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When shopping for Miami home insurance, residents may find that rates can be expensive. The average home insurance cost in Miami is $3,090 — more than double the national average of $1,428. The city faces risks such as hurricanes and flooding, as well as high rates of property crime. However, it’s still possible to save money on homeowners insurance. Bankrate identified Chubb, Allstate and State Farm as the best cheap home insurance companies in Miami.
Best cheap home insurance companies in Miami
To find the best cheap home insurance in Miami, Florida, Bankrate’s insurance editorial team reviewed dozens of Florida home insurance companies. We analyzed a range of factors, including average premium data from Quadrant Information Services, coverage options and availability, digital tools and third-party ratings from J.D. Power and AM Best. Our research indicates that Chubb, Allstate and State Farm offer some of the cheapest home insurance in Miami.
We assigned each provider a Bankrate Score on a five-point scale to help simplify the insurance shopping process. The higher the Bankrate Score, the better the company ranked in the aforementioned key areas. However, note that your home insurance rate may vary based on a range of personal rating factors and ongoing challenges within the Florida home insurance market.
|Home insurance company
|Average annual premium for $250K dwelling coverage in Miami
|J.D. Power score
For cheap home insurance, Miami residents may want to consider Chubb, which offers some of the most affordable average home insurance rates based on Quadrant Information Services data. Chubb may be particularly worth considering if you own a luxury home, as the carrier won our 2023 Bankrate Award for best home insurance company for high-value homes. Chubb’s standard home insurance policy typically includes a wide variety of benefits, including extended replacement cost coverage, free risk consulting, a cash settlement claim option and more. However, the company’s J.D. Power customer satisfaction score for home insurance is below the segment average, and the carrier does not offer online quoting.
Learn more: Chubb Insurance review
As one of the largest home insurance providers in the U.S., Allstate offers a full range of policy options, discount opportunities and digital assets for policy management. The company’s highly-rated app allows policyholders to file claims and manage their policies at the touch of a button. You can even store a list of personal belongings in the app, which may make claim filing easier. Allstate offers an extensive list of add-on coverage options but endorsements may not be available in all states, and the carrier offers fewer discounts than some of its competitors.
Learn more: Allstate Insurance review
State Farm — the largest home insurance provider in the U.S. — uses a large network of agents to help achieve its strong customer service ratings, which are reflected by the company’s high J.D. Power score. However, you can also start a quote, purchase a policy and manage it either online or via the popular mobile app. Despite these resources, note that customer service is not available 24/7. Additionally, the company has the highest average rates on our list.
Learn more: State Farm Insurance review
Home insurance coverage options in Miami
A standard home insurance policy typically provides coverage for many common perils you might face as a homeowner. But you may be surprised to learn that some perils, like flooding, are not covered under a standard HO-3 policy. As such, you might want to consider adding optional policies or endorsements to fill in the coverage gaps in your homeowners insurance policy.
The endorsements available will vary by company, but some additional coverage options that may be available to homeowners in Miami include:
- Flood insurance: Homeowners with a mortgage may be required to carry flood insurance by their lenders. Even if you’re not, due to the inherent risk of living in coastal Florida, you may want to consider purchasing a separate flood insurance policy to cover your home and belongings.
- Identity theft coverage: Adding this endorsement may help protect you financially if you are the victim of identity theft. Depending on the insurer, an identity theft endorsement may help you recoup losses or may only cover the cost of other identity protection and reclamation services.
- Extended replacement cost coverage: Local material and labor costs could make the price of rebuilding your home after a covered incident higher than your standard dwelling policy limit. Purchasing extended replacement cost coverage could help reduce the financial burden associated with restoring your home to its original condition.
Home insurance discounts in Miami
One of the best ways to save on premiums may be exploring discount opportunities. Available discounts will vary by insurer, as will eligibility requirements. Below are some common home insurance discounts you may be able to take advantage of in Miami:
- Multi-policy/bundling: You may be able to save money by purchasing multiple insurance products from the same carrier, such as home and auto insurance.
- Protective devices: Installing protective devices like monitored home security systems, smoke alarms and sprinklers may help you earn a discounted rate.
- New homebuyers: If you purchase a newly constructed home, ask your licensed insurance agent about possible new home savings. For instance, some carriers offer a discount if your home is less than 12 months old.
The Florida home insurance market is complex, so finding cheap homeowners insurance in Miami may require some legwork. When researching different companies, asking about specific discount opportunities may help you secure lower-than-average rates. Bundling policies could net the most significant savings. Experts recommend shopping around to find the best quote.
Frequently asked questions
The best home insurance company for you is likely one that offers the coverage types you need at a rate you can afford. For some homeowners, the best company may be the one with the lowest rates; others may prioritize companies with outstanding customer service ratings. Most insurance professionals recommend researching different companies and comparing quotes from your top choices.
For homeowners insurance, Miami residents pay an average of $3,090 per year for a policy with $250K in dwelling coverage. However, your insurance rates are established based on personal inputs, including your ZIP code, home features and selected coverage options. It may be helpful to get multiple personalized insurance quotes to determine which carrier offers the lowest rates for your situation and coverage needs.
No, home insurance is not a legal requirement in Miami. However, if you have a mortgage, your lender probably requires home insurance as a condition of your loan. Depending on your home’s specific location, some mortgage lenders may also require homeowners to carry flood insurance.
Unless your mortgage lender requires a minimum amount of homeowners insurance, how much home insurance you buy is completely up to you. The amount of home insurance you need will likely depend on factors like the value of your home, any additional structures on the property and the prevalence of home perils in your area. Consulting with a licensed insurance agent may be the best way to determine how much coverage you should buy.
Bankrate utilizes Quadrant Information Services to analyze 2023 current rates for 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.
Our 2023 Bankrate Score considers variables our insurance editorial team determined impacts policyholders’ experiences with an insurance company. These rating factors include a robust assessment of each company’s product availability, financial strength ratings, online capabilities and customer and claims support accessibility. Each factor was added to a category, and these categories were weighted in a tiered approach to analyze how companies perform in key customer-impacting categories.
Like our previous Bankrate Scores, each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. This year, our 2023 scoring model provides a more comprehensive view, indicating when companies excel across several key areas and better highlighting where they fall short.
- Tier 1 (Cost & ratings): To determine how well auto and home insurance companies satisfy these priorities, 2023 quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best and the NAIC, were analyzed.
- Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated each company’s discount options listed on its website.
- Tier 3 (Support): To encompass the many ways an auto insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored a company’s corporate sustainability efforts.