Homeowners insurance costs an average of $1,784 a year, or about $149 a month, according to NerdWallet’s analysis. However, this is just a benchmark. Show
Our sample policy includes $300,000 of dwelling coverage, $300,000 of liability coverage and a $1,000 deductible. The cost of your own homeowners insurance will depend on your location and house size and how much coverage you need. We’ve analyzed pricing data from 150 insurance companies to bring you the average homeowners insurance cost in every state and the largest U.S. cities. Why you can trust NerdWallet Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our writing and data analyses. You can trust the prices we show you because our data analysts take rigorous measures to eliminate inaccuracies in pricing data and may update rates for accuracy as new information becomes available. We include rates from every locale in the country where coverage is offered and data is available. When comparing rates for different coverage amounts and backgrounds, we change only one variable at a time, so you can easily see how each factor affects pricing. Read our methodology. How much is homeowners insurance in your state?Where you live is a big factor in how much you’ll pay for homeowners insurance. Hover over your state on the map below to see the average home insurance cost. Average homeowners insurance rates vary widely. Our analysis found that the average home insurance cost is less than $1,000 in some states, including Hawaii, Delaware and Vermont. Meanwhile, states such as Oklahoma, Nebraska and Texas have average annual rates above $3,000. Here are annual and monthly average home insurance costs by state.
Here are the cheapest states for homeowners insurance:
These are the most expensive states for homeowners insurance:
How much is homeowners insurance in your city?We analyzed prices in the 20 largest metropolitan areas in the U.S. to find the average homeowners insurance cost in each city. Dallas had the most expensive average rate at $3,887 a year. Meanwhile, Las Vegas was the cheapest city on the list, with an average annual rate of $1,018.
Average homeowners insurance cost by companyWe looked at average rates from 10 of the largest homeowners insurance companies in the U.S. by market share. Erie came in as the cheapest on the list, with an average annual rate of $1,356. Meanwhile, Travelers was the most expensive, with an average annual rate of $2,872. Here are average annual home insurance rates for 10 of the largest companies. Note that some may not offer homeowners insurance in your state.
Average homeowners insurance cost by claims historyIf you have previous homeowners insurance claims, you’ll likely pay a higher rate. Here’s how filing a claim could affect your homeowners insurance costs.
Average homeowners insurance cost by home ageOlder homes often cost more to insure because they typically don’t have the safety features that newer homes do, and repairs can be costly. See below to compare the average annual cost of insuring a new home vs. an older home. (Coverage limits were the same for all three houses.)
What is included in a home insurance rate?Homeowners insurance policies typically include six standard coverage areas:
How to reduce the cost of homeowners insuranceInsurers use a variety of factors to price homeowners insurance rates. For example, you might pay more if you live in a neighborhood with a high crime rate or in an area prone to hurricanes. You’ll also have higher rates if you have a larger home that needs more coverage. Some insurers will charge more for things like installing a swimming pool or having a dog breed they consider aggressive. (They see these scenarios as potential liability claims if someone gets hurt.) Aside from selling your house or getting rid of your furry pal, there are many ways to reduce what you pay for homeowners insurance: Shop around. Getting home insurance quotes annually is the best way to ensure you’re still getting the best possible deal. We recommend comparing rates from at least three companies. Make sure the coverage limits and deductibles are similar on all three policies to get a fair comparison. If you're not up for shopping around yourself, contact an independent agent or broker to get quotes on your behalf. Raise your deductible. A higher deductible will mean a lower home insurance rate. Raising your deductible from $1,000 to $2,500 can save you 12% a year on average, according to NerdWallet’s rate analysis. Make sure you have enough cash tucked away to pay it if you need to file a claim.
Make renovations. Certain upgrades — such as updating an electrical or plumbing system — could lower homeowners insurance costs. Getting a new roof could also net you a discount, especially if it’s resistant to wind and/or hail. Build your credit. In most states, insurers can use your credit-based insurance score (similar to your FICO score) to set rates. Because some studies have shown a correlation between poor credit and filing claims, those with a checkered credit history may pay more for homeowners insurance. For example, the sample homeowner in our rate analysis has good credit and would pay $1,784 a year for insurance, on average. For the same house and coverage limits, a homeowner with poor credit would pay $3,142, on average — a 76% increase. Though it may take time, building your credit could save you a lot on homeowners insurance over the long run. Using credit to set homeowners, renters, condo and mobile home insurance prices is not allowed in California, Maryland and Massachusetts. Find the best homeowners insurance in your stateDon't see your state below? Check back soon — we’re adding more home insurance stories all the time. Frequently asked questions Why is home insurance so expensive? Your homeowners insurance might cost more than expected if your home is older, your region is at high risk for natural disasters or you have poor credit, among other factors. But every insurance company prices policies a little differently. So if you’re unhappy with your rate, get quotes from at least three other companies to see if you can find a better deal. How can I save money on homeowners insurance? Most carriers offer discounts if you buy more than one policy or if you safeguard your home with a burglar alarm or sprinkler system. Opting for a higher deductible can also save you money, as long as it’s an amount you could cover in a disaster. Is home insurance cheaper if you pay yearly? Some companies offer discounts if you pay your premium in full upfront rather than in monthly installments. What is the average cost of homeowners insurance in the US?In the U.S. as a whole, the average cost of homeowners insurance is $1,680 per year and $140 per month — but the cost of coverage varies significantly based on state laws, your home's location and the cost to rebuild.
Which home insurance is the most expensive?The average cost of homeowners insurance nationwide in 2022 is $2,777 a year, but rates vary by state. Oklahoma is the most expensive state for home insurance at $5,317 a year, while Hawaii has the lowest home insurance rates, averaging $582 a year.
What state has the most expensive homeowners insurance?The most expensive states for home insurance. Oklahoma. Average annual premium: $3,519. ... . Nebraska. Average annual premium: $2,816. ... . Kansas. Average annual premium: $2,694. ... . Arkansas. Average annual premium: $2,142. ... . New Mexico. Average annual premium: $2,024. ... . South Dakota. Average annual premium: $1,917. ... . Texas. ... . North Dakota.. How much does homeowners insurance cost in San Francisco?The Average Cost of Homeowners Insurance in San Francisco for 2021. The average cost of home insurance in San Francisco is $2,092 per year or about $174 per month.
|