Pennsylvania has a high homeownership rate, with nearly 70% of the state’s residents owning their home, benefiting from a relatively low median home value of $180,200. Plus, the average cost of home insurance in Pennsylvania is $730 per year for $250,000 in dwelling coverage. That is about $61 per month to protect one of the most important investments you will make in your life.
Home insurance is not mandatory in the commonwealth unless you carry a mortgage. Still, the relatively low cost of Pennsylvania home insurance far outweighs the expense of having to rebuild a house or replace your belongings out of pocket. The best homeowners insurance in Pennsylvania is a combination of low premiums, adequate amounts of coverage and good customer service when it is time to file a claim. Bankrate analyzed the current market to find the best Pennsylvania homeowners insurance coverage.
Best home insurance companies in Pennsylvania
The following five carriers are among the top Pennsylvania homeowners insurance companies by market share. You will find that annual premiums can vary for the same level of coverage from one insurance company to another. For this reason, we have included multiple rates for comparison, as provided by Quadrant Information Services.
|Home insurance company||Average annual premium for $250k dwelling||J.D. Power score|
|Allstate||$729||829 / 1,000|
|Chubb||$917||778 / 1,000|
|Erie||$542||839 / 1,000|
|State Farm||$1,115||829 / 1,000|
|USAA||$714||*889 / 1,000|
*Due to membership eligibility restrictions, USAA is not eligible for official rankings by J.D. Power.
Allstate received above-average ratings in the J.D. Power 2020 U.S. Home Insurance Study for customer satisfaction. It may be partly due to their dedicated local agents — Allstate has offices in 251 cities and towns across Pennsylvania. Allstate offers typical standard property insurance coverages, with several add-on options. The national insurer also offers an extensive variety of discounts, some as simple as just being a new customer and buying a new home, enabling homeowners to save on their premium.
Learn more: Allstate Insurance review
While Chubb only scored around average on the J.D. Power 2020 U.S. Home Insurance Study, the global insurer did exceedingly well in the J.D. Power’s 2021 U.S. Property Claims Satisfaction Study, earning a score of 896 out of 1,000 and finishing third amongst all U.S. property insurers. Its rates are not the cheapest in the state, but the carrier specializes in feature-rich home insurance for higher-value properties and is an excellent option for high-net-worth homeowners in Pennsylvania who are in search of robust home insurance coverage.
Learn more: Chubb Insurance review
Because Erie Insurance is a Pennsylvania-based super-regional insurer, it makes sense that it would be one of the state’s top-rated home insurers. Founded in 1925, Erie currently has offices in eight cities, including Pittsburgh, Philadelphia, Allentown and Harrisburg. The company maintains an A+ (Superior) financial strength rating from AM Best, indicating its sound financial position.
Learn more: Erie Insurance review
As one of the leading U.S. home insurers, State Farm may be a great option to consider in Pennsylvania. This major insurer offers almost every type of insurance product you might need – including auto, home, life, boat and motorcycle insurance – and offers the opportunity to bundle and save by having multiple policies written with them. Best of all, there are State Farm agents in 400 Pennsylvania communities, ready to provide local, personal service.
Learn more: State Farm Insurance review
USAA scored the highest in J.D. Power’s ratings across all categories for customer satisfaction, though it is not eligible for ranking due to its membership-based policies. USAA provides typical standard home insurance coverages and add-ons that customers can choose from. Additionally, USAA policies include most weather-related damages and identity theft. However, only active or former military and their families have access to USAA’s insurance policies and exclusive benefits. Active personnel and family stationed at one of the two Army or two Navy bases in Pennsylvania may instantly qualify for USAA membership. However, veterans and retired members of the Armed Forces can also join.
Learn more: USAA Insurance review
How much is homeowners insurance in Pennsylvania?
The average homeowners insurance policy in Pennsylvania costs just $730 per year for $250,000 in dwelling coverage. This is significantly lower compared to the national average annual premium of $1,312 and the cost of coverage in neighboring states such as New York at $987 annually and Maryland at $1,124 annually. Low insurance premiums in Pennsylvania are partially the result of the commonwealth’s low average home value.
Home insurance in Pennsylvania
Home insurance in Pennsylvania has some unique factors that differentiate it from neighboring states’ home insurance policies. Here is a closer look at factors affecting Pennsylvania homeowners insurance costs.
