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Best homeowners insurance in Arkansas for 2024
Bankrate’s analysis shows that USAA, Travelers, State Farm, Encompass and Auto-Owners are some of the best home insurance companies in Arkansas.
At Bankrate, we strive to help you make smarter financial decisions. To help readers understand how insurance affects their finances, we have licensed insurance professionals on staff who have spent a combined 47 years in the auto, home and life insurance industries. While we adhere to strict , this post may contain references to products from our partners. Here’s an explanation of . Our content is backed by Coverage.com LLC, a licensed entity (NPN: 19966249). For more information, please see our
What To Know First
Bankrate's insurance editorial team leveraged decades of knowledge of the insurance industry, as well as average rate data and third-party metrics, to find the best homeowners insurance in Arkansas. We determined that the average cost of homeowners insurance in the Natural State is $2,809 for $250,000 in dwelling coverage. This rate is 60 percent more than the national average of $1,759.
With average rate data as a comparison point, we reviewed the top insurers writing policies in the state, looking at available coverage options and discounts, customer satisfaction scores, financial strength ratings and digital tools. Our goal is to provide you with the tools you need to find home insurance that fits your coverage needs and your budget.
- The average Arkansas homeowner pays $2,809 per year for a home insurance policy with $250K in dwelling coverage.
- Arkansas's best home insurance companies include USAA, Travelers, State Farm, Encompass and Auto-Owners.
- USSA and Travelers are some of the cheapest home insurance premiums in Arkansas.
On This Page
- Compare the best home insurance companies in Arkansas for 2023
- Best Arkansas homeowners insurance companies in detail
- Additional Arkansas home insurance companies to consider
- Cheapest home insurance companies in Arkansas
- Best home insurance discounts in Arkansas
- How much is home insurance in Arkansas?
- What does home insurance cover in Arkansas?
- Additional home insurance coverage types in Arkansas
- Frequently asked questions
What to know about insuring your Arkansas home
Compare the best homeowners insurance companies in Arkansas
Although your rate may vary from this, the average home insurance cost in Arkansas for $250,000 in dwelling coverage is $2,809 per year. Using rate data from Quadrant Information Services, we compared average rates from top companies with the state average. Looking at companies with competitive rates, we further narrowed our list by analyzing coverage options, discounts, digital tools, scores from the 2023 J.D. Power Home Insurance Study and AM Best financial strength ratings.
Insurance company | J.D. Power | Average monthly premium | Average annual premium | |
---|---|---|---|---|
881
/1,000 |
$147
|
$1,763
|
||
834
/1,000 |
$280
|
$3,354
|
||
829
/1,000 |
$204
|
$2,453
|
||
790
/1,000 |
$170
|
$2,041
|
||
Not rated |
$223
|
$2,680
|
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
Bankrate's trusted insurance industry expertise
Read our full methodologyThe home insurance market can be complicated, but Bankrate's insurance editorial team used our unique perspective to bring readers information they need to make educated decisions when shopping for home insurance.
46
years of industry expertise
122
carriers reviewed
20.7K
ZIP codes examined
1.2M
quotes analyzed
The top 5 home insurance companies in Arkansas
Best for military-focused coverage options
4.1
4.1
Avg. premium for $250K dwelling
$147/mo
Avg. premium for $250K dwelling
$1,763/yr
Customer satisfaction
790/1,000
-
Why USAA made our list: For active or retired military members and their families living in Arkansas, USAA may be a great homeowners insurance provider to consider. Policies include coverage for military uniforms, and USAA is also a lender of Veterans Administration loans. Although it is technically not eligible for ranking, USAA consistently scores highly on J.D. Power customer satisfaction studies. In addition to low average rates, policyholders may earn a discount for installing protective devices and maintaining continuous coverage with USAA.
Who USAA may be good for: If you are stationed at Pine Bluff, Fort Chaffee or Camp Joseph Robinson, or if you are retired from an Arkansas military installation, USAA may be a great homeowners insurance company for you.
