Best cheap homeowners insurance in Baltimore
Just under half of Baltimore, Maryland residents own a home, and most property values are in the $180K-$250K range. For a home insured for $250K in dwelling coverage, Baltimore homeowners pay on average $1,390 per year for insurance.
Homeowners insurance can help Baltimore homeowners financially in the event a covered claim happens. To find the best cheap home insurance companies available in Baltimore, we compared quotes and analyzed coverage options, available discounts, financial ratings and third-party rankings.
Best cheap home insurance companies Baltimore
The table below shows the best cheap homeowners insurance companies offering coverage in Baltimore. These companies are some of the largest insurers by market share available in the area. Bankrate then narrowed down the list of insurers based on customer satisfaction scores and the cheapest rates provided by Quadrant Information Services for $250K in dwelling coverage.
|Home insurance company||Average annual premium for $250K dwelling coverage||JD Power score|
Of all the home insurance companies quoted, USAA has the cheapest annual homeowners rates in Baltimore at $940 per year for $250K in dwelling coverage. However, USAA limits membership to only current and former military members, their spouses and children. In the J.D. Power Insurance studies, USAA exceeds other insurers but does not meet the criteria to rank in the study due to its eligibility restrictions.
USAA caters to active military with discounts available to those who must deploy and leave their family behind. In addition to standard homeowners coverage, USAA policyholders have access to optional coverages, such as home-sharing and earthquake coverage.
Learn more: USAA Insurance review
According to Bankrate’s assessment, Travelers offers the second cheapest home insurance rates in Baltimore for $250K in dwelling coverage. Homeowners can tailor their home insurance with special personal property coverage, valuable items plus coverage, water backup insurance and additional replacement cost.
One way Travelers is able to offer cheap rates for homeowners insurance in Baltimore is the discounts it offers. Homeowners can take advantage of multi-policy, home buyer, claims-free, protective devices and green home discount with Travelers home insurance.
Learn more: Travelers Insurance review
State Farm is the largest property and casualty insurer in the U.S., with 9.1% of the total market share. Though State Farm’s homeowners rate is higher than Travelers and USAA, it still offers Baltimore homeowners cheaper insurance than the average annual rate for $250K in dwelling coverage.
State Farm offers a bundle discount option to policyholders who insure their vehicles and home with them, plus a reduction in homeowners insurance cost for having an impact-resistant roof. State Farm’s superior financial strength and claims responsiveness are just a few reasons the company is highly regarded.
Learn more: State Farm Insurance review
American Family, or AmFam, is another property insurer offering Baltimore homeowners ways to customize their insurance. Besides the standard homeowners coverage, American Family offers optional coverages for water backup, mechanical equipment breakdown, identity theft and matching siding protection. This unique coverage provides up to $20,000 to replace the undamaged siding if it does not match replaced siding after a covered loss. While many home insurers only offer a home purchase discount in the first year of purchase, AmFam extends the discount to three years, making it easier for recent homeowners to get cheaper home insurance rates.
Learn more: American Family Insurance review
In the J.D. Power 2020 U.S. Home Insurance Study, Erie ranks fourth for overall customer satisfaction. Erie’s basic homeowners insurance policy comes standard with guaranteed replacement cost on dwelling and personal property coverages, with higher limits on valuables coverage and less exclusions on lost or misplaced items. Erie also boasts a hefty multi-policy discount, depending on the state you live in, for bundling your home and auto insurance with them.
Learn more: Erie Insurance review
Home insurance coverage options in Baltimore
Maryland, or any State, does not require homeowners to have home insurance, but lenders usually require coverage to meet loan requirements. Even if you are not required to carry homeowners insurance, it is one of the best ways to protect your finances should a claimable event occur, like a fire, theft or serious weather event.
Homeowners in Baltimore could benefit from having coverages to protect the investment they have made by purchasing a home:
- Dwelling coverage: This coverage helps pay to repair damage to your home’s structure caused by a covered claim. Homeowners with guaranteed replacement cost dwelling coverage can have their home repaired or rebuilt with today’s materials and labor costs.
- Personal property coverage: Your homeowners insurance should have enough personal property coverage to replace your personal items if a major claim occurs. If you want to replace older belongings with brand new replacements, ask about guaranteed replacement cost on belongings.
- Water backup coverage: Also called backup of sewer and drains, water backup coverage is an optional coverage that will pay if water or sewer contents back up into your home drains and sewer lines, causing damage to the home and your belongings.
Home insurance discounts in Baltimore
With an average annual home insurance cost of $1,390 for $250K dwelling coverage, Baltimore homeowners can reduce their rates even more by including discounts on their policies. Discounts can be stacked together for maximum savings, like:
- Multi-policy: Bundle your auto and home insurance with the same insurer for maximum savings on both policies.
- Home alert discount: Protecting your home with a burglar or fire alarm can reduce the cost of homeowners insurance.
- Claims-free: The longer you go without filing a home insurance claim, generally, the more you can save on your homeowners policy.
- Advanced quote: Securing home insurance coverage with a new insurer prior to your current policy’s expiration date can help you save on homeowners insurance.
Most home insurance companies offer a standard set of discounts, but each sets the percentage amount you can save. Usually, the multi-policy, home alert and claims-free discounts offer the most savings. The best way to find cheap homeowners insurance in Baltimore is to obtain multiple quotes from different property insurers to compare.
Frequently asked questions
What is the best home insurance company?
The best home insurance company is different for everyone, based on the coverage or needs most important to them. Besides price, consider coverage offerings, available discounts, third-party ratings and financial strength to pay claims to find the right homeowners insurance company for you.
How much does home insurance in Baltimore cost?
The average annual cost for homeowners insurance in Baltimore is $1,390 for $250K in dwelling coverage. Your rate will vary based on the age of your home, coverage needs, discounts you qualify for and your claims history.
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.