The average annual cost of home insurance in Indiana is $1,150 for dwelling coverage of $250,000, according to Bankrate’s 2021 study of quoted annual premiums. In 2018, the state racked up nearly a million dollars in incurred losses for homeowners, with wind, hail, fire and lightning damage topping the list of losses. To make matters worse, Indiana is also subjected to tornadoes, getting approximately 22 cyclones per year.
When looking into homeowners insurance coverage in Indiana, it is important to consider factors like the value of the home, types of coverage, deductible amounts, coverage add-ons and what perils are covered under the policy. The cost of home insurance in Indiana is also based on your age, zip code and claims history.
Best home insurance companies in Indiana
To find the best home insurance companies in Indiana, we looked at ratings from professional industry organizations like J.D. Power, AM Best and the Better Business Bureau. After we determined which companies had positive ratings, we checked to see if they provide coverage in Indiana. Once we found the top home insurers in the state, we focused on each company’s individual policies and how well the offered features match up to the needs of homeowners in the area. We also used 2021 rate data from Quadrant Information Services to determine average rates.
Here are the best homeowners insurance Indiana providers:
|Home insurance company||Average annual premium for $250K dwelling||J.D. Power customer satisfaction score|
|Cincinnati Insurance||$629||Not rated|
|Indiana Farm Bureau||$1,579||Not rated|
Allstate has a variety of coverage options that can help meet the needs and wants of many Indiana residents. Options include identity theft restoration, water backup coverage, green improvement reimbursement and HostAdvantage for people who rent their homes with vacation services like AirBnB. This company also provides other insurance products for businesses, cars and renters.
Learn more: Allstate Insurance Review
The transparent pricing and flexible billing options make Cincinnati Insurance a user-friendly choice for home coverage for many people. Cincinnati offers bundles of coverage options to help people find what they need. Aside from homeowners, the company also offers insurance for business, cars and life.
Learn more: Cincinnati Insurance Review
Erie offers eligible policyholders benefits like credits for certain security devices and home business protection. The company also offers coverage for business, boats, cars and life.
Learn more: Erie Insurance Review
Indiana Farm Bureau
Located in downtown Indianapolis, Indiana Farm Bureau provides comprehensive Indiana home insurance for fellow Hoosiers, including protection for dwelling, other structures, personal property and liability. This provider also offers coverage for business, boats, farm and crop, life and renters.
Learn more: Farm Bureau Insurance Review
Nationwide can meet insurance needs for a wide variety of people, and the helpful app is an option for people who like to manage their policies from wherever they are. Nationwide reports that it’s possible to save up to 20% when you bundle policies, and other available discounts could save eligible policyholders even more.
Learn more: Nationwide Insurance Review
How much is homeowners insurance in Indiana?
The average cost of home insurance in Indiana is $1,150, which is lower than the national average of $1,312 based on $250,000 in dwelling coverage. Sandwiched in between Illinois and Ohio, Indiana is also in the middle for average homeowners insurance cost. In Illinois, the average rate is $1,322 but Ohio’s rate for the same coverage is slightly lower than Indiana’s at $1,111 per year.
The lower-than-average cost of homeowners insurance in Indiana is likely due to its lower number of natural disasters. However, rates may increase as the likelihood of natural disasters spurring flooding and tornadoes continues to increase in the Hoosier state. Though flooding is not covered by homeowners insurance, most insurers should cover tornado damage in Indiana.
Home insurance considerations in Indiana
Statewide, Indiana has to deal with both flooding and tornadoes which have been caused by severe weather events that are happening more frequently. Consider the damage caused by natural disasters when determining the types of homeowners insurance to purchase for your Indiana home.
Indiana common causes of insurance loss
It’s not uncommon to file a claim as a homeowner—insurers expect it with their policyholders. Here are a few of the usual reasons that would cause someone to file a claim:
- Fire, smoke, windstorm, hail and lightning damage
- Freezing, rupturing or accidental overflow of plumbing, heating and air-conditioning
- Identity and credit card theft
- Trees and other falling objects
Between 2018 and 2019, 74 counties in Indiana were eligible for disaster relief. In 2016, there were 111 claims filed in Indiana for the National Flood Insurance Program, and 6 out of the 10 costliest U.S. catastrophes involving tornadoes impacted Indiana homeowners. Home damage caused by wind, hail, fire and lightning is also a common loss occurrence for Indiana homeowners.
Common insurance coverage options in Indiana
The exact coverage options that are available in a policy differs from company to company, but here are a few of the common coverages included in most standard Indiana home insurance policies.
- Dwelling: This covers damage to the house and attached structures, such as a garage or porch. Dwelling coverage also pays for permanent fixtures like plumbing and electrical wiring.
- Other structures: This covers damage to freestanding structures like fences, tool sheds and other structures that are not attached to the main house. Consider the cost to replace all detached structures if a tornado were to damage the entire property to determine how much other structures coverage you may need.
- Personal property: This covers the value of personal possessions like electronics, furniture and jewelry. Most home insurance policies include a percentage of personal property based on the dwelling coverage amount and may allow you to increase this coverage if needed.
- Loss of use: This covers additional living expenses while the insured home is under repair for a covered loss and deemed uninhabitable. Without this optional coverage, you will have to pay for your own temporary living expenses until you can move back to your home.
Tornados are a peril that is commonly covered by home insurance, but check the policy to make sure before signing up.
Flood insurance is generally offered separately from standard home policies. Some companies, like Erie, offer insurance for flooding, but many homeowners choose a policy from the National Flood Insurance Program.
Frequently asked questions
What is the best homeowners insurance in Indiana?
The best home insurance in Indiana depends on the insurance needs of the homeowner. Some people want coverage at the lowest price available, while others desire comprehensive coverage for all events and do not mind paying a higher premium for the best insurance policy. Determine your needs and get several quotes to determine the best option for you.
Is homeowners insurance required in Indiana?
The state of Indiana does not require its citizens to have homeowners insurance, but many mortgage lenders do require people to have home insurance as a prerequisite for getting a mortgage. For this reason, homeowners can still benefit from shopping for the best homeowners insurance in Indiana.
Where can I find out more about homeowners insurance?
To find out more about the ins and outs of the Indiana home insurance industry check out our comprehensive page on the subject. Anyone looking for more info can head over to the National Association for Insurance Commissioner’s Consumer Guide to Homeowners Insurance.
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.