Landlord basics
How to read a Texas rental declarations page
AIV Insurance LLC · Updated · How we write these
Short answer. The declarations page is the summary at the front of your policy. Check who is insured, the rental's address, the policy dates, the form (DP-1, DP-2 or DP-3), each coverage and its limit, both deductibles, the list of attached forms, your lender and loan number, and the total with fees and taxes. The attached forms decide what is covered.
A policy runs to dozens of pages; the declarations page (often called the "dec page") is the part written about your house. The Texas Department of Insurance (TDI) says it "summarizes your coverages and deductibles," and that having it handy helps when you "file a claim, renew your policy, or shop for a new one" (TDI, How to read your declarations page). TDI's pages are written about home and auto policies. A landlord policy's page covers the same ground and adds a few lines that matter for a rental: the form (DP-1, DP-2 or DP-3), fair rental value (rent lost while a covered loss is repaired), how the house is used (tenant-occupied, short-term or long-term) and, on some policies, a surplus lines notice.
Where to find it
It came with your policy. Look in your email or your insurance company's online account, or ask your agent. If you have a mortgage, your lender usually has a copy too, because lenders accept the page (or a certificate of insurance) as proof of insurance. It may run to more than one page, and a renewal comes with a new one: read the new one, not last year's.
Who is insured: the named insured
The named insured is the person or company the policy is issued to: the "you" in the policy. On TDI's standard dwelling form, "you" means "the 'named insured' shown in the declarations" and a spouse living in the same household (TDP-3, Definitions). TDI has its own standard Texas Dwelling Policy forms (TDP-1, TDP-2, TDP-3; last revised in 2002). Insurers may still use them, but many now use their own filed forms (Ins. Code §2301.052), and surplus-lines insurers use theirs; we quote the TDI form because it is public.
What to check: the name matches whoever owns the house on the deed, and every co-owner on the deed is named. If an LLC owns the rental, the LLC should be the named insured, not you personally. If a trust owns it, the trustee usually is, in that capacity; ask how the insurance company shows it. See LLC rental property insurance in Texas.
The property: the described location
The page lists the insured address, and often the year built, the square footage, the construction, the roof's age and how the house is used. TDI's advice about these details: "If any of these aren't correct, let your agent know" (TDI).
What to check:
- The address, including the unit number for a duplex.
- How the house is used. A page may say tenant-occupied, owner-occupied, short-term or long-term. A house rented by the night is a different risk from one on a 12-month lease, so tell your insurance company or your agent which it is. See Short-term rental insurance in Texas.
- The roof's age. It can affect how a roof claim is paid (see below).
The policy period
The page shows the start and end dates of the term. The TDI form says the policy "applies only to loss which occurs during the policy period."
What to check: the new term starts the same day the old one ends. A gap of even one day is a day with no coverage, and a later insurance company may ask whether your coverage was continuous. When you switch, put the new policy in force before you cancel the old one; see How to switch rental insurance in Texas.
The form: DP-1, DP-2 or DP-3
This is the most important line on the page and often the hardest to find. It may appear near the top ("Dwelling Special Form", "DP-3") or only as a form number in the forms list. TDI's standard forms are TDP-1, TDP-2 and TDP-3; other forms carry numbers such as DP 00 01, DP 00 02 and DP 00 03, sometimes with a state suffix. In 2003 TDI adopted one insurer's form, DP 00 03TX, and called it "analogous to the Texas Dwelling Policy Form 3 (TDP-3)" (TDI Order No. 03-0110).
| Form | In short |
|---|---|
| DP-1 (basic) | Covers a short list of named causes of loss, such as fire and lightning; other causes only if added |
| DP-2 (broad) | A longer list of named causes |
| DP-3 (special) | Covers the house against any cause of loss the policy does not exclude |
On a basic form the page itself can decide what is covered. The TDI basic form (TDP-1) adds wind, hail, smoke and several other causes only "when a premium for" them "is shown on the declarations," and adds vandalism the same way (TDP-1, Perils Insured Against). On that form, a missing premium line for wind and hail means no wind and hail coverage.
