Best cheap homeowners insurance in Miami

Homeowners with properties in Miami, Florida, may face a variety of risks, including hurricanes, floods and even wildfires. The right homeowners insurance policy may help protect your finances against covered losses and damages that occur to your property, but home insurance rates in Miami can be expensive. The average cost of home insurance in Miami in 2022 is $3,090 per year for $250K in dwelling coverage. That’s significantly higher than the average cost of homeowners insurance nationwide, which is $1,383 for the same amount of coverage. Fortunately, Bankrate identified some carriers with below-average rates in Miami.

Best cheap home insurance companies in Miami

To find the best cheap home insurance in Miami, we reviewed dozens of Florida home insurance companies using a range of factors, including a review of each company’s average premium data from Quadrant Information Services, along with coverage options, availability, accessibility, digital tools, and third-party ratings from J.D. Power and AM Best.

We used this information to assign each provider a Bankrate Score with a maximum of 5.0 points. The higher the Bankrate Score, the better the company ranked in these areas. When comparing cheap home insurance providers, these average Miami rates may help you see how your quotes stack up but note that your rates may vary widely based on a range of personal rating factors.

Chubb

Based on rate data from Quadrant Information Services, Chubb offers some of the cheapest average rates for homeowners insurance in Miami. Chubb may also be worth considering if you own a high-value home, as the carrier won our 2023 Bankrate Award for best home insurance company for high-value homes. Chubb’s standard home insurance policy comes with 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

ASI Progressive

Progressive may be a good option for homeowners looking for strong digital tools and discounts to potentially lower their premium. In addition to the carrier’s low average rates, policyholders may save even more with discounts for new home construction, paying in full, advanced quoting and more. However, the company was rated below average by J.D. Power for its overall customer satisfaction, so it may not be the best option if you’re looking for a company with top-rated customer service.

Learn more: ASI Progressive Insurance review

Allstate

As one of the largest home insurance providers in the U.S., Allstate offers a full range of policy options, discounts and digital assets for policy management. The company’s highly-rated app allows policyholders to file a claim and manage their policy at the touch of a button. You can also store your list of personal belongings in the app, which acts as your digital locker in case you need to file a homeowners policy claim. 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

State Farm, the largest insurance provider in the U.S., uses a large network of agents to help achieve its strong customer service ratings, which are reflected in its high J.D. Power score. However, customers can also start a quote, purchase a policy and complete all policy management either online or via the popular mobile app. Despite these resources, 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 provides coverage for many common perils you may face as a homeowner, but some surprising 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 available endorsements typically vary by company, but some additional coverage options that may be available to homeowners in Miami include:

• Flood insurance: Standard home insurance policies do not include flood insurance coverage, and certain types of water damage are also excluded. Miami homeowners may find it useful to consider purchasing a separate flood insurance policy to protect their 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: Factors like local materials and labor costs may make the cost of rebuilding your home after a covered incident higher than your standard dwelling policy limit. Purchasing extended replacement cost coverage may help you cover the cost of rebuilding your home back to its original condition.

Home insurance discounts in Miami

One of the best ways to save on premiums may be through company discounts. Depending on the insurer, there may be several discounts that you can stack together to reduce your home insurance rates. Not all discounts are available from all insurers, and each has its own eligibility requirements. Below are some of the more common home insurance discounts you may see in Miami:

• Multi-policy/bundling: If you already have an existing auto or life insurance policy with a carrier, you may be able to save on your home insurance by carrying a policy with the same company.
• Protective devices: Installing protective devices like monitored home security systems, smoke alarms and sprinklers may net you a discount with many insurers.
• New homebuyers: If you purchase a newly-constructed home, ask your licensed insurance agent about possible new home savings. Carriers may 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 research. When researching different companies, asking about specific discount opportunities may help you see which company could actually offer you the lowest rates.

Frequently asked questions

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    What is the best home insurance company?

    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, while others may prioritize companies with outstanding customer service ratings. Most insurance professionals recommend finding the best company for you by researching different companies and comparing quotes from your top choices.
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    How much does home insurance in Miami cost?

    The average cost of homeowners insurance in Miami is $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 could offer the lowest rates for your situation and coverage needs.
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    Is homeowners insurance required in Miami?

    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.
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    How much home insurance do I need in Miami?

    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.

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  Methodology

  Bankrate utilizes Quadrant Information Services to analyze 2022 current rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Rates are weighted based on the population density in each geographic region. 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.

  Bankrate Score

  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.