As home prices in Utah rise rapidly, the value of a home insurance policy to protect your investment is at an all-time high. According to the U.S. Census, 7 in 10 Utah residents own their home, a 10 percent higher rate than the national average. The median sale price of a single-family home in Salt Lake City nearly doubled between 2011 and 2019 and is expected to rise another 5% in 2020, reaching $400,000 for the first time.
While the numbers show that homeownership in Utah is a great investment, it could all be for nothing if you don’t have adequate home insurance coverage. A homeowners insurance policy can protect you from financially devastating events like weather events and property crime. Whether you’re insurance shopping for the first time or just looking for a better rate, this list of the best Utah home insurance companies is the perfect place to get started.
Best home insurance companies in Utah
With 1,846 insurance companies currently licensed in Utah, your choices for a provider are nearly endless. The J.D. Power 2019 U.S. Home Insurance Study lists these home insurers as the best of the best:
- Amica: Ranked number one in the entire United States by J.D. Power, Amica offers every type of home insurance you might need in Utah. There are also plenty of ways to save on premiums with multiple discounts and even a dividends policy that costs more up front but pays you back up to 20 percent of your annual premium. Amica also gets A+ ratings from both the BBB and AM Best.
- State Farm: State Farm is another customer favorite for home insurance in Utah. Home insurance policies include coverage for acts of nature, fire, theft and vandalism. State Farm is ranked fourth in the country by J.D. Power and while the company only has an A rating from the BBB, it makes up for it with an A++ financial stability rating from AM Best.
- Auto-Owners: For a more personalized experience, Auto-Owners works with local agents to make sure you get the exact homeowners coverage you need. Six different types of coverage are available to protect your property and liability. With a 4-star rating from J.D. Power, an A+ from the BBB and an A++ from AM Best, Auto-Owners receives accolades across the board.
- Allstate: Rounding out our list is Allstate, a property insurer with all the basics plus a full menu of optional coverage that many competitors don’t make available. With Allstate, you’ll be able to get the protection you need for your home, yard, belongings and identity.
Our list of the best Utah homeowners insurance companies comes from customer service rating data published by third-party agencies like J.D. Power and the Better Business Bureau. We also researched providers to compile information on pricing, coverage, discounts and more.
|J.D. Power rating||5/5||4/5||4/5||3/5|
|AM Best rating||A+||A++||A++||A+|
Average homeowners insurance cost in Utah
With average annual premiums of just $692 per year, Utah is the second cheapest state in the country for home insurance after Oregon. This is likely a reflection of relatively low crime rates and the absence of major weather threats like tornadoes. Utah’s home insurance price is barely half the national average of $1,211 and notably cheaper than neighboring states like Colorado, where premiums run about $1,495 per year.
|State||Average cost of home insurance|
When we compared pricing for a typical $330,000 single-family home in Utah with the providers on our list, the results were right in line with average costs. State Farm was the most expensive with a cost of about $837 per year, followed by Amica at $736. But after $140 in automatic discounts, Allstate was willing to write us a policy for only $605 per year.
Home insurance coverage options in Utah
Not all homeowners insurance policies are made equal. There are many different types of coverage to choose from when you’re picking out a policy. The Utah Insurance Department recommends that all homeowners purchase the following types of coverage:
- Building coverage: Protects the structure of your home and other structures (such as a standalone garage).
- Personal property coverage: Covers the belongings you keep on your property.
- Living cost reimbursement: Pays for your living expenses if you need to temporarily relocate because your home is uninhabitable.
- Personal liability insurance: Protects you from legal liability if you’re responsible for bodily injury or property damage that affects a third party.
- Medical payments: If someone is hurt while on your property, this coverage will pay for their medical expenses.
Common causes of home insurance losses in Utah
Even though Utah is considered a low-risk state by most home insurers, there are still potential perils to know about that could result in a property insurance claim. According to the Insurance Information Institute, these are the most common causes of homeowners insurance losses:
- Fire and lightning
- Bodily injury and property damage
- Wind and hail
- Water damage and freezing
One additional risk that Utah homeowners should know about is earthquakes. Parts of the state are considered high hazard earthquake zones, particularly in northern areas. Since standard home insurance policies do not cover earthquake damage, the Utah Insurance Department recommends that homeowners in the state purchase separate earthquake insurance.
Frequently asked questions
What is the best homeowners insurance in Utah?
Our research showed that Amica provides the best home insurance in Utah.
How do I get homeowners insurance in Utah?
To get a Utah homeowners insurance policy, visit provider websites or contact local agents to get quotes for your home and compare pricing.
Is homeowners insurance required in Utah?
No state requires home insurance by law, although most lenders will ask for proof of coverage if you finance your house. Still, you should always have home insurance in place to protect yourself from unpredictable events like fire, inclement weather and property crime.
How much does home insurance cost in Utah?
Utah is one of the cheapest states for a homeowners policy. On average, premiums are just $692 per year.