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Oakland home prices are on the rise. While this may be good news to homeowners looking to sell, new home buyers may be rethinking their budget and looking for ways to save on their homeowners insurance premium. Average home insurance rates in Oakland are $1,071 per year for $250K in dwelling coverage. This is slightly below the state average of $1,084 for California and substantially lower than the national average of $1,383.
Fortunately, there are cheap home insurance providers in Oakland that may beat the city average. Based on Bankrate’s research, ASI Progressive, Mercury Insurance and USAA offer some of the lowest average homeowners insurance rates for Oakland residents.
Best cheap home insurance companies Oakland
We found the best cheap home insurance in Oakland using coverage offerings and rates from the best homeowners insurance companies in the region. Based on data provided by Quadrant Information Services, ASI Progressive, Mercury and USAA are among the cheapest Oakland home insurance companies.
We assigned each carrier a Bankrate Score, with a maximum score of 5.0. This score considers affordability, availability, financial strength ratings and customer satisfaction scores from J.D. Power’s 2022 U.S. Home Insurance Study. We also look for providers that offer online resources and digital tools that enable policyholders to better manage their policies. Based on our findings, you may consider these five carriers for cheap homeowners insurance in Oakland:
|Home insurance company||Bankrate Score||Average annual premium for $250K dwelling coverage||J.D. Power score|
*Not officially ranked by J.D. Power due to eligibility restrictions
ASI Progressive offers some of the lowest average home insurance rates in Oakland. Additionally, new homeowners could save even more with the company’s discount for recent buyers. ASI Progressive may not offer as many options for policy customization as some other providers on this list, but it does have optional coverage to protect high-value belongings such as jewelry. Oakland residents who live in flood-prone areas may also purchase a flood insurance policy through ASI Progressive. Potential customers should note that the carrier received a below-average score from J.D. Power, indicating that some customers may not be satisfied with the service.
Learn more: Progressive Insurance review
Mercury Insurance is the second-cheapest carrier in Oakland on this list, based on average premiums, with average annual premiums that are more than $450 below the city’s average. Mercury did not rank in the J.D. Power Home Insurance Study, which is likely because the carrier is small and regional. The NAIC complaint database does show that Mercury Insurance had only three complaints last year. Besides basic coverages, Mercury’s standard home insurance policies also include identity theft protection and extended replacement cost coverage, which may pay up to 150 percent of your policy’s dwelling coverage following a covered loss.
Learn more: Mercury Insurance review
Homeowners who value digital policy management may find what they’re looking for with Travelers’ highly-rated mobile app. In addition to a relatively low average premium, policyholders may save even more with potential discounts for buying a new home, remaining claims-free and having a LEED-certified home. The company also offers a variety of add-ons for policy customization including green home coverage. This means you may be able to replace lost or damaged systems, materials or items with energy-efficient or eco-friendly versions in the event of a covered peril. Potential customers should note that Travelers has the lowest J.D. Power score on our list, indicating that some customers may not be satisfied with the service.
Learn more: Travelers Insurance review
Although USAA insurance is only available to eligible members of the military and their immediate family members, it receives high marks from J.D. Power for customer satisfaction. Standard USAA homeowners policies include personal property replacement cost coverage and up to $5,000 in identity theft protection, benefits that many insurers only offer as endorsements. USAA policyholders may be able to maximize their financial protection with optional flood, umbrella and valuable personal property policies. Although the company’s average premium is below the average rate for Oakland, policyholders may have limited ways to save as the company does not offer many discounts compared to other providers listed here.
Learn more: USAA Insurance review
Homeowners who switch to Allstate may receive a discount up to a 10 percent. The insurer also may extend a potential discount for homes equipped with protective devices and when you purchase new coverage at least seven days before your current policy expires. Among our top picks, Allstate has the highest average rates, but the provider offers comprehensive homeowners policies and a few optional coverages. The carrier’s HostAdvantage product provides home-sharing protections with up to $10,000 in personal property coverage. Allstate sells home insurance through three Oakland agencies.
Learn more: Allstate insurance review
Oakland home insurance considerations
There are no laws that require you to buy home insurance, but if you finance a house, the lender will likely require you to carry a policy throughout the life of the loan. A standard home insurance policy covers you for a number of perils including windstorms, theft and fire. However, two of the most serious perils are not included — earthquakes and flooding. Many insurance companies offer earthquake and flood insurance as endorsements or separate policies. Other common endorsements may include:
- Extended replacement cost: Extended replacement cost may increase your dwelling limit, within the limits of your policy, in case costs to rebuild are higher than your dwelling coverage will cover.
- Green rebuild: If you need to rebuild, repair or replace items after a covered loss, having green rebuild coverage may allow you to use more eco-friendly, efficient materials.
- Water backup coverage: Most standard home insurance policies do not cover losses caused by sewer backups. Water backup coverage protects your finances in the case of drain or sewage backup.
Home insurance discounts in Oakland
Most carriers offer at least a handful of potential discounts. Once you find cheap home insurance coverage in Oakland, you could still save more by asking the carrier for discounts that apply to your situation. Common discounts may include:
- Restoration discounts: Some insurers extend discounts to policyholders who renovate their homes. These discount programs vary by provider, but may apply to installation of storm windows or shutters, sustainability improvements or upgrades to electrical, cooling, heating and plumbing systems.
- Claims free discounts: Homeowners with no history of home insurance claims for a specified period of time, typically three to five years, may be able to save money on their premiums.
- Bundling and multi-policy discounts: Carrying your auto insurance and home insurance policies with the same insurer may qualify you for a substantial discount. Some carriers may even allow you to share the same deductible if you have a claim for both. Oftentimes, bundling discounts may provide the greatest savings and they sometimes enable you to make one payment for auto and home insurance policies.
Bundling discounts are typically the easiest to qualify for because they simply require you to purchase car and home insurance from the same carrier. Most insurance experts recommend that you ask your insurance agent about potential discounts when you renew your policy as you may qualify for additional savings over time.