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No. The Texas FAIR Plan Association (TFPA) eliminated the 1% wind and hail deductible for homeowners policies on or after July 1, 2026. The lowest wind and hail option is now 2%, and existing FAIR Plan homeowners policies with a 1% wind and hail deductible change to 2% automatically at renewal.
What changed on July 1, 2026
In a notice published April 27, 2026, TFPA announced deductible changes for its homeowners policies, approved by the Texas Department of Insurance (TDI) after a vote by the TFPA Governing Committee. On or after July 1, 2026, the 1% wind and hail deductible option is eliminated for TFPA homeowners policies.
Available wind and hail deductibles are now 2%, 3%, 4% and 5%. All other perils deductibles are available at 1%, 2%, 3%, 4% and 5%, and separate (split) deductibles for wind and hail and for all other perils are permitted.
If you already have a FAIR Plan homeowners policy with a 1% wind and hail deductible, it changes to 2% automatically at renewal. TFPA also says deductibles cannot be changed on policies currently in force, and that a Notice of TFPA Deductible Option Changes is included in renewal offer and policy packets.
What a 2% deductible means in dollars
Percentage deductibles are generally figured on your dwelling coverage amount, not on the size of the claim. As simple math, on a home insured for $300,000, 1% is $3,000 and 2% is $6,000. Check your own declarations page for the exact amount and how your policy applies it.
What the Texas FAIR Plan is
TFPA says it was established by the Texas Legislature to provide essential property insurance for eligible Texas property owners when no one else will. It describes itself as providing coverage to properties that are denied by other insurance carriers, and says it does not compete with the private market.
Who ends up on the FAIR Plan
According to TFPA, applicants must have two declinations from other insurers to obtain coverage. In practice, that usually means homeowners who were turned down by regular (voluntary-market) carriers or who received a nonrenewal and could not find replacement coverage.
Since January 1, 2026, Texas law (HB 2067) requires insurance companies to tell you in writing why they declined, canceled or didn't renew your home insurance, according to TDI. That written reason can help you fix an issue, such as unrepaired prior damage, that may make your home insurable in the regular market again.
Shop the voluntary market first
TFPA's own website tells people to find an agent before qualifying for TFPA. An independent agency like Spyglass Insurance Agency can quote your home with the carriers we represent before you settle for a policy of last resort, and can review your FAIR Plan policy at renewal to see whether a regular-market option has opened up.
If the FAIR Plan is the right fit, we can walk you through the deductible choices above, including whether a split deductible makes sense for you. Rates in the regular market are also moving in different directions by carrier this year; see our guide to shopping your Texas homeowners renewal.
Related guides
Frequently asked questions
Can I still get a 1% wind and hail deductible from the Texas FAIR Plan?
No. For TFPA homeowners policies on or after July 1, 2026, the 1% wind and hail deductible option is eliminated. Wind and hail deductibles are available at 2%, 3%, 4% and 5%.
What happens to my existing FAIR Plan policy with a 1% deductible?
TFPA says all current homeowners policies with a 1% wind and hail deductible will automatically change to 2% at policy renewal. Deductibles cannot be changed on policies currently in force.
Can I still get a 1% deductible for other perils?
Yes. TFPA lists all other perils deductibles of 1%, 2%, 3%, 4% and 5%, and allows separate (split) deductibles for wind and hail and for all other perils.
Who qualifies for the Texas FAIR Plan?
TFPA says applicants must have two declinations from other insurers to obtain coverage. It provides coverage for eligible properties denied by other carriers.
Should I go straight to the FAIR Plan if I was nonrenewed?
Not necessarily. TFPA itself suggests finding an agent first. An independent agency can check regular-market carriers before you apply for a FAIR Plan policy.
Educational information only, current as of the publish date. Not legal advice and not a guarantee of coverage, eligibility or rates; all policies are subject to underwriting and the terms of the policy.
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