Compare Home Insurance Quotes May 2024 (2024)

Your home is likely one of your biggest investments, so it makes sense to protect that investment with the best homeowners insurance policy you can buy.

The best way to find an affordable policy without sacrificing coverage is by comparing home insurance quotes from multiple insurers. The price for similar coverage can vary drastically among insurers, as you’ll see below.

Compare Home Insurance Rates by Company

Among the home insurance companies we analyzed, average rates increase by 32% on average from $350,000 to $500,000 in dwelling coverage and a 39% cost increase going from $500,000 to $750,000 in coverage.

Source: Quadrant Information Services.
*USAA home insurance is available only for military members, veterans and their families.

Home Insurance Company Reviews

We analyzed average home insurance rates, consumer complaints about home insurance, the availability of extended and/or guaranteed replacement cost coverage, and banned dog lists, which can make some dog owners ineligible for coverage.

We found that the best home insurance companies are:

*USAA home insurance is available only to veterans, military members and their families.

• State Farm: State Farm offers an excellent 23% average discount on bundling home and auto policies. The company also has a very low complaint level for home insurance customers. Its extended replacement cost coverage improves your dwelling coverage limits if you have to rebuild your home.
• USAA: USAA is only available to veterans, military members and their families. It has very good home insurance prices, very low complaint levels compared to competitors and offers extended replacement cost for dwellings. The company also doesn’t have a banned dog list for home insurance. Additional coverage offered include home sharing coverage, earthquake insurance and flood insurance.
• Chubb: Chubb offers high liability limits of up to $100 million and a cash settlement if you decide not to rebuild or you build at another location. The insurer also has extra benefits like coverage for tree removal after a storm, lock replacement if your keys are lost or stolen, and restoration of electronic data destroyed by a computer virus. Its HomeScan program helps you find leaks, insulation problems and faulty electrical connections.
• Erie: Erie has competitive home insurance rates coupled with low customer complaint levels. The company’s Extended Water covers natural disaster floods typically not covered by home insurance. Its SecureHome policies offer additional coverage for misplacing and lost jewelry, watches, silverware and guns.
• Nationwide: Nationwide offers good home insurance rates and dwelling replacement cost plus, which provides expanded coverage. You can also add more coverage to your policy, such as earthquake insurance, flood insurance and identity theft protection. Dog owners may appreciate that the company doesn’t have a banned dog list for home insurance.
• Westfield: Westfield has one of the best average home insurance rates for multiple levels of coverage and a low customer complaint rate. The company allows you to expand home coverage through extended replacement and guaranteed replacement cost coverage. It also provides home equipment breakdown coverage in some policies.
• American Family: American Family has low complaint levels and offers extended and guaranteed replacement cost coverage for dwellings if rebuilding costs exceed your house’s coverage limits. The insurance company also offers other policy add-ons, such as sump pump and water backup coverage, hidden water damage coverage, and credit theft protection and monitoring.

How to Shop for Home Insurance

Getting home insurance quotes is simple. You can use a broker or get home insurance quotes online.

What Is a Home Insurance Quote?

A home insurance quote is a free estimate of how much you will pay for a home insurance policy.

Each insurer has its own formula for calculating quotes, which is why it’s advantageous to compare home insurance quotes from multiple companies. If you skip this crucial step, you could miss out on significant savings.

Get Free Homeowners Insurance Quotes

Here are two ways to get free home insurance quotes:

• Online. Some home insurance companies offer free quotes online. You can visit several insurance company websites to gather quotes. Or you can save time by using a quote comparison website that provides quotes from multiple companies.
• By phone or in-person. You can speak with a local insurance agent who can help you choose your coverage and find the best rates. Speak with an independent agent who can get quotes from multiple companies. A “captive” agent works for one insurance company and can give you a quote only from that insurer.

What Information Do I Need to Get Homeowners Insurance Quotes?

To make the home insurance quote gathering process go as smoothly as possible, have this information on hand:

• Your address.
• Purchase date of your home.
• The year the house was built.
• Approximate size of your living area.
• Number of stories.
• Number of full and half bathrooms.
• Distance to a fire hydrant.
• The age of your roof.
• The shape of your roof (like gable or hip).
• Exterior type (like stone, wood or stucco).
• Type of foundation (like slab or concrete basem*nt).
• If you have a garage (attached or unattached).
• Members of your household.
• Any dogs in your home.
• Information on your plumbing, electrical and heating systems.
• Any protective devices, like smoke alarms, burglar alarms or water-leak detection systems.
• Information if you are running a home-based business.
• Personal information, such as your date of birth and marital status.
• Your recent history of home insurance claims.
• The amount of your mortgage.
• Your net worth (this will help determine your liability insurance need).

How to Compare Homeowners Insurance Quotes

While home insurance quotes are a key factor in choosing a company, they shouldn’t be the only consideration. The best home insurance companies also offer good customer service and important coverage types like extended and/or guaranteed replacement cost coverage.

