Homeowners insurance averages $1,428/year nationally but rates vary by location and home value. Compare free quotes from top-rated insurers and save hundreds.
| Company | Avg Annual Premium | AM Best | Best For |
|---|---|---|---|
| 🏆 State Farm Top Pick | ~$1,200/yr | A++ | Best Overall |
| Allstate | ~$1,380/yr | A+ | Digital tools |
| USAA Military only | ~$1,050/yr | A++ | Military families |
| Amica Mutual | ~$1,150/yr | A+ | Customer service |
| Erie Insurance | ~$1,100/yr | A+ | Midwest/East |
| Progressive | ~$1,320/yr | A+ | Bundling discount |
Premiums are national averages for a $300,000 dwelling. Your rate depends on location, home age, construction, coverage limits, and claims history.
A standard HO-3 policy covers: dwelling structure, detached structures (garage, fence), personal property, personal liability, and additional living expenses (ALE) if you're displaced. It covers perils like fire, windstorm, theft, and vandalism.
Actual Cash Value (ACV) pays what your damaged property is worth today (after depreciation). Replacement Cost Value (RCV) pays what it costs to replace the item new. RCV costs more in premium but pays out significantly more at claim time.
Bundle home and auto (saves 10–25%), install security systems and smart smoke detectors, raise your deductible, shop your policy annually, improve your credit score (where allowed), and ask about loyalty or claims-free discounts.
Standard homeowners policies do NOT cover flood or earthquake damage. Flood insurance is available through FEMA's National Flood Insurance Program (NFIP) or private insurers. Earthquake coverage requires a separate policy or endorsement.
The national average is $1,428/year (about $119/month). Rates vary significantly by location, home age, value, construction type, and coverage level. High-risk states like Florida, Louisiana, and Oklahoma have much higher premiums.
A standard homeowners policy (HO-3) covers dwelling structure, other structures (garage, fence), personal property, liability protection, and additional living expenses if your home is uninhabitable. Floods and earthquakes require separate policies.
Bundle home and auto insurance (saves 10–25%), install a security system or smart smoke detectors, raise your deductible, shop your policy annually, improve your credit score, and ask about loyalty or claim-free discounts.
Homeowners insurance is not legally required by any state. However, mortgage lenders universally require it as a condition of your loan. Once your mortgage is paid off, you are not legally required to maintain coverage — though it is strongly advisable.
Your dwelling coverage should equal the cost to rebuild your home (not market value). Personal property coverage typically runs 50–70% of dwelling coverage. Liability coverage of $300,000–$500,000 is recommended for most homeowners.