Best homeowners insurance in Montana of 2021

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The wide expanse of Montana is home to thousands of Americans who own their own house, but home insurance in the state is not cheap. The average cost of homeowners insurance in Montana is $1,770 per year for a policy with $250,000 in dwelling coverage. However, having homeowners insurance in Montana is valuable, especially because the state faces natural disasters, like wildfires.

Finding the right company for home insurance is no easy matter—it takes time and consideration to get the most suitable policy at the best value. It is important to pay attention to details such as coverages, discounts, financial strength and customer satisfaction

Best home insurance companies in Montana

If you are searching for home insurance in the Treasure State, we did some research to help you find the best home insurance companies in Montana. These providers stand out for offering comprehensive coverage and generous discounts, plus good customer service and claims handling.

Home insurance company Average annual premium for $250K liability J.D. Power score
AAA $1,056 820/1,000
State Farm $1,573 829/1,000
Shelter $1,661 N/A
USAA $1,936 889/1,000
Allstate $2,334 829/1,000

AAA

AAA home insurance is a great option for any Montana homeowner who is looking for affordable coverage. It is the cheapest provider on our list, with an average annual premium of just $1,056 for $250,000 in dwelling coverage, which is over $700 below the statewide average rate. AAA home insurance also has great coverages and discounts, especially for AAA members.

State Farm

State Farm is the largest home insurance provider in the country, with 18% of the total market share. Montana homeowners can take advantage of State Farm’s generous discounts and helpful online tools, plus a highly-rated mobile app with claims reporting. If you need to meet with an agent to discuss your policy, State Farm has locations in 12 Montana cities.

Shelter

Shelter Insurance is our top recommendation for Montanans who are looking for a home insurance policy with customizable coverage. Shelter sells a variety of endorsements that are valuable to Montana homeowners, like debris removal coverage, fire department charges coverage, farming activity coverage, earthquake insurance and more.

USAA

USAA is one of the highest-rated insurance companies on the market, but it only serves homeowners who are active duty or retired military service members or their family members. In addition to excellent customer satisfaction and financial strength, USAA also offers robust coverage. Standard policies include all the basics, plus earthquake insurance, home-sharing coverage and military uniform coverage.

Allstate

Allstate is the most expensive provider on our list, but Montana homeowners get access to unique coverage options like green improvement reimbursement coverage, yard and garden coverage, sports equipment coverage, musical instruments coverage and more. Allstate also offers a few common discounts that can help lower your premium.

Average cost of homeowners insurance in Montana

The average annual premium for home insurance in Montana is $1,770. Compared to the national average rate of $1,477, homeowners in the Treasure State can expect to pay more for homeowners insurance than they would in many other states.

In fact, the cost of homeowners insurance in Montana is higher than in most neighboring states. Idaho’s statewide average premium for home insurance is $936 per year, and in Wyoming the statewide average rate is $1,144 per year. Home insurance premiums in Montana are more expensive because the state faces a greater risk of losses, like wildfires and tornadoes.

Home insurance considerations in Montana

Although Montana is largely remote, the state experiences its fair share of extreme weather. From blizzards to severe hail storms to wildfires, homes across Montana are at risk of damage from various weather-related risks. Fortunately, the right home insurance policy can protect your home from these hazards and others.

Montana common causes of loss

One of the most common causes of loss in Montana is wildfires. In 2017, over 1,300 million acres in Montana burned due to the 2,422 wildfires recorded that year, according to III’s 2019 Insurance Fact Book. However, Montana homeowners should also be aware of the following losses:

  • Wind and hail damage
  • Lightning and fire damage
  • Water damage and flooding
  • Earthquakes

Recommended coverages in Montana

Home insurance coverage differs from company to company, but there are a few common coverages included in most basic home insurance policies, like dwelling, personal property and additional living expenses coverage. In addition, Montana homeowners should consider purchasing optional coverage for more protection, such as:

  • Earthquake insurance
  • Identity theft coverage
  • Water backup coverage

Frequently asked questions

What is the best homeowners insurance in Montana?

The best homeowners insurance in Montana depends on what the homeowner is looking for in their insurance policy. Some people want the cheapest policy, while others desire the highest coverage available. To find the best insurer in the area, make sure to shop around for quotes from different companies for comparison.

How do I get homeowners insurance in Montana?

To get home insurance in Montana, the first thing to do is receive a quote on the home. A quote can be attained by filling out an online quote form, if available, or by calling a live agent for an insurance company in the area.

Is homeowners insurance required in Montana?

The state of Montana does not require homeowners to have insurance. But many lenders do require homeowners to get insurance when qualifying for a mortgage.

Is wildfire coverage included in Montana homeowners insurance?

Although policies differ by insurer, most home insurance policies should cover damage from wildfires. However, it is important to check with the insurer for their specific coverage options in the state.

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.

Rates are determined based on 2020 Quadrant Information Services data.

About the author


Elizabeth Rivelli

Elizabeth Rivelli

Elizabeth has two years of experience writing for insurance domains such as Bankrate.com, The Simple Dollar, Coverage.com and NextAdvisor, among others. In addition to auto insurance, Elizabeth regularly writes about home insurance, renters insurance and life insurance. She also covers industry trends and general insurance education.

Written by
Elizabeth Rivelli
Insurance Contributor
Elizabeth has two years of experience writing for insurance domains such as Bankrate.com, The Simple Dollar, Coverage.com and NextAdvisor, among others. In addition to auto insurance, Elizabeth regularly writes about home insurance, renters insurance and life insurance. She also covers industry trends and general insurance education.