Here’s a check-list for comparing homeowners insurance quotes:

• Determine rebuilding costs. You want your dwelling coverage amount to be equal to the cost of rebuilding your home with equitable materials, based on material and labor costs in your area. Ask your insurance company to calculate that number for you.
• Assess how much liability coverage you need. Consider an amount that matches the value of what could be taken from you in a lawsuit, or at least $300,000.
• Consider add-on coverage for your belongings. If you have high-value items you might want to consider scheduling personal property for certain pricey possessions.
• Evaluate replacement cost coverage. Consider replacement cost coverage for your belongings—you will get the amount you need to replace your items with new versions.
• Identify coverage gaps. Some home insurance companies offer add-on benefits—for instance, to pay for damage from water backups or to provide higher limits for landscaping such as trees and shrubs.
• Check for discounts. You may get a home insurance discount for many reasons, including putting in home security features, buying auto insurance and home insurance from the same company or installing weather preventive materials.
• Review financial ratings. Research financial strength ratings from ratings agencies such as AM Best or Standard & Poor’s. Some banks may not finance your mortgage unless your insurance company has at least an “A” financial strength rating.
• Compare quotes from multiple insurance companies. The price for the same coverage can vary significantly among insurers. If you don’t shop around, you won’t know how much you can potentially save.
• Dog owners should be aware of banned dog lists. Dog owners of certain breeds may need to look harder for coverage. Examples of dog breeds banned by home insurance companies typically include Akitas, Chow chows, Doberman pinschers, pit bulls, Presa Canarios, Rottweilers, wolf dogs and wolf hybrids. Not all insurers have banned breed lists. But even if you don’t own a banned breed, you can have difficulty finding home insurance that will cover your dog if it has a biting history.

What Factors Influence Homeowners Insurance Quotes?

Home insurance quotes will depend on several factors, including:

• The age of the house.
• The materials that make up your home (like stone or wood).
• The cost to rebuild your home.
• Your location.
• The fire rating in your area.
• The claims history in your area.
• Your personal claims history.
• The coverage amount and policy limits.
• Your deductible amount.
• Your credit (except in California, Maryland and Massachusetts).

How Much Does Homeowners Insurance Cost?

The national average cost of homeowners insurance is $1,678 per year, according to Forbes Advisor’s analysis. This is for a home insurance policy with $350,000 of dwelling coverage and $100,000 of liability coverage.

Related: Estimate your Homeowners Insurance Cost

What Is the Cheapest Home Insurance?

Progressive has the cheapest homeowners insurance at an average of $729 per year for $350,000 in dwelling coverage, among the companies we analyzed. Progressive also has the cheapest cost of homeowners insurance for $200,000, $500,000 and $750,000 in dwelling coverage.

You might find that other insurance companies are able to offer you better rates. That’s why it’s wise to get home insurance quotes from multiple companies.

*USAA home insurance is available only to veterans, military members and their families.

Compare Home Insurance Costs by State

Hawaii (average of $330 a year) is the cheapest state for homeowners insurance, based on Forbes Advisor’s analysis of average homeowners insurance rates by state. Oklahoma (average of $4,025 a year) is the most expensive.

Rates are based on a 40-year-old female homeowner with good credit and include personal property coverage, liability insurance, medical payments coverage and additional living expense coverage. Source: Quadrant Information Services.

What Does Homeowners Insurance Cover?

A standard home insurance policy (often called an HO-3) covers your house for any problem that’s not specifically excluded in your policy (such as earthquakes and floods).

Your personal property is covered for specific “perils,” which is insurance-speak for “problems.” Fires, tornadoes, explosions, vandalism and theft are just some of the problems covered by home insurance.

A standard home insurance policy can be broken down into these main coverage types:

• Dwelling: Dwelling coverage pays to repair or rebuild your house and its attached structures, such as a deck or garage.
• Other structures: This pays to repair or replace structures that aren’t attached to your home, like barns, fences and sheds.
• Contents: Personal property coverage, or contents coverage, pays to repair or replace your personal property after a problem, such as theft or fire. Your personal items include clothing, furniture, jewelry, appliances, rugs and other types of items.
• Liability: This pays for property damage and injuries you accidentally cause to others. For example, if your dog bites someone, your liability home insurance can pay for a court judgment, settlement and the cost of your legal defense.
• Medical payments to others: Covers small medical bills when someone blames you for their injuries because of your accidental actions (or someone in your household) or your pet’s. Medical payments coverage is usually $1,000 to $5,000 and can be paid without determining fault.
• Additional living expenses: If you cannot live in your home due to a problem covered by your policy (like a fire), additional living expenses coverage pays for costs like hotel bills, restaurant meals and other necessary expenses, like pet boarding or laundry service.

Typical Amounts of Home Insurance Coverage

What Is Not Covered by Homeowners Insurance?