Common causes of loss in Pennsylvania
Homeowners insurance companies in the state of Pennsylvania incurred nearly $1.5 billion in losses in 2019, according to the Insurance Information Institute (Triple-I). Pennsylvania has numerous perils and hazards homeowners should be prepared for. When shopping for home insurance, consider the following perils that are most common across the state:
- Vandalism: Vandalism more commonly occurs in certain Pennsylvania cities, like Philadelphia or Pittsburgh. However, mischief can happen anywhere in the state. Broken windows or graffitied walls are just a couple of examples of vandalism.
- Fires: Parts of Pennsylvania are mountainous regions or heavily wooded. During drier times of the year, fire risk is higher. Residents who live in areas at risk for wildfires should be most vigilant during spring and autumn.
- Frozen pipes: Cold winters and older homes typically cause pipes to freeze and burst. Insulating pipes, even with newspaper, could help prevent damage, according to Pennsylvania American Water.
- Snowstorms: Heavy snow events occur regularly during the winter months in Pennsylvania and nor’easters and blizzards that can generate 2 feet or more of snow are possible, causing damage to roofs.
- Tornadoes and other windstorms: Pennsylvania is vulnerable to tornadoes and incurred numerous severe outbreaks in summer 2021. The commonwealth is also susceptible to convective storms and tropical cyclone damage. In fact, some Pennsylvania homeowners insurance policies have special hurricane, tropical storm or named storm deductibles based on a percentage of a property’s insured value. These deductibles typically range from 1% to 5% of the home’s insured value, according to Triple-I.
- Lightning: Pennsylvania ranks among the Top 10 states for lightning property damage, with 2,378 claims filed in 2020, according to the Triple-I.
- Floods: Flooding is common across the U.S. Unfortunately, Pennsylvania is no exception as the state experienced extensive flooding from the remnants of Hurricane Ida in summer 2021. Parts of Schuylkill, Lebanon and Dauphin counties are particularly vulnerable to heavy flooding.
There may also be additional perils that are not covered by a standard Pennsylvania homeowners insurance policy and may require additional coverage. Consider speaking to your insurance professional to make sure you are covered against common perils in your area.
Home insurance coverage options in Pennsylvania
Residents of the Keystone State should consider home insurance add-ons that protect their property and belongings against the state’s unique perils. Some coverages Pennsylvania homeowners might consider include:
- Flood insurance: As mentioned, flooding affects homeowners in many areas of Pennsylvania. Coverage has to be purchased separately since flood-related damages are not covered by a standard home policy. Flood coverage is offered through FEMA’s National Flood Insurance program and dozens of private insurers.
- Replacement cost coverage: Most home insurance policies reimburse you for lost or damaged belongings using actual cash value. This may be an issue because you will only receive a claim payment with depreciation deducted based on the age and condition of the item. Opting for replacement cost coverage provides you with enough coverage to purchase a new version of the item at today’s cost. For a minimal premium increase, you will get maximum financial protection for your possessions.
- Sinkhole insurance: Pennsylvania is amongst the six states most vulnerable to sinkhole losses. However, the damage is not covered through a standard HO-3 policy. Adding sinkhole coverage could save you tens of thousands of dollars should one damage your property.
Frequently asked questions
What is the best homeowners insurance in Pennsylvania?
Allstate, Chubb, Erie, State Farm and USAA are among the best Pennsylvania homeowners insurance companies, according to Bankrate’s analysis. To find out which is the best option for you, you could compare coverage options and prices from several companies, including the ones on our list. The Triple-I recommends obtaining a minimum of three quotes when shopping for home insurance.
How do I get homeowners insurance in Pennsylvania?
You can get home insurance in Pennsylvania by working with a local agent or purchasing a policy directly from an insurance carrier.
What are the most common causes of home insurance claims in Pennsylvania?
Floods, fires, windstorms, lightning and vandalism are among the leading causes of Pennsylvania homeowners insurance losses.
Will my Pennsylvania homeowners insurance cover flooding?
Flooding is not typically covered by standard Pennsylvania homeowners insurance policies. However, you could ask your insurance professional about options to purchase a separate flood insurance policy.
What is the difference between dwelling and personal property?
Dwelling coverage refers to the structure and exterior of the home (often referred to as the “four walls”). Personal property refers to your belongings, such as electronics, furniture, clothing and more.
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.