Compare homeowners insurance quotes for July 2024

Key points

• The average cost of homeowners insurance is $1,935 per year.
• Comparing homeowners insurance quotes can help you determine the best rate for your coverage needs.
• When comparing quotes from homeowners insurance companies, consider customer complaint levels as well as cost.

Comparing homeowners insurance quotes from several companies can help you get the best coverage for your needs at the most affordable price point. 

What is a homeowners insurance quote?

A homeowners insurance quote is an estimate of how much you will pay for home insurance with a particular insurer, based on information you provide.

To get a home insurance quote, you’ll need to provide details about the house you want to insure, such as its rebuild value, age, roof type, building materials and where it’s located. You’ll also need to provide information about yourself, like your insurance and claims history.

You can get free quotes online, over the phone or with an online home insurance quote comparison tool. Online comparison tools can be helpful because they allow you to look at multiple quotes from different companies at once, ensuring you’re comparing apples to apples when it comes to coverage. 

Compare home insurance quotes by company

Homeowners insurance quote comparisons can help you save on home insurance costs. 

In addition to comparing quotes, it’s important to check out a home insurance company’s customer complaint level to get an idea of how well the company does with customer service and paying out claims. 

For instance, Progressive offers an annual average rate of $901 — less than half of State Farm’s annual average rate of $1,816 — but State Farm has a lower customer complaint level, based on our analysis of home insurance companies.  

Compare home insurance rates by dwelling coverage

The rebuild value of your house will directly impact how much you pay for home insurance. Houses that are more expensive to rebuild require higher levels of dwelling coverage, resulting in more expensive annual rates. 

Homeowners seeking $200,000 in dwelling coverage pay an average of $1,117 per year, while those taking out policies with $750,000 in dwelling coverage pay an average of $2,950 per year, according to our analysis of rates.

Average cost of homeowners insurance by state

To get a home insurance quote, you must provide your ZIP code. Homeowners insurance rates vary by state and even by neighborhood. Here are the average home insurance costs in each state for different levels of dwelling coverage. 

Our insurance experts weighed coverage options, discounts and consumer complaint levels to determine the best home insurance companies.

How to compare homeowners insurance quotes

When reviewing multiple quotes for homeowners insurance, think about more than finding the lowest cost. 

“Consider financial ratings, coverage options, quality of the claims service, discounts, ease of use through online and mobile apps, customer service and price,” said Janet Ruiz, Director of Strategic Communications at the Insurance Information Institute. 

Here are the steps to take to find the best home insurance policy to suit your needs.

1. Estimate your house’s replacement cost value

How much you need in dwelling coverage — the part of your homeowners insurance that pays to rebuild your house structure — depends on your house’s replacement cost value, or rebuild value. This value is the amount it would cost to rebuild your house from the ground up using similar materials if it were destroyed by a problem covered by your policy, like a fire. 

You can get an estimate of your house’s replacement cost in a few ways:

• Ask an insurance agent or company.
• Hire an appraiser. 
• Use an online replacement cost calculator. 
• Get a rough estimate yourself by multiplying your house’s square footage by local building costs per square foot. You can ask an appraiser or real estate agent for average building costs in your area. 

In the tables above, you can see average rates for different dwelling coverage limits to get a feel for how much you may pay based on your house’s rebuild value. 

2. Estimate the total value of your assets 

Home insurance contains liability insurance, which pays for another person’s medical expenses or property damage repair costs if you’re responsible for injury or damage. 

Liability insurance also helps pay for your legal representation and any judgments or settlements if you’re sued over an incident for which you’re at fault, such as your dog biting someone at the park. 

When calculating how much liability coverage you need, consider how much you can afford to lose in a lawsuit. To do this, you’ll need to estimate the total value of your assets. 

Calculate your coverage: How much homeowners insurance do I need?

3. Consider additional coverage you may need

Adding additional coverage to your homeowners policy, like earthquake insurance or extended replacement cost coverage, will raise your rates, but might be worthwhile depending on your needs. 

If you’re adding additional coverage, make sure each quote reflects the same type and amount of coverage so that you’re getting an apples-to-apples comparison.

4. Look at different home insurance rates

For many homeowners, the cost of insurance plays a major role in the decision-making process. Annual rates can vary among insurance companies for the same coverage amount. 

In addition to comparing initial quotes based on coverage amounts, consider how discounts offered by individual insurance companies affect your actual rate. 

