Best homeowners insurance in Arkansas of 2021

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Although home insurance is sometimes optional, it is something you should strongly consider. Residents of Arkansas are not strangers to natural disasters. Because of its close proximity to the Gulf of Mexico and “Tornado Alley,” Arkansas experiences hurricanes and around 20 tornadoes a year, which can rack up costly damages and claims.

For this reason, the average premiums for homeowners insurance in Arkansas are above average. The average cost of homeowners insurance in Arkansas is $2,142 per year for $250,000 in dwelling coverage. It may be on the high side, but you may be able to beat the average by choosing from the companies providing the best homeowners insurance in Arkansas.

Best home insurance in companies in Arkansas

If you are a resident looking for the best Arkansas homeowners insurance companies, you should compare options from available providers. The benefit of researching is finding the best home insurance for your needs at the best rates. With information provided by the J.D. Power 2020 U.S. Property Claims Satisfaction Study and our own methodology, including 2021 rates obtained from Quadrant Information Services, we selected four companies as the best of the best by taking into account costs, coverage options and professional ratings.

Home insurance company Average annual premium for $250k dwelling coverage J.D. Power score
Auto-Owners $2,151 843/1,000
USAA* $1,519 889/1,000
Farmers $4,076 814/1,000
Allstate $2,092 829/1,000

*USAA is not officially ranked by J.D. Power due to eligibility restrictions.

Auto-Owners

Auto-owners Insurance is one of the oldest insurance providers in the state. It has been around for over 100 years, is available in 26 states, and has almost three million policyholders. Auto-Owners offers more than just home insurance. It offers car and life insurance as well, making it easy for policyholders to bundle and save.

Learn More: Auto-Owners insurance review

USAA

For active or retired military and their families living in Arkansas, USAA is a great homeowners insurance provider to consider. With policies designed with the demands of military life taken into account, homeowners can rest easy knowing their home is protected from covered losses. In addition to other insurance products, banking capabilities and investment guidance, USAA offers policyholders a unique portfolio of financial services. Although it consistently receives high scores in the J.D. Power home and auto studies, USAA is technically rank-ineligible because of its limited availability.

Learn More: USAA insurance review

Farmers Insurance

Farmers specializes in large policy limits. If you have a large home that is increasing in value, this could be the best option for you. Farmers also provides auto, life, business, recreational, motorcycle, umbrella and financial insurance. Farmers has local branches throughout Arkansas with locally-knowledgeable agents ready to help.

Learn More: Farmers insurance review

Allstate

Allstate homeowners insurance is a perfect option for someone looking for affordable coverage because this company offers so many potential discounts. Customers who bundle types of coverage can get up to a 25% discount. Allstate also offers discounts for things like having a home with hail-proof roofs, which is ideal for Arkansas’ intense weather. Allstate also offers auto, renters, condo, motorcycle, business, life, roadside and identity insurance.

Learn More: Allstate insurance review

How much is homeowners insurance in Arkansas?

The average cost of homeowners insurance in Arkansas is $2,142 a year for $250,000 in dwelling coverage; this is above the national average of $1,312, likely due to the frequency of natural disasters that lead to insurance claims. Compared to states like Delaware and New Hampshire, for example, which have fewer national disasters, Arkansas’ average rates are more expensive. The average annual rate for 250k dwelling coverage in Delaware is $680, and is $724 in New Hampshire.

Home insurance in Arkansas

Each state is different, so when looking for the best homeowners insurance, homeowners will want to look at each state differently. Below are the common causes of loss in Arkansas and some additional coverages you may want to consider in Arkansas.

Arkansas common causes of loss

There are a number of reasons why someone would file an Arkansas home insurance claim, and it is important that the insurance company you choose can properly resolve common claims in your area.

The following are common causes for homeowners claims in Arkansas:

  • Earthquakes – Arkansas is susceptible to earthquakes due to its proximity to the New Madrid seismic zone. Earthquakes are not typically covered by a standard homeowners insurance policy, so check with your insurance agent if you are worried about potential earthquakes.
  • Hail damage – Commonly associated with thunderstorms and hurricane activity
  • Wind damage – Thunderstorms and proximity to hurricanes often results in damaging high winds in Arkansas.
  • Theft and/or burglary of property – Arkansas is statistically above average in crime rates per 1,000 residents for property crime.

Home insurance coverage options in Arkansas

Finding the right Arkansas home insurance coverage does not have to be stressful. Here are the most common types of insurance coverage that are recommended based on Arkansas state factors:

  • Hazard insurance: This option is recommended as it pays for damage caused by natural disasters. It includes dwelling coverage, which protects aspects of your home’s structure like the roof or the walls if they are impacted by covered natural disasters like snow or heavy rain and wind. Not all hazards are covered automatically — flood and earthquake coverage must be purchased separately.
  • Flood insurance: Many homeowners do not realize flood damage is not a covered peril, leaving many to have to foot the bill out-of-pocket. Buying flood insurance is a good way to reduce the risk of loss due to rising floodwaters.
  • Scheduled personal property: If you own items with a 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 costs a small fee and adds higher-value items to your policy to help you repair or replace your valuables.

You can also find other coverage options for specific needs, such as optional coverage for structures that are not attached to your home, such as farm buildings, fences or sheds. There are also additional coverage options like additional living expenses protection, which would help pay for expenses if you needed to live somewhere else while your home is rebuilt after damage.

Frequently asked questions

What is the cheapest homeowners insurance in Arkansas?

The cheapest homeowners insurance in Arkansas depends on a number of factors unique to you including the value of your home, where you live, your deductible and what type of discounts you can get.

How do I get homeowners insurance in Arkansas?

The first step to getting Arkansas home insurance is to know how much your home is worth. You won’t be able to complete an online quote with any insurance company without that information. If you purchased a home, your house was likely appraised at that time. From there, you can obtain an online quote from an insurance provider. You can also use the Department of Insurance Arkansas as a reference guide for any questions you have that are particular to the state.

What do I need to obtain a quote for homeowners insurance?

The information that each insurance provider needs to give you an accurate quote varies. Most companies require some personal information like your date of birth, social security number, contact information, marital status, current insurance coverage, information about your job and details about other residents who live in your home.

Methodology

Bankrate utilizes Quadrant Information Services to analyze 2021 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on 40-year-old male and female homeowners with a clean claim history, good credit and the following coverage limits:

  • Coverage A, Dwelling: $250,000
  • Coverage B, Other Structures: $25,000
  • Coverage C, Personal Property: $125,000
  • Coverage D, Loss of Use: $50,000
  • Coverage E, Liability: $300,000
  • Coverage F, Medical Payments: $1,000

The homeowners also have a $1,000 deductible and a separate wind and hail deductible (if required).

These are sample rates and should be used for comparative purposes only. Your quotes will differ.