Best homeowners insurance in Louisiana of 2021
Louisiana homeowners insurance costs an average of $1,813 per year for $250,000 in dwelling coverage. Although it is not the most expensive state in the country, Louisiana’s average premium is much higher than the national average. This is likely due to Louisiana’s coastal position and the higher risk of home damage.
To protect your home, you may be looking for the best homeowners insurance in Louisiana. Bankrate’s insurance editorial team has conducted research that could be helpful. We evaluated the largest home insurance companies by market share in the Pelican State and analyzed average premiums, coverages, discounts, policy features and customer satisfaction scores. Our research may help you feel more confident in making insurance decisions.
The best home insurance companies in Louisiana
To decide which companies to feature, we first obtained current premium information from Quadrant Information Services. After analyzing the data, we also took each company’s coverages, discounts, policy features and customer service reviews into consideration.
If you are in the market for the best Louisiana home insurance, the following companies might be a good place to start:
|Home insurance company||Average annual premium for $250k dwelling||J.D. Power score|
|Allstate||$2,117||829 / 1,000|
|State Farm||$1,596||829 / 1,000|
|USAA*||$1,820||889 / 1,000|
*USAA does not qualify for official ranking with J.D. Power due to eligibility restrictions
Although Allstate’s premium is the highest of the companies on our list and higher than Louisiana’s average, it may be worth it for the optional coverages that the company offers. You could personalize your policy by adding electronic data recovery, yard and garden coverage, water backup or musical instrument coverage. Allstate also offers a Claim Rateguard feature, which could help prevent your premiums from increasing after a claim.
Learn more: Allstate Insurance review
Gulfstream specializes in providing coverage to homeowners in the Southern coastal states, which means its agents may be able to help you tailor your coverage to the unique needs of your area. Even with the lowest premium on our list, the company boasts an impressive list of optional coverages. Discounts like savings for having a burglar alarm and living in a gated community are also available and might help lower your premium even more.
State Farm is the largest homeowners insurance company in the country and may be appealing if you like handling your insurance needs in person. The company also offers several other types of insurance as well as banking services. The company’s average premium is well below Louisiana’s average, although there are a few discounts available, like roofing discounts and multi-policy discounts, to help you lower your premium.
Learn more: State Farm Insurance review
USAA does not qualify for an official J.D. Power ranking because it sells its insurance exclusively to current and retired military members and their immediate families. However, USAA does consistently receive high customer satisfaction scores. The company’s home insurance features military-focused coverages like uniform coverage, as well as discounts for bundling and having an alarm system.
Learn more: USAA Insurance review
How much is homeowners insurance in Louisiana?
The average premium for homeowners insurance in Louisiana is $1,813 for $250,000 in dwelling coverage. This is relatively high compared to the national average of $1,312 per year. The higher cost is likely due to the likelihood of home damage occurring in Louisiana. The state’s coastal positioning leaves it vulnerable to widespread damage caused by storms.
Home insurance in Louisiana
Homeowners in Louisiana have special considerations when it comes to covering their homes. Understanding the common causes of damage in the state and what coverages you may need to add to get adequate protection can be helpful.
Common causes of loss in Louisiana
If you are unsure what type of home insurance coverages are right for you and your home, consider some of the most common causes of home insurance losses in Louisiana.
- Hurricanes: Louisiana’s position on the Gulf Coast leaves it especially vulnerable to hurricanes, which can cause widespread damage.
- Flooding: Flooding is a big concern for Louisiana homeowners, especially those who reside closer to the Gulf.
- Water damage: Water damage is a common cause of insurance loss in many states. Water can damage your home in numerous ways, including burst pipes, leaking roofs or backed up basements.
- Windstorms: Wind damage is another big concern for Louisiana homeowners, especially when considering the number of hurricanes that Louisiana experiences.
Once you understand what damages are common in your area, it may help you choose what coverages to purchase.
Home insurance coverage options in Louisiana
In addition to the standard home insurance coverages, like dwelling coverage and liability, you may want to purchase optional coverages to increase your protection. Some coverages that Louisiana homeowners might want to consider are:
- Flood insurance: Damage caused by flooding is not typically covered by standard homeowners insurance and requires a separate flood insurance policy. These can be purchased from the National Flood Insurance Program (NFIP) or some private carriers. Some companies may offer a flood insurance endorsement that can be added to your homeowners insurance policy.
- Water backup coverage: If water damages your home after backing up in a sewer or drain line, you will need this endorsement to have insurance coverage. This type of damage is common in basements or crawl spaces, but can happen from any sewer or drain line.
- Equipment breakdown coverage: This optional coverage may not be available from every company, but provides coverage for your home’s mechanical systems, like your air conditioner and water heater.
- Windstorm coverage: Many types of wind damage are automatically covered by homeowners insurance policies, but due to Louisiana’s likelihood of hurricanes, homeowners may need to purchase a separate windstorm policy.
Because hurricanes are one of the biggest concerns in Louisiana, discussing your hurricane coverage with your agent may be a good idea. Some types of wind damage may be covered under your policy, but sometimes “named storms” are excluded and require special coverage. You may also have a separate deductible for hurricane damage.
Frequently asked questions
What is the cheapest homeowners insurance in Louisiana?
The cheapest homeowners insurance company will vary based on your individual rating factors, like your age, claims history, home’s age and the specific features of your home. Getting quotes from several companies may help you find coverage that fits your needs and budget. However, remember that when researching Louisiana homeowners insurance companies, price may not always be the only factor worth considering. You may want to review coverages, discounts and customer satisfaction scores as well.
How do I get homeowners insurance in Louisiana?
To get home insurance, start by deciding what features matter most to you. Once you have a list, you can get quotes from several companies that may fit your needs. You will need your address, date of birth and some information about your home, like how old your roof is and an idea of what coverages you want to purchase (although an agent should be able to help you decide). Once you have decided to proceed with a company, a representative will usually let you know the next steps, which may include signing an application and making a payment.
Will my homeowners insurance coverage pay for temporary housing?
Most homeowners insurance policies include additional living expenses (ALE) coverage, which can pay for the costs associated with needing temporary housing after a covered loss. Covered expenses might include a hotel, a rental home and laundry services.
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.