There are many different factors that impact your homeowners insurance rates, including where you live, your credit history, how much insurance you need and what provider you choose.
While it’s tempting to go with the rock bottom estimate, customer service is essential too. If you must file a claim, you don’t want to have to deal with subpar customer service. That’s why we recommend receiving at least three quotes before you decide.
Ideally, your homeowners insurance company will offer low rates while providing adequate coverage. They should also be financially stable and provide excellent customer service.
Our top picks for cheap home insurance companies
|Company||Overall satisfaction||Policy offerings||Average price||AM Best financial rating|
|Amica||5 out of 5||5 out of 5||$1,404||A+|
|Young Alfred||Not rated||Not rated||$1,007||A+|
|State Farm||4 out of 5||4 out of 5||$1,555||A++|
|Progressive||3 out of 5||3 out of 5||$1,366||A+|
|Allstate||3 out of 5||3 out of 5||$1,620||A+|
|Farmers||3 out of 5||3 out of 5||$1,896||A|
|USAA||5 out of 5||5 out of 5||$1,057||A++|
|Liberty Mutual||2 out of 5||3 out of 5||$1,175||A|
|Travelers||2 out of 5||2 out of 5||$1,415||A++|
|Nationwide||2 out of 5||3 out of 5||$949||A+|
In addition to consistently offering some of the cheapest rates on homeowners insurance, Amica earns top scores across the board in the J.D. Power Home Insurance Study. It has also received the “Highest Customer Satisfaction Among National Homeowners Insurers” for seventeen years in a row for its service of all fifty states.
Amica has several unique discounts for home, renters and auto insurance. Unique discounts for homeowners insurance include:
- New/Remodeled home discount: You can get a credit to your bill if you have a new home or remodel your home.
- Automatic detection devices: Homes with temperature monitoring systems or water and gas leak detectors can get discounts.
Amica is a mutual (member-owned) company, which means it pays dividends to the policyholders, not stockholders. If you choose to receive dividends, you could get a partial refund on your policy at the end of the year.
Young Alfred is a new insurance company that started in 2016. It services every state except Alaska, Idaho, Massachusetts, Montana, Nebraska, North Dakota, Rhode Island and South Dakota. The provider has plans to expand soon.
The company earns excellent customer service and policy offerings while still maintaining below-average rates. Young Alfred uses data points to analyze how much insurance you should carry and what hazards are likely in your area. Although it is a relatively new company, it earns high scores from customers and the BBB alike.
State Farm covers all fifty states, so you can find a State Farm agent near you. You can meet with an agent in person, which is becoming a thing of the past with many providers. Users can enjoy a comprehensive online quote process, so you can rest assured that you have adequate coverage for your home.
State Farm has a unique discount that lets policyholders save money if they use certain impact-resistant roof products.
Progressive doesn’t sell homeowners insurance. It partners with other insurance companies that underwrite the policies and pay out claims.
That said, Progressive’s rates are competitive depending on where you’re located. Because the provider works with different insurance companies, your rate and your customer service will vary according to who underwrites your policy.
Allstate scores high in J.D. Power’s rankings with a ton of discounts to save you money. Allstate also has excellent online educational resources, such as GoodHome, which uses local data to identify potential risks in your area and offers personalized safety tips. The other is Escape Route, which helps you and your family plan an escape route in case of fire and lets you practice using augmented reality.
Allstate offers a few unique discounts, including:
- 55 and retired
- Smoke-free homes
- Houses with storm shutters or hail-resistant roof
Farmers stands out with its unique online resources. To help you find the right coverage, Farmers provides a lengthy list of frequently asked questions and sample scenarios that may apply to you. Farmers also offer online messaging help, or you can call your agent.
Unique discounts Farmers offers includes:
- Declining deductible: You can get a discount every year you keep the policy.
- Claim forgiveness: Once you’ve been claim-free for five years, your premium won’t be affected if you need to file a claim.
USAA is consistently top-rated within the J.D. Power study. The biggest drawback is that USAA is only available to military families and veterans. If you are eligible, this provider is a good choice because it has top scores in customer service, price and policy offerings.
USAA does not offer a lot of discounts, but it’s certainly worth looking into if you are in the military or a veteran.
Liberty Mutual offers inflation protection, which means it automatically adjusts your coverage at the rate of inflation at the time of your policy renewal.
Unique discounts include:
- Insured to value discount: You can save money if you have enough coverage to completely replace your home.
Travelers has a lot of options available as add-ons (for an additional cost), making the policies flexible due to a recent partnership with Amazon.
With the purchase of a new homeowners insurance policy, you get a free EchoDot with advice on how to protect your home.
Nationwide is a Fortune 100 company with a wide variety of products. Nationwide is not the cheapest company, but if you need unique coverage and are worried about replacement costs, it might work for you.
Unique savings programs include:
- Brand new belongings: If your belongings are lost or damaged, Farmerspays to replace them (not just what they might be worth).
- Better roof replacement: Your roof gets rebuilt with better materials if you suffer a loss.
Home insurance discounts
|Multi-policy||Home safety||Loyalty||Auto pay||Claims-free|
Frequently asked questions
How can I save on homeowners insurance?
There are many things you can do to save on homeowners insurance. Here are some suggestions from the Insurance Information Institute:
- Shop around and receive quotes from at least three companies.
- Bundle your home and auto insurance.
- Raise your deductible.
- Add safety features such as a home security or fire protection system.
- Maintain a good credit rating.
- Review your policy often for additional discounts.
Does homeowners insurance cover me in a flood or earthquake?
Damage caused by floods and earthquakes is not covered by homeowners insurance. If you live in a flood zone or an earthquake-prone area, it may be worth it to add on this coverage to protect yourself in the future.
I have a lot of expensive electronics. Do I need a rider for them?
Your laptop, TV and computers are all covered under your homeowners insurance policy. However, if you are a professional photographer or musician with a lot of expensive equipment, you may want to insure it for its replacement value, especially if you use it to make a living.
What is the average premium for homeowners insurance?
The National Association of Insurance Commissioners (NAIC) reports the average premium for homeowners insurance is $1,192.
Who offers the best homeowners insurance?
We have several top picks for the best homeowners insurance companies, but the best company for you will depend on your needs. Where you live and the kind of coverage you need will help determine the total price of your homeowner insurance policy.