A standard home insurance policy excludes several types of problems. For example, common exclusions for house damage found in an HO-3 include floods, earthquakes, sinkholes, war, power failure, nuclear hazard, wear and tear, intentional loss, and vermin and insect infestations.

Read your policy closely so you understand what is excluded from coverage.

Common Homeowners Insurance Types

Here’s the types of home insurance that you can match to your living situation.

• HO-1: This type of policy is not sold in many states. If you have a mortgage, you’re likely required to have a better home insurance policy. HO-1 policies usually cover only your house for 10 “perils,” or problems. Belongings are not covered under this policy.
• HO-2: An HO-2 policy provides coverage for your house and other structures on your property, your belongings, liability insurance, additional living expenses and medical payments. However, coverage for your house and belongings is only for the specific perils, or problems, listed, such as fire.
• HO-3: The HO-3 covers your house and other structures, as well as your possessions. It also includes liability insurance, additional living expenses and medical payments coverage. It covers damage to your house from all perils unless they are specifically listed as exclusions, such as floods. Your personal property is covered for 16 types of problems, such as theft and fire. HO-3 policies are the most common type of home insurance policy.
• HO-4: An HO-4 policy is for renters and covers your belongings. Renters insurance includes coverage for liability, medical payments, and additional living expenses. A landlord needs to buy separate coverage to protect the property and it provides liability coverage. Landlord insurance doesn’t cover a tenant’s belongings.
• HO-5: An HO-5 policy offers the highest level of protection for houses and belongings. It covers your house and belongings under all circ*mstances except problems specifically listed as exclusions. An HO-5 also includes replacement cost coverage for your belongings.
• HO-6: An HO-6 policy covers condominiums. Condo insurance covers walls, floors and ceilings of your unit and what you own that’s in it, and includes coverage for liability, additional living expenses and medical payments.
• HO-7: This mobile home insurance policy is for mobile homes and is similar to an HO-3.
• HO-8: An HO-8 is designed for older and historic homes, which usually have a rebuilding cost that’s higher than the market value of the house.

How Do I Determine How Much Homeowners Insurance I Need?

The amount of coverage you select will be a major factor in determining your home insurance costs. Considering your financial investment in your home and all of your belongings within it, you don’t want to skimp on coverage. Having adequate coverage is crucial in case of total destruction such as a fire or tornado.

To determine how much home insurance you need, look at each coverage type and adjust the amounts as necessary. For example, you may want to consider scheduling personal property if you own high-value items like jewelry, artwork or family heirlooms.

You also want to make sure your dwelling coverage amount matches the cost to rebuild your home with equitable materials, and that you have enough liability insurance to protect your savings and assets if you are sued.

Other Home Insurance Coverage Types

A standard home insurance policy may be insufficient for your property’s needs. You can typically buy add-ons to a policy or separate policies to plug coverage gaps. Here are some to consider:

• Earthquake insurance: A standard home insurance policy does not cover earthquake damage. If you live in a quake-prone area, consider buying earthquake insurance.
• Flood insurance: A standard home insurance policy won’t cover your home for flood damage. You can buy flood insurance from FEMA or the private flood insurance market.
• Increased dwelling coverage: If disaster strikes your region, there may be a surge in local construction costs. Home insurance with extended or guaranteed replacement cost coverage helps absorb spikes in labor and material costs. Not all home insurers offer these upgrades, though.
• Personal cyber insurance: This add-on pays for expenses to help you recover from cyber attacks such as ransomware attacks, data breaches and online fraud. Some personal cyber insurance policies include access to fraud specialists, active cyber monitoring and lawsuit protection for unintentional online libel, slander or invasion of privacy.
• Replacement cost coverage: When it comes to actual cash value vs. replacement cost coverage, replacement cost is the superior choice. That’s because it pays to replace your damaged items with new items, while actual cash value coverage pays only the depreciated value.
• Water backup: You can typically add water backup coverage to cover damage from backed up drains, sewers and sump pumps.

Methodology

To find the best home insurance companies we scored companies based on these factors:

• Home insurance rates (50% of score): Based on average rates for each insurance company for homes with dwelling coverage of $200,000, $350,000, $500,000 and $750,000. Source: Quadrant Information Services.
• Complaints (20% of score): Based on complaints about home insurance that were upheld by state insurance departments. Source: National Association of Insurance Commissioners.
• Availability of extended and/or guaranteed replacement cost coverage (20% of score): Extra dwelling coverage is valuable in the event of large disasters, when construction materials and labor costs tend to spike. We gave points to companies that offer either extended or guaranteed replacement cost coverage. Source: Forbes Advisor research.
• Banned dog lists (10% of score): Banned dog breed lists can make homeowners ineligible for coverage. (A company’s banned dog list might not be applicable in all states.) While any homeowners insurance company could potentially ban any dog with a biting history, not all put a ban on specific breeds. Source: Forbes Advisor research.

Compare Homeowners Insurance Quotes Frequently Asked Questions