Home Insurance in Cottonwood, Texas
Homes in Cottonwood carry a median value of $293,200 - 9% lower than the Kaufman County median.
The typical home in Cottonwood was built around 1989. Because older housing stock often has aging wiring, roofing or plumbing, it can cost more to insure or rebuild. About 6% of homes were built before 1960, in line with Kaufman County (6%).
Mobile and manufactured homes typically need a manufactured-home (HO-7) policy rather than a standard homeowners policy. The housing stock in Cottonwood is 92% single-family homes and 8% mobile or manufactured homes.
In Cottonwood, about 62% of owner-occupied homes have a mortgage - lenders require hazard insurance on every mortgaged home.
Cottonwood has an owner-occupancy rate of 65% and a vacancy rate of 6%; unoccupied homes typically need a different coverage form.
Most homes in Cottonwood - 87% - are primarily heated with electricity. Homes heated with propane can carry added fire risk. Fuel-tank leaks and spills are often excluded from standard homeowners policies.
Kaufman County's top FEMA-rated hazard is hail (Relatively High), per FEMA's National Risk Index. Kaufman County had 240 active NFIP flood policies as of September 2026. See the full Kaufman County home insurance overview for all FEMA hazard ratings and flood coverage details.
In Texas, the statewide average premium for a standard HO-3 homeowners policy is $2,864 per year (NAIC, 2023 data).
Key figures
| Median home value | $293,200 |
|---|---|
| Median year built | 1989 |
| Owner-occupied share | 65% |
| Share of owner-occupied homes with a mortgage | 62% |
| Top county hazard | Hail (Relatively High) |
| Active NFIP policies in Kaufman County | 240 |
| Home insurance premium | $2,864 - statewide average (NAIC, 2023 data) |
Nearby towns
Sources
Data last updated: 2026-09-29
- U.S. Census Bureau Gazetteer Files (2024)
- U.S. Census Bureau, American Community Survey 2020-2024 5-Year Estimates (2024)
- FEMA National Risk Index (December 2025)
- FEMA OpenFEMA NFIP Redacted Policies v3 (2026)
- NAIC Dwelling Fire, Homeowners Owner-Occupied, and Homeowners Tenant and Condominium/Cooperative Unit Owners Insurance: Data for 2023 (published 2026) (2023)