What each form covers: Texas landlord insurance: what a DP-3 covers.
Coverages and limits
Each coverage has a limit, the most the policy pays for it. The TDI form says the insurance "applies to the described location and coverages for which a limit of liability is shown." A coverage with no limit on the page is generally not on the policy, unless the form builds it in as a percentage of the dwelling limit (the amount the house itself is insured for). On the TDI form, other structures (10% of the dwelling limit, on top of it) and loss of rent (up to 20% of the dwelling limit, taken out of it) work that way, with no line of their own (TDP-3, Coverages).
| Line you may see | What it is for | What to check |
|---|---|---|
| Dwelling | Rebuilding the house | Close to today's cost to rebuild, not the sale price. On the TDI form, full replacement cost depends on this limit being at least 80% of the rebuilding cost. |
| Other structures | Detached garage, fence, shed | Often a percentage of the dwelling limit (10% on the TDI form) |
| Personal property | Your own belongings at the rental, such as furniture in a furnished unit or a washer and dryer | Not your tenant's belongings. On the TDI form, a refrigerator and stove you own as a landlord count as part of the dwelling. |
| Fair rental value, or loss of use | Rent lost while a covered loss is repaired | The limit, or the percentage of the dwelling limit the form allows (20% on the TDI form), or a number of months. How it works |
| Liability (premises liability) | A claim that the property injured someone | Many landlord policies include it; some don't. More on liability |
| Medical payments | Small medical bills after an injury at the property | Not a substitute for liability |
Compare coverages by name, not by letter. On the TDI form Coverage B is personal property; on many other forms Coverage B is other structures.
How claims are paid: replacement cost or actual cash value
Some pages say how the house and the roof will be settled; others leave it to the forms list. Replacement cost pays today's repair cost, minus the deductible. Actual cash value takes depreciation ("a decrease in value because of wear and age") off first (TDI home insurance guide). A roof can be settled differently from the rest of the house, sometimes by a schedule based on its age, added by an endorsement (a form attached to the policy that adds or changes coverage). See Roof ACV vs replacement cost in Texas.
Both deductibles
TDI: "You might have separate deductibles for damage from wind and hail (tornadoes and hurricanes) and 'other perils' like fire and theft" (TDI).
- Wind and hail, often a percentage of the dwelling limit, not of the damage. Multiply the percentage by the dwelling limit: that is your wind and hail deductible in dollars.
- All other perils (everything else), usually a flat amount.
- Sometimes a third, for an add-on such as water back-up.
For a policy from a Texas-licensed insurer, the page must list each type of deductible and "state the exact dollar amount of each deductible," and must point to any provision that can change it (Ins. Code §2301.056). That chapter is written for insurers authorized in Texas; surplus-lines insurers, the Texas Windstorm Insurance Association (TWIA) and the Texas FAIR Plan are outside that rule (§2301.051), so their pages may show only the percentage. On the TDI form the deductible does not apply to fire or lightning; other forms differ. The full explanation: Texas wind and hail deductibles, explained.
Endorsements and the forms list
Near the end, most pages list every form attached to the policy by number and edition date. TDI: "If you have extra coverage, it's probably listed near the end." The list is the policy. The page summarizes it; the forms say what is covered and what is excluded.
Forms worth recognizing on a rental:
- the base form (DP-1, DP-2, DP-3 or the insurer's equivalent);
- liability, if it comes as its own form;
- a roof settlement or roof age schedule;
- water back-up, or hidden water or seepage;
- limited theft;
- vandalism, where the base form needs it added;
- a vacancy permit (an endorsement that keeps coverage in force while the house is empty, for a set time);
- anything about home-sharing or short-term rental.
If a form's title doesn't tell you what it does, ask your agent or the insurance company for a copy of the form.
Your lender: the mortgagee
The page names your lender as mortgagee, often followed by "ISAOA/ATIMA", short for "its successors and/or assigns, as their interests may appear", with your loan number and the lender's address. On the TDI form, a covered loss to the building is paid "to the mortgagee shown on the declarations page as interests appear," and the mortgagee named there must be told if the policy is cancelled (TDP-3, Mortgage Clause). TDI adds that if you owe money on your home, the insurance company "will make the check for repairs out to both you and your mortgage company" (TDI home insurance guide).
