Best homeowners insurance in Kentucky 2021

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In Kentucky, roughly 67% of the state’s population owns their home, which is slightly above the national average homeownership rate of about 65%. The average cost of home insurance is $1,888 for a $250k dwelling. Kentucky is located in the southeast, where hurricanes, tornadoes and floods are extremely common. As a result, it is important that Kentucky homeowners have insurance to cover their property and personal belongings.

If you are in the market for homeowners insurance in Kentucky, there are some things you should keep in mind. First, make sure you know how much coverage you need for your home. You might need to purchase add-on policies to get coverage above what your standard policy offers. Also, decide how much you can afford to pay for a deductible and find out if you qualify for any discounts.

Best home insurance companies in Kentucky

Shopping for homeowners insurance can be overwhelming with all of the different insurance companies available. The best way to evaluate the top home insurance companies is to research and look for expert and third-party ratings. To make things easier, our Bankrate insurance team put together a list of the best homeowners insurance companies in Kentucky based on their average rates and J.D. Power Score ratings. Here are the providers that we recommend:

Home Insurance Company Average Annual Premium for $250K Liability J.D. Power Score
Allstate $2,244 829/1000
Auto-Owners $1,836 843/1000
State Farm $1,692 829/1000
Kentucky Farm Bureau $2,794 N/A
USAA $1,478 889/1000

Allstate

Allstate ranked within the top 10 best home insurance companies out of 23 companies surveyed in the J.D. Power Score rankings. In addition to standard coverage options, Allstate offers an extensive list of add-ons such as water backup, business property, yard and garden, flood, and more.

Auto-Owners

Auto-Owners offers all standard home insurance coverage options, with a premium Homeowners Plus option that includes several additional coverages in one package. Auto-Owners also offers various discounts like multi-policy, mortgage-free, automatic backup generator, and more to help you save more on your home insurance.

State Farm

State Farm is one of the oldest and most reliable home insurance providers on the market. The company has superior financial strength according to AM Best and offers a number of policy options that allow homeowners to customize their coverage. Kentucky homeowners that prefer to take extra precaution may also be eligible to save with State Farm’s discount for having a roof built with impact-resistant products.

Kentucky Farm Bureau

If you are a member of Kentucky Farm Bureau, you can purchase home insurance through the organization. Doing so is a great way to support the state’s agricultural economy while also getting access to a variety of insurance products. Kentucky Farm Bureau has an extensive list of optional coverages, including one specifically for earthquakes.

USAA

USAA consistently ranks as one of the highest in customer satisfaction for homeowners insurance from J.D. Power Score. The only downside is that USAA is available to military members and their families only. However, those who can obtain a membership with USAA have access to excellent customer service, additional add-ons, discounts, and loyalty benefits.

Average cost of homeowners insurance in Kentucky

In Kentucky, the average cost of homeowners insurance is $1,888 per year for $250K in dwelling coverage. In comparison, the national average is $1,477 per year. Kentucky homeowners, on average, pay about $400 more for home insurance, likely due to the increased potential of damages that the state’s homes can go through from natural disasters.

Kentucky has a higher average homeowners insurance premium compared with other states that are also prone to natural disasters, like Florida, where the average rate is $1,736. However, Kentucky is less expensive than Louisiana, which has an average rate of $2,297 per year for home insurance. However, home insurance quotes are highly personalized. Factors such as your age, credit score, claims history and the size of your home all impact your rate.

Home insurance considerations in Kentucky

Homeowners should consider Kentucky’s extreme weather conditions when searching for home insurance. The weather conditions provide some of the main reasons for home damage and loss. Below are a few important factors for Kentucky residents to keep in mind.

Kentucky common causes of loss

Kentucky gets hit with extreme weather year-round, including heavy snow, ice, freezing, flooding, tornadoes and hurricanes. These types of weather events can all cause extensive damage to the interior and exterior of homes.

For instance, in September 2018, Kentucky was one of many states hit by Hurricane Ike. One year earlier, Hurricane Harvey tore through the southeast, causing 76,257 paid losses that totaled about $8,909,000. Although Kentucky is not a coastal state, the effects of hurricanes and other major storms can cause damage and lead to flooding.

  • Heavy snow: Kentucky is hit with heavy snow in the winter months. This can cause damages to sewers and pipes from freezing.
  • Flooding: Heavy rain and melting snow can cause flooding, which can cause water damage.
  • Tornadoes and hurricanes: Strong winds from tornadoes and hurricanes can break windows, tear off roofs, and wear through the exterior of a home.

Recommended coverages in Kentucky

If your home is damaged or destroyed by a covered peril, your policy’s hazard insurance will cover it. Other standard coverages such as dwelling, personal property, liability and medical will take care of most of your other homeowner needs. However, with the common causes of loss from weather-related disasters in Kentucky, homeowners are recommended to get additional coverages. That way, even if your home is damaged or destroyed by an uncovered peril, it will still be covered by one of the following types of coverages:

  • Flood insurance: Flood damage is not covered under basic homeowners insurance policies, so it is recommended to purchase flood insurance as a separate policy. Flood insurance is available through the National Flood Insurance Program.
  • Additional living expenses: If your home is damaged and you have to live elsewhere while it is getting repaired. Many homeowner policies will include additional living expenses, which pays for your hotel and food expenses in case of a covered loss.

Do I need homeowners insurance in Kentucky?

No, homeowners insurance is not legally required in Kentucky. However, if you have a mortgage, your lender will probably require it. Either way, having homeowners insurance is important. Without it, you’re responsible for paying out-of-pocket to repair or rebuild your home after a loss.

What is the best homeowners insurance in Kentucky?

There isn’t one insurance company in Kentucky that is the best choice for everyone. Every company offers slightly different coverages, different discounts and different rates. Because of that, it is important to shop around to find the provider that can offer you the best deal.

How much does homeowners insurance cost in Kentucky?

The average cost of homeowners insurance in Kentucky is $1,888 per year. However, the actual amount you will pay depends on your ZIP code, age, marital status, credit score, claims history, the size of your home, when your home was built and more.

How do I get homeowners insurance in Kentucky?

Getting homeowners insurance in Kentucky is simple. Find a few providers that offer the coverage you need and then get a price quote. Most insurance companies have a free online quote tool or you can call an agent. You will be asked to provide some information about yourself and your home, like when it was built and the square footage.

It is best to get quotes from a few providers and compare them. Once you determine which company offers the best price, sign a policy and start your coverage.

Methodology

Bankrate utilizes Quadrant Information Services to analyze 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 may be different.