Best for unique endorsement options
4.6
4.6
Avg. premium for $250K dwelling
$280/mo
Avg. premium for $250K dwelling
$3,354/yr
Customer satisfaction
834/1,000
-
Why Auto-Owners made our list: Auto-Owners is a regional carrier with coverage available in 26 states. Although Auto-Owners does not have the same robust digital tools as some competitors, it does have a long list of endorsements for potential policy customization. Add-ons include cyber protection, identity theft coverage and guaranteed home replacement. For shoppers who prefer simplicity, Auto-Owners offers the Homeowners Plus bundle, which is a package of various endorsements, including coverage for damage caused by household appliances. Auto-Owners' rates are not as competitive as some other carriers in Arkansas, but policyholders may be able to lower their rates with discounts for advanced quoting, backup generators and being mortgage-free.
Who Auto-Owners may be good for: Policyholders who are willing to pay a bit more for extensive endorsement options might pick Auto-Owners as their company of choice.
Best for local agents
4.2
4.2
Avg. premium for $250K dwelling
$204/mo
Avg. premium for $250K dwelling
$2,453/yr
Customer satisfaction
829/1,000
-
Why State Farm made our list: State Farm may be a good option for those who want a more personal insurance experience. The company has a large number of local agents who may be able to assist with purchasing home insurance face-to-face. Working with a local agent may help ensure you're taking advantage of all potential discounts, like bundling and new roof savings. For shoppers who prefer a virtual experience, State Farm does offer a robust digital app and website, but its average rates are higher than average in Arkansas, which may not suit homeowners on a strict budget.
Who State Farm may be good for: Policyholders who value customer service may appreciate State Farm's local agent availability and robust digital tools.
Best for low average rates
4.1
4.1
Avg. premium for $250K dwelling
$170/mo
Avg. premium for $250K dwelling
$2,041/yr
Customer satisfaction
790/1,000
-
Why Travelers made our list: For shoppers on a budget, Travelers' offers low average rates in Arkansas. Your own rate with the company may be improved with discounts, which include a claims-free discount, home buyer discount and a green home discount for anyone with a LEED-certified home. You may be able to customize your policy with a long list of endorsements, including water backup, jewelry and valuable items coverage and identity fraud coverage. Travelers came in below average in both the J.D. Power 2023 Home Insurance Study and the 2023 Property Claims Satisfaction Study; you may want to speak with existing policyholders about their experience if customer service is a priority for you.
Who Travelers may be good for: Travelers' low average rates may make it a good option for homeowners on a tight budget. It might also be a good choice for shoppers looking to customize their insurance policy with unique endorsements.
Best for convenient coverage packages
3.7
3.7
Avg. premium for $250K dwelling
$223/mo
Avg. premium for $250K dwelling
$2,680/yr
Customer satisfaction
Not rated
-
Why Encompass made our list: Encompass Insurance is a subsidiary of Allstate with some unique features that may make it attractive to Arkansas homeowners. Encompass policies come in three levels: Special, Deluxe and Elite. At the higher levels, your policy includes 200 percent extended dwelling coverage. Encompass is a more regional carrier, but it offers a fairly comprehensive list of discounts with potential savings for protective devices, new homebuyers, renovations and more. However, Encompass does not offer online quoting or claims filing, so it may not be a good option for shoppers who value digital tools.
Who Encompass may be good for: If simplified, pre-packaged home insurance options are appealing to you, and you prefer to handle your insurance needs in person or over the phone, Encompass may be a great choice for your home insurance.
Additional Arkansas home insurance companies to consider
Arkansas Farm Bureau
Who this may be best for
Homeowners who prefer working with local and experience agents
Farm Bureau has policy coverage that is tailored to each state and local agents to help with policy selection. They may be a good option for Arkansas homeowners who prefer working with agents who have experience with the perils of the South Central region. You may want to consider Arkansas Farm Bureau as an option due to their various discounts and bundling options.
To learn more, read Bankrate’s Farm Bureau insurance review.
Farmers
Who this may be best for
Homeowners who need coverage beyond a standard policy
Farmers present policyholders with a wide variety of options with its Farmers Flex Personal Home Policies. These optional endorsements may make Famers a good option for homeowners who need coverage beyond what a standard home policy offers.
To learn more, read Bankrate’s Farmers home insurance review.
How Bankrate chose the best home insurance companies in Arkansas
Bankrate's insurance editorial team looked closely at Arkansas homeowners insurance companies to determine who was writing the best policies in the state. Multiple factors, including average cost, customer service ratings and breadth of coverage options were taken into account. Each company was then assigned a Bankrate Score ranging from 0-5. The higher that score, the more likely the company was to land on our list of best Arkansas homeowners insurance list.