What to check: the lender's name as your lender spells it, the loan number, and the address. With a wrong loan number, the lender may not match the page to your loan and may treat the house as uninsured. A lender from a loan you have paid off should be removed. If your lender pays the bill from escrow, the page may say "mortgagee billed." More in Texas rental insurance: mortgage and escrow.
Premium, fees and taxes
The page shows the premium, often itemized by coverage, and any discounts. Look for any fee listed beside it. On a surplus-lines policy, look for separate lines:
- Surplus lines tax. 4.85% of the premium when Texas is the insured's home state (Ins. Code §225.004). Texas is the home state when the named insured lives in Texas (for an LLC or other company, when its main place of business is in Texas). It is also the home state when everything the policy insures is in Texas, as with a policy on one Texas rental owned from another state (§225.001(4)). In other cases, another state's tax may apply instead.
- Stamping fee, a small percentage charged through the Surplus Lines Stamping Office of Texas (SLTX).
- Policy or inspection fees, if the insurer charges them.
When you compare two quotes, compare the total, and compare them only after you have checked that the form, the limits and the deductibles match.
The surplus lines notice
Some Texas rental policies are written by surplus-lines insurers: TDI describes them as "out-of-state companies that insure risks that companies in Texas won't insure" (TDI home insurance guide). Every surplus-lines policy must state that it "is with an insurer not licensed to transact insurance in this state," that TDI "does not audit the finances or review the solvency of the surplus lines insurer," that the insurer "is not a member of the property and casualty insurance guaranty association," and the tax rate that applies. It must also show the premium, the taxes, and the names and addresses of the insured, the insurer and the agent (Ins. Code §981.101).
What to check: if you see the notice, you have a surplus-lines policy, and the fees and taxes above apply. If a page mentions a surplus-lines tax but carries no notice, ask your agent for the complete policy documents. Some pages also name a second company that runs the program; the insurance company is the one that pays claims, and claims go to the contact the policy gives.
Red flags
| What you see | Why it matters | What to do |
|---|---|---|
| DP-1 or a basic form, when you thought you had a DP-3 | A much shorter list of covered causes | Ask your agent what the form covers before you compare prices |
| No liability line | The policy may have no liability coverage | Confirm whether it is included, on another form or not at all |
| Roof at actual cash value, or a roof schedule | An older roof may be paid little after depreciation | Ask your agent how a roof claim would be paid before a storm |
| Wind and hail deductible as a percentage only | The dollar figure can be large | Multiply it by the dwelling limit |
| Wrong lender, old lender or wrong loan number | Proof of insurance may not match, and claim checks carry the lender's name | Send the insurance company the correct details |
| Named insured is you, but an LLC owns the house | The policy pays up to the named insured's interest in the house, which is then open to question | Ask your agent to correct it |
| Owner-occupied or long-term, when guests stay by the night | The use on the page doesn't match the house | Tell your insurance company or your agent how the home is rented |
| A gap between the old term's end and the new term's start | Days with no coverage | Ask the new insurance company to start on the old policy's end date |
| A basic form with no premium shown for wind and hail | On the TDI basic form, wind and hail are not covered | Ask your agent now |
A short checklist
- Named insured matches the owner on the deed
- Address, unit and use (tenant-occupied, short-term or long-term) are right
- Dates run with no gap from the last term
- Form is DP-3 or equivalent, or you know why it isn't
- Dwelling limit reflects today's rebuilding cost
- Liability limit is shown
- Both deductibles, with the wind and hail one worked out in dollars
- Roof settlement basis is known
- Lender name and loan number are right
- Total, with fees and taxes, is the figure you compare
AIV Insurance is an independent insurance agency in Texas. We are not an insurance company, and your policy decides what is covered. We can read your declarations page with you, line by line; a PDF or a clear phone photo is enough. Reach us through the contact page or at hello@aivinsurance.com and we'll tell you how to share it.