5. Ask about discounts

Homeowners insurance companies offer an array of discounts. Policy-related discounts, such as going claim-free for a set amount of time, paying in advance, using the same company for several years and bundling policies — such as a home and auto insurance bundle — can all result in lower rates.

You can also find discounts related to your house, like discounts for new or renovated homes, properties with security devices (e.g., fire alarms, deadbolts, burglar alarms and sprinklers) and those located near a fire department or hydrant. 

You may qualify for discounts based on age or organizational affiliations. Many homeowners insurance companies provide discounts for active or veteran military members, seniors and those associated with specific professional associations.

6. Research quality of the claims and customer service

In the event that you need to file a claim, you want an insurance company that makes the process as easy and quick as possible. 

When reviewing home insurance companies, our insurance experts collected complaint data from the National Association of Insurance Commissioners, which shows the volume of home insurance consumer complaints against each company.

7. Make sure your dog’s breed is not banned

If you own a dog, make sure any home insurance company you’re considering covers its breed. Liability coverage will pay for someone else’s medical expenses or property damage if your dog attacks them, but certain dog breeds are banned by home insurance companies.

Doberman Pinschers, pit bulls and Rottweilers are the most common dog breeds banned by homeowners insurance companies. 

When getting a quote, you may be prompted to include information about your dog and its breed. If you use an online homeowners insurance comparison tool, you’ll likely only be shown companies that offer coverage for your dog. And if you get a quote from a single insurer, you’ll be informed if you qualify for coverage. 

Some companies, like State Farm, don’t have a banned breed list. 

8. Review financial ratings

Reviewing the financial rating of an insurance company provides information about its solvency and likelihood that it can cover payouts in the event of a claim. 

You can check organizations like AM Best, a global credit agency. Some lenders may not finance your mortgage if your insurance company scores below an “A” financial strength rating from AM Best. All of the top-scoring companies in our homeowners insurance analysis scored an “A” or better with AM Best. 

9. Consider ease of use

In today’s fast-paced world, many homeowners want the ease of paying bills, reviewing policies and filing claims online or through a mobile app. Most major homeowners insurance companies now provide online services and mobile apps.

Why should you compare homeowners insurance quotes?

If you go with the first insurance quote received, you may not get the best rate for your coverage needs. Comparing quotes from numerous homeowners insurance companies helps identify which policy offers the best blend of coverage limits, deductibles and additional coverage add-ons for the best price. 

How to get homeowners insurance

Here are some steps to take when buying homeowners insurance.

Figure out how much coverage you need

When determining how much coverage your house requires, take into consideration factors such as:

• Cost to rebuild your home to its current specifications and quality if it were destroyed.
• Value of your personal property, including whether you need high-value item coverage for jewelry, art or other expensive pieces.
• Total value of your financial assets, including savings, to determine how much liability insurance you need. 
• Additional coverage needs. Standard policies do not cover flooding, earthquake or water and drainage backups, among other excluded problems. If you need coverage for these types of problems, consider a company that offers riders, or add-ons. 
• Mortgage lender requirements.

Gather all required information

To get an accurate homeowners insurance quote, you need to provide accurate information. Insurance companies typically ask for a list of details, including:

• Your property’s address.
• Your house’s age.
• Year of purchase.
• Square footage and number of rooms.
• Age and condition of the roof and heating and cooling systems.
• Mortgage details.
• Home building materials (e.g., siding, foundation type).
• Any home renovations or additions.
• Any safety features in your house, like burglar alarms or water leak sensors.
• Breed and age of dogs in your house.
• Your personal information and names of members in the household.
• Your claims history.
• An estimate of your net worth (for liability coverage). 

Choose a deductible

A deductible is the amount that’s subtracted from your claim payout when you file a personal property claim. The higher your deductible, the cheaper your home insurance premiums, but the less money you’ll receive in a claim payout. 

Most insurance companies offer home insurance deductible options from $500 to $1,000, with some offering deductibles as high as $2,000. 

Compare homeowners insurance quotes

With the information above, you can request an online quote with most major home insurance companies. You can also use an online home insurance quote comparison website to compare multiple quotes and insurance companies at once. You should aim to compare at least three different home insurance companies. 

How much does homeowners insurance cost?

The average cost of homeowners insurance is $1,935 per year, according to our analysis of rates. Homeowners insurance costs vary based on many factors, including:

• Coverage limits.
• Location.
• Cost to rebuild your house.
• Deductible amount.
• House age and condition.
• Building materials used.
• Add-on coverages.
• Your credit and claims history.
• Exposure to natural disasters and history of natural disasters in your area.
• Proximity to a fire hydrant or fire station.
• Safety and security features.