Finding cheap home insurance in Arkansas
The average cost of homeowners insurance for Arkansas is 57 percent higher than the national average and homeowners saw an average rate increase of 25 percent between 2023 and 2024. Taking actions like shopping for lower rates and making home improvements that quality for preventative measure discounts may help you reduce your Arkansas home insurance cost. Back to topCheapest home insurance companies in Arkansas
Finding cheap home insurance companies in Arkansas can be challenging, especially due to the recent increase in extreme weather and the rising cost of building materials. Evaluating your coverage needs and shopping rates and options with other carriers may be a good way to find a rate that is easier on your budget. We compiled a list of the best cheapest home insurance companies in Arkansas using average rate data from Quadrant Information Services.
Carrier | Monthly premium for $250k coverage | Annual premium for $250k coverage | Savings vs state avg. for $250k coverage |
---|---|---|---|
$147
|
$1,763
|
- $1,046 |
|
$170
|
$2,041
|
- $768 |
|
$204
|
$2,453
|
- $356 |
|
$218
|
$2,619
|
- $190 |
|
$220
|
$2,635
|
- $174 |
How to get cheap Arkansas home insurance
If you're looking for the cheapest home insurance, there are steps you may be able to take to keep your home insurance cost down:
- Shop around and compare rates: Don't assume that the first quote you receive is the lowest possible price. It can be worth the extra time it takes to get multiple home insurance quotes because you may find a lower price from another carrier. Usually, it's simple and free to get a quote, and many insurers let you do so in minutes on their website.
- Improve your credit score: Your credit history is one of the factors that Arkansas insurers can use to determine your rate. Because actuarial data shows that homeowners with excellent credit tend to file fewer claims, they may receive a preferential rate.
- Maintain your roof: An old or damaged roof could potentially be the cause of a costly insurance claim. To avoid that, insurers will often reduce your rate if you have a newer roof, especially if you build it with storm-resistant materials. You could check with your insurer about roof-related savings opportunities.
Best home insurance discounts in Arkansas
The best home insurance companies offer at least a handful of discounts for potential policy savings. Some common ones you might find include:
How to save on home insurance policy renewals in Arkansas
Most homeowners receive their policy renewals about 45 days before the renewal date. This is the perfect time to review your policy coverage, premium and discounts to ensure you are still happy with your selections and make adjustments if needed. If finding a cheaper policy is your main concern, here are a few ideas that may help you reduce your insurance cost:
- Limit your claims: Submitting a claim usually increases your premium, and too many small claims in a short period may make your home seem "too risky" to insure in the future. Aim to use your home insurance only when the cost to repair your home is more than what you can reasonably afford.
- Keep up with home maintenance: When homes fall into disrepair, they may not meet underwriting guidelines, which can cause companies to limit your coverage options or for claims to be denied. Keeping your home and roof in good condition can also reduce the likelihood of experiencing a loss.
- Mitigate your risks: Arkansas has experienced an increase in tornadoes over the past few years. Awareness of your area's natural hazards and mitigating your risks can help you save money and protect your home. Safety measures, like installing hurricane shutters, may even help you earn a mitigation discount.
- Inquire about discounts: If your renewal premium is more costly than ideal, speak with your insurance agents about discount opportunities. Bundling home insurance with your auto may be a way to save money without sacrificing coverage.
- Shop your policy early: You can compare rates and change insurance providers at any time; you don’t have to wait until your renewal. Many insurance providers offer an early bird discount for shoppers who buy a policy days or weeks before the coverage is in effect.
Understanding home insurance costs in Arkansas
Arkansas has the 6th highest average cost of homeowners insurance in the nation. Aside from the impact inflation has had on rebuilding costs, Tornado Alley has started shifting in a southeastern direction, increasing the amount of tornado activity in Arkansas. When insurance companies deem an area "risky,” premiums tend to increase. Back to topHow much is home insurance in Arkansas?
The average cost of homeowners insurance in Arkansas is $2,809 per year for $250,000 in dwelling coverage, which is 60 percent more than the national average of $1,759 for the same amount of dwelling coverage. Arkansas’ higher average premium may be partly due to the frequency of natural disasters that lead to insurance claims. Rates in this part of the country may vary greatly depending on factors such as the risk of tornado damage. This can be seen by looking at the average rates for neighboring states. Oklahoma homeowners pay an average of $4,565 for $250K in dwelling coverage, while Mississippi's average rate is lower at $2,028.
