won’t be affordable otherwise!

What does basic insurance cover?

The basic components of a home insurance policy that you decide the coverage amount for include your dwelling, liability, and deductible. A policy that offers $200,000 dwelling coverage,

$1,000 deductible, and $100,000 liability is pretty typical. The limits of your coverage are typically a set percentage of your dwelling coverage limit. It is often something like:

Personal property – 50 percent

Other structures – 10 percent

Loss of use – 20 percent

What coverage do I need?

The best homeowners insurance means getting the right coverage for you. But, how much coverage is right? This means you should get enough dwelling coverage to match the full replacement cost of your home. The cost to repair damage to your home or rebuild it completely at equal quality, at current prices, is the replacement cost. Otherwise, you could find yourself in a really bad situation after a catastrophic loss like a fire. Liability insurance covers the medical expenses of people who are hurt while in your home, as well as damage caused to neighbors’ property. Personal liability also covers legal fees if you are sued, like if a neighbor trips and is injured on your property.

Shouldn’t I go with the lowest monthly payment?

Just like your auto insurance, you pay a certain amount each month and if an accident or incident should occur, the policy covers the rest. The lower your monthly premium, the higher your deductible. This is the amount you pay before your insurance kicks in. For example, if your home has $5,000 worth of damage, and you have a $1,000 deductible, you pay the first $1,000 out of pocket before your insurance coverage kicks in for the rest of the $5,000. Is it better to have a higher premium and a lower deductible? The choice is yours; there’s pros and cons to each.

It’s easy to be a little confused and overwhelmed by all of this, but it’s too important to get wrong. Take your time and calculate exactly what kind of coverage you need. Take your time and you will know for sure you have a policy with the right company!

SGX Nifty Indicates a Muted Opening; Indian Bank and Bank of Maharashtra Raise Funds Via Bonds

Distribution days: Three

Yesterday, Nifty, after a gap up opening, slipped toward the day’s low of 13,473 in the first half of the trading session. However, it posted a handsome recovery in the last hour and came off-lows to close 0.3% higher. Volume was lower than the previous session. Broader markets outperformed as Midcap and Smallcap indices gained 0.6% and 0.8%, respectively. Nifty is trading 9.0% and 25.3% above its 50- and 200-DMA.

On the sectoral front, Nifty Media advanced the most, followed by Nifty Metal and PSU Bank, which gained 1.4% and 1.8% for the day. On the flip side, Nifty Realty and Auto declined in the range of 1.0–1.1%. Market breadth was skewed toward advancers. Of 2,233 stocks traded, 1,204 stocks advanced, 697 declined, and the remaining stocks remained unchanged.

With leadership broadening and indices above relevant intermediate term-moving averages, we will continue to look for leadership-quality growth names to form entry points. After a strong rally, pullback/consolidation (if any) is a constructive sign if Nifty holds its 21-DMA. It is advised to closely review the existing positions and book partial profits in stocks that are extended from their moving averages. On the flip side, tracking distribution days is crucial. Accumulation of distribution days can halt the uptrend.

Key News

Retail inflation for November decreased to 6.93% from 7.61% a month ago.

Indian Bank raised Rs 560 crore by issuing Basel-III compliant bonds on a private placement basis. The coupon on the bond is 8.44% per annum, payable annually.

Bank Of Maharashtra has raised more than Rs 200 crore through a private placement basis. This is part of the company’s Rs 1,000 crore fundraising program.

O’Neil Market Condition Report

For the 24 emerging markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 92%; Rally Attempt, 0%; Uptrend Under Pressure, 8%; Downtrend, 0%.

For the 24 developed markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 67%; Rally Attempt, 0%; Uptrend Under Pressure, 33%; Downtrend, 0%.

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SGX Nifty Indicates a Record Opening; IDBI Bank and Punjab National Bank Open their QIPs

Distribution days: Three

Nifty made a muted opening yesterday and slipped further in the initial hours of the trading session. However, it staged a reversal from the day’s low of 13,447 and recovered about 120 points to close flat for the day. Volume was lower than the previous session. In the broader market, Midcap continued to outperform with a gain of 0.5%, while Smallcap posted a mediocre gain of 0.2%. Nifty is trading 3.2% and 8.8% above its 21- and 50-DMA, respectively. Also, whenever any intraday dip occurred in the last few trading sessions, market participants immediately bought it, marking a positive sign, which indicates strength in the current uptrend.

On the sectoral front, Nifty Media (+1.8%) continued to advance the most, followed by Nifty Metal and Fin Service, which gained 0.8% each for the day. On the flip side, Nifty PSU Bank and FMCG declined in the range of 1.3–1.5%. Market breadth was skewed toward advancers. Of 2,233 stocks traded, 1,204 stocks advanced, 697 declined, and the remaining stocks remained unchanged.

With leadership broadening and indices above relevant intermediate term-moving averages, we will continue to look for leadership-quality growth names to form entry points. After a strong rally, pullback/consolidation (if any) is a constructive sign if Nifty holds its 21-DMA. It is advised to closely review the existing positions and book partial profits in stocks that are extended from their moving averages. On the flip side, tracking distribution days is crucial. An accumulation of distribution days can halt the uptrend.

Key News

Punjab National Bank and Idbi Bank opened their QIPs on December 15 at a floor price of Rs 37.35/share and Rs 40.63/share, respectively.

According to MFIN report, loans disbursed by NBFCs-MFIs declined 43% y/y to Rs 10,617 crore in the September quarter.

O’Neil Market Condition Report

For the 24 emerging markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 92%; Rally Attempt, 0%; Uptrend Under Pressure, 8%; Downtrend, 0%.

For the 24 developed markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 67%; Rally Attempt, 0%; Uptrend Under Pressure, 33%; Downtrend, 0%.

Visit Marketsmith India to Read More About Indian Share Market News, Daily Market Tips, Model Portfolio etc.