What does homeowners insurance cover?

An HO-3 home insurance policy — the most common type of homeowners insurance — includes “all risk” coverage for your dwelling, or the structure of your house. That means your house is protected against all types of damage, unless it’s specifically listed as an exclusion in your policy. Excluded problems typically include flooding, earthquakes, wear and tear and war.

Personal property coverage does list specific types of damage that are covered, which typically include theft, vandalism, fire, lightning and wind and hail damage, among others. 

An HO-3 policy includes six main types of coverage, including: 

• Dwelling: Pays to repair or rebuild your house in the event that a problem covered by your damages or destroys the property. You’ll need enough dwelling coverage to rebuild your house back to its former condition with the same building materials. 
• Other structures: Pays to repair or rebuild other structures on your property — like a gazebo or detached garage — after a covered problem damages it. The coverage limit is typically set at 10% of your dwelling coverage limit. 
• Personal property:  Pays to repair or replace your belongings such as electronics, clothing, appliances, furniture, decorations and other household items. Personal property limits are typically set between 50% and 70% of your dwelling coverage limit.
  
  Standard home insurance pays out for your possessions’ actual cash value, which means depreciation is factored in. You may be able to upgrade to replacement cost coverage, which will pay out at today’s prices after a covered loss. 
  
  If you own high-value possessions such as jewelry or fine art, you may need to schedule specific items on your policy to receive full coverage on them.

• Additional living expenses (ALE): Also known as loss of use coverage, ALE reimburses expenses you incur if you need to temporarily live elsewhere while your house is being rebuilt. If your house becomes uninhabitable due to a fire, for instance, ALE reimburses costs associated with hotels, meals, pet boarding and other reasonable fees that are above your average monthly household spending. ALE is typically set at 20% to 30% of your dwelling coverage limit, but this varies by company.
  
• Liability: Liability insurance can pay for another party’s damaged property or injuries in the event you or someone in your household is at fault for the damage or injury.
  
  Examples include you hitting your neighbor’s fence with the lawnmower, your dog biting the mail carrier or your child hitting a golf ball through a neighbor’s window.
  
  If you’re sued over the matter, liability insurance can help pay for your legal fees and settlements.
  
  Liability coverage is usually offered from $100,000 to $300,000 but higher amounts may be available. If you need more than $300,000, separate umbrella insurance is also offered by many insurers. It’s designed for individuals with significant assets and may provide up to $10 million in coverage. 

• Medical payments to others: Medical payments to others pays for injuries when a guest is hurt on your property, regardless of who was at fault. This coverage typically ranges between $1,000 to $5,000, whereas liability insurance would come into play for more expensive injuries.
  

Additional home insurance coverages 

Certain types of damage aren’t covered by a standard home insurance policy. Other types of loss are limited in coverage. Here are some additional coverages to consider. 

Methodology

Our insurance experts determined the average cost of homeowners insurance using rates collected from Quadrant Information Services. 

The average homeowners insurance rates are based on a policy of 45-year-old homeowners with no past claims and good credit. 

Policy details used to determine the average cost of coverage are as follows.

• Dwelling coverage: $200,000/$350,000/$500,000/$750,000.
• Other structures (10% of dwelling limit): $20,000/$35,000/$50,000/$75,000.
• Personal property (50% of dwelling limit): $100,000/$175,000/$250,000/$375,000.
• Loss of use (10% of dwelling limit): $20,000/$35,000/$50,000/$75,000.
• Liability: $100,000.
• Medical payments to others (guest medical): $1,000.
• Deductible: $1,000.

Home insurance quotes FAQs

Is a homeowners insurance quote negotiable?

You cannot negotiate homeowners insurance rates. Insurance companies will not offer a lower price for coverage without lowering coverage limits or raising your deductible.

Can you reduce the cost of homeowners insurance?

Yes, you can reduce the cost of your home insurance by raising your deductible, maximizing discounts offered by the insurance company, improving safety features and comparing quotes from multiple companies before deciding on a policy.

Is homeowners insurance required?

No state law mandates homeowners insurance, but mortgage lenders nearly always require proof of insurance before signing off on a mortgage. Homeowners insurance protects both you and lenders from loss and reduces the risk of financial problems if the property is damaged or destroyed.

If you purchase a home in cash or pay off your mortgage, you are not required to carry homeowners insurance. Given that homes are frequently the most expensive purchase you ever make, failing to have homeowners insurance can result in significant financial loss if disaster strikes.