Arkansas homeowners insurance rates by city
Arkansas home insurance premiums can fluctuate by city and even within ZIP codes. Risk factors can vary significantly between crime rates, weather patterns, home rebuilding costs, and other rating factors directly impacting home insurance costs. To better understand the average Arkansas home insurance cost on a city level, take a look at the city-specific data below.
In addition to your personal rating factors, your homeowners insurance rates may vary within Arkansas based on where you live. Cities and even individual ZIP codes experience different crime rates and regional weather patterns, which may impact your premiums. Below are the five cheapest cities for homeowners insurance in Arkansas, based on average rates.
- Clayville: $1,370 per year — 7 percent below state average
- Harrisville: $1,373 per year — 7 percent below state average
- Oakland: $1,373 per year — 7 percent below state average
- Forestdale: $1,377 per year — 7 percent below state average
- Manville: $1,377 per year — 7 percent below state average
If you live in one of the cities below, you may pay higher-than-average rates for homeowners insurance. Based on average rates, these are the five most expensive cities for home insurance in Arkansas.
- Ashaway: $1,895 per year — 28 percent above state average
- Barrington: $1,820 per year — 23 percent above state average
- Little Compton: $1,741 per year — 18 percent above state average
- Charlestown: $1,708 per year — 16 percent above state average
- Newport: $1,663 per year — 13 percent above state average
*Rates are for $250,000 in dwelling coverage.
Insuring your Arkansas home
Life can be unpredictable and homeowners insurance is there to help financially protect your home when the unexpected happens. Arkansas is prone to many natural hazards, which may or may not have coverage on your home insurance. Understanding what perils your home insurance covers and buying additional endorsements or policies for the ones it doesn't can help you better protect your finances. Back to topWhat does home insurance cover in Arkansas?
HO-3 insurance policies are the most popular home insurance form type. Dwelling and other structures coverage is written on an open-peril basis, which covers every kind of peril that isn't specifically excluded from your policy. Personal property coverage, also known as contents coverage, is written on a named peril basis, meaning it is only covered from the perils listed in the policy. It is standard to have 16 named perils for personal property.
While most policy forms are standardized to provide consistency within the insurance industry, in areas prone to certain types of disasters, insurance providers can exclude or put limitations on perils to mitigate their risk. Below are a few of the most common types of damage covered by a standard HO-3 policy in Arkansas, but review your policy paperwork to learn the specifics regarding your policy.
- Fire and lightning: Whether it is from a cooking debacle or a wildfire, damage from fire is usually covered by homeowners insurance in Arkansas.
- Windstorms, hail and tornadoes: Since Arkansas experiences a higher amount of wind and tornado damage than other states, it is common for homeowners to have a separate wind deductible that is based on a percentage of their dwelling coverage. This will not be true of all policies. Some homeowners outside of the high-risk tornado area may have a standard flat deductible.
- Weight of ice or snow: Arkansas gets its fair share of snow and damage from the weight of ice and snow is usually covered.
Additional home insurance coverage types in Arkansas
Even the best homeowners insurance in Arkansas may not automatically include all the coverage types you need. Endorsements are optional add-ons that may help you build a more robust policy. Common endorsements and standalone policies you might consider in Arkansas include:
- Flood insurance: Most standard homeowners insurance policies do not include coverage for flood damage. If you live in a flood plain or in any area that is at risk of flooding, you may want to consider augmenting your coverage with a flood insurance policy. These are often underwritten by the National Flood Insurance Program (NFIP), but may be available from your regular carrier.
- Scheduled personal property coverage: If you own items with an individual value of over $500, such as fine jewelry or electronics, you may not receive the item’s full value after a covered peril. Scheduled personal property may ensure the higher-value items’ replacement cost is accounted for in your policy.
- Identity theft coverage: As more of our personal information lives online, identity theft is becoming more common. Identity theft coverage is designed to help cover the costs associated with restoring your identity after a breach.
Related content:
Common Arkansas home insurance problems
The overall impact of climate-induced extreme weather is Arkansas homeowner's biggest challenge. Arkansas saw 37 tornadoes in 2023 and several homeowners already experienced devastating damage from high winds in January of 2024. With Tornado Alley's eastward migration, insurance companies are reassessing their risk models to account for future catastrophic losses.