Frequently asked questions
What is a declarations page?
The Texas Department of Insurance (TDI) calls it "the first page of your policy" and says it "has a summary of your policy, including your coverages, dollar limits, and deductibles" (TDI). On a landlord policy it also names who is insured, the rental's address, the policy dates, the lender and the premium.
Where do I find my declarations page?
It came with your policy. Look in your email or your insurance company's online account, or ask your agent. Your lender may also have a copy, because it usually receives one (or a certificate of insurance) as proof of insurance.
How can I tell if my landlord policy is a DP-1 or a DP-3?
Look for the form name or number on the declarations page or in its list of forms. Texas's standard forms are TDP-1, TDP-2 and TDP-3; other forms carry numbers such as DP 00 03 for the special form. If the page doesn't say, ask your agent before you compare prices: a DP-1 covers far fewer causes of loss.
Why does my declarations page show two deductibles?
Many Texas rental policies have one deductible for wind and hail and another for everything else. The wind and hail one is often a percentage of the dwelling limit (the amount the house is insured for). A Texas-licensed insurer's page must "state the exact dollar amount of each deductible" (Ins. Code §2301.056); a surplus-lines page may show only the percentage.
What does "mortgagee" mean on a declarations page?
The mortgagee is your lender. On the Texas Department of Insurance's standard dwelling form, a covered loss to the building is paid "to the mortgagee shown on the declarations page as interests appear" (TDP-3), so check that the lender's name and your loan number are right.
What is the surplus lines notice on my declarations page?
It is a statement Texas law requires on every surplus-lines policy. It says the insurer is "not licensed to transact insurance in this state," that TDI does not audit its finances, and that it "is not a member of the property and casualty insurance guaranty association," and it names the tax rate (Ins. Code §981.101). It tells you what kind of insurer it is.
Sources
- Texas Department of Insurance, How to read your auto or home insurance declarations page (updated January 30, 2026)
- Texas Department of Insurance, Home insurance guide (cb025, updated June 1, 2026)
- Texas Department of Insurance, Texas Dwelling Policy Form 3 (TDP-3, revised January 1, 2002), as mirrored by the Independent Insurance Agents of Texas
- Texas Department of Insurance, Texas Dwelling Policy Form 1 (TDP-1, effective July 8, 1992, revised January 1, 2002; reprint © 2003), as mirrored by the Independent Insurance Agents of Texas
- Texas Insurance Code §§2301.051, 2301.052 and 2301.056 (which insurers the chapter covers; regulation of policy forms; deductibles on the declarations page)
- Texas Insurance Code §981.101 (what a surplus-lines policy must state and show)
- Texas Insurance Code §§225.001 and 225.004 (home state; surplus lines tax)
- Surplus Lines Stamping Office of Texas, Stamping fees and taxes (read September 30, 2026)
- Texas Department of Insurance, Commissioner's Order CO-03-0110, New Property Endorsements (2003; adopts one insurer's dwelling forms and compares them with the TDP-3)
Last reviewed . Rules, figures and web pages change; the linked source is the authority.
Related guides
- Texas landlord insurance: what a DP-3 coversHow a DP-3 landlord policy works in Texas, what it usually leaves out (liability, theft, flood, foundation), and what to check before your renewal.
- Texas wind and hail deductibles, explainedIn Texas the wind and hail deductible is often a percentage of the dwelling limit, not of the damage. How to turn it into dollars before you choose.
- Landlord liability insurance in TexasThe standard Texas dwelling form has no liability section. How to tell if liability is on your landlord policy, what it covers, and how much to carry.
- Roof ACV vs replacement cost in TexasOn an older roof, actual cash value can pay little or nothing. How Texas rental policies settle roofs, the 80% rule, and what to check at renewal.
- Texas rental insurance: mortgage and escrowNo Texas law requires rental insurance, but your lender will. What a lender can and can't demand, how escrow pays, and what force-placed insurance is.
- Texas landlord insurance glossaryPlain-English definitions of the terms on a Texas landlord policy, from actual cash value and fair rental value to surplus lines and the vacancy clause.