Insurance is the line item that surprises move-up buyers twice: once when they see the quote, and again when they discover what's actually in the policy. Here's what changes at seven figures in Texas.

Percentage deductibles : read this part twice

Some Texas policies use percentage deductibles for wind and hail rather than a flat dollar amount. The Texas Department of Insurance homeowners guide explains why deductible terms matter. With $1 million in dwelling coverage, a 1% deductible is $10,000 and a 2% deductible is $20,000 : your share of the claim before the insurer pays anything. A policy that looked cheaper can be dramatically worse in a hail claim. Compare deductible structures, not just premiums.

Replacement cost, not market value

Your homeowners policy rebuilds the house : it doesn't reimburse what you paid for it. On custom homes, the rebuild number includes finishes, and it's routinely different from the purchase price. Make sure the dwelling coverage reflects actual rebuild cost : your insurance agent should run the replacement estimate, and you should ask what it's based on. The lot, the location premium, the school district : none of that is insurable. The sticks and stones are.

The roof decides everything

Texas insurers have gotten strict about roofs: age, material, and condition can drive both the premium and whether a home is eligible for a preferred policy at all. On any luxury purchase: get the roof's age and remaining life in writing during inspections, and start the insurance quote early : before the option period ends : so a roof problem is a negotiation, not a post-closing surprise.

What else to check

  • Flood. Standard policies exclude it; parts of the Southlake area sit near Grapevine Lake tributaries. Flood zone status is checkable by address, and flood insurance is its own conversation.
  • Umbrella liability. At this price point, with a pool and acreage, an umbrella policy is inexpensive relative to what it protects.
  • Scheduled valuables. Jewelry, art, and collectibles have sub-limits on standard policies : they need schedules.

Put it on the option-period checklist

Insurance quotes belong on the same list as inspections: roof documentation, flood-zone check, and two competing quotes with deductible structures compared. The premium difference between two policies on the same house can be thousands per year : money that belongs in your budget model before you offer, not after.

Common questions

How much is insurance on a million-dollar home in Texas?

It varies enormously by roof, age, flood zone, and deductible structure : which is exactly why real quotes during the option period beat any rule of thumb.

What is a percentage deductible?

A deductible calculated as a percent of dwelling coverage : common for wind/hail in Texas. On a big house, 1% is a big number. Compare policies by deductible structure, not premium alone.

Want the insurance picture on a house before you offer? Text me the address: 817-372-9896. It belongs on the checklist : the Southlake city page has the market overview.