Find the Best Homeowners Insurance Companies
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Lemonade Homeowners Insurance
Provides home insurance with adjustable deductibles. Policy covers reconstruction, loss of use, on-site injuries, personal liability and personal property. Covers items worth up to $1,500. Extra coverage endorsement available.
|EverQuote Home Insurance Services|
Offers tools to let both renters and buyers compare home insurance companies and connect to local home insurance agents. Survey only takes two minutes. Site is free to use.
|AAA Homeowners Insurance|
Read 308 Reviews
Well-known as an auto-insurer and emergency roadside assistance provider, AAA also provides customers with home insurance policies. The company offers condo and renters insurance, as well.
|State Farm Homeowners Insurance||Read 1,030 Reviews|
State Farm is a large insurance company headquartered in Bloomington, IL. The company offers a wide range of insurance services, including homeowners insurance, to customers across the United States and Canada.
|Allstate Homeowners Insurance|
Read 939 Reviews
Allstate is one of America's largest insurance corporations, and they offer homeowners insurance in addition to auto, rental, motorcycle, life, business, and condo insurance. The company is headquartered in Northbrook, IL.
|Get a Quote|
|Nationwide Homeowners Insurance|
Read 294 Reviews
Free online quotes. Online bill pay and policy access. Automatic payments. Paperless billing and document options. Coverage includes protections for dwellings, additional structures, personal property and loss of use.
|Farmers Homeowners Insurance|
Read 406 Reviews
Offers home insurance packages without hidden fees. To-the-point renters, condo, mobile and owned-home insurance with a variety of customization options to match your lifestyle. Large network of agents.
|Liberty Mutual Homeowners Insurance||Read 351 Reviews|
Multiple coverage options. Offers discounts for new homes and policy bundles. Pay only for the coverage you need. Add-on coverage for hurricanes, personal property replacement and water backup protection.
|Travelers Homeowners Insurance|
Read 228 Reviews
Provides homeowners insurance with multipolicy, loss-free and smart home discounts. Customizable coverage options. Several policy add-ons. Free online quotes. Local agent network. Umbrella policies available.
|Progressive Homeowners Insurance|
Read 129 Reviews
Homeowners insurance with multiple opportunities for coverage bundles and discounts. Compare rates with its HomeQuote Explorer tool. Standard insurance, personal property, personal liability and other home coverage available.
Our picks for top homeowners insurance companies
We curated a list of our top picks for homeowners insurance providers to help get you started. To select companies, we considered verified customer reviews, AM Best ratings, the 2020 J.D. Power customer satisfaction index, availability and other factors.
Our top pick overall
State Farm offers insurance policies for single-family and multifamily homes, duplexes, townhomes, mobile homes and condominiums. Policies can include medical and personal liability coverage and protect items like jewelry, cameras, musical instruments, appliances and tools in the event of a disaster caused by nature, fires, theft and vandalism. Water damage is covered if it resulted from an abrupt or accidental discharge of water from your plumbing system, but policies don’t cover flood damage.
State Farm offers a few ways to save, including discounts for bundling policies, using impact-resistant roofing products and installing an alarm system. An online quote tool makes it easy to get a price without jumping through too many hoops.
Our pick for older adults and seniors
The Hartford specializes in home insurance coverage for homes and personal property, including exterior structures like garages and sheds. The Hartford’s program offers lower rates and credits to homeowners over the age of 50 through a partnership with AARP.
Discounts are available for bundling policies, installing home security systems and policy renewals. Seniors and retirees are eligible for additional credits if they work less than 24 hours each week. Policies for renters and condos are also available as well as flood coverage and umbrella insurance. Like State Farm, The Hartford makes it easy to get a free quote online.
Our pick for customizable plans
Farmers offers three highly customizable insurance products. All policies include declining deductibles, claims forgiveness and a claims-free discount at the end of the year. Farmers Insurance also pays for cosmetic damage of items, a feature some providers don't offer.
You can choose from Standard, Enhanced and Premier packages. Within each plan, there’s still flexibility in factors like premiums and coverage type. Farmers also partners with industry leaders in home security and leak detection technology to educate clients on more than just insurance.
Our pick for discounts
Allstate awards discounts to homeowners for good payment history, not making claims, setting up autopay, installing theft or fire protection and bundling policies. Allstate is also a good pick for new homebuyers because it offers savings if you insure a newly constructed home or if you are a recent homebuyer. Welcome and loyalty discounts can save you up to 10% each year.
Like Farmers, Allstate has versatile customization options. You can choose from a list of extra perks, such as Claim Rateguard, which keeps your rate at the same price year over year, and deductible rewards up to $500. Additional coverage options include lawn and garden equipment and musical instruments.
Our pick for military families
USAA maintains a healthy portfolio of insurance products and should be a top consideration for active military members, veterans and their families. The 2020 J.D. Power U.S. Home Insurance Survey ranked USAA No. 1 for the highest overall customer satisfaction index rating, at 889.
Policies include a claims-free discount that lets homeowners receive a 10% savings if they don’t file claims for five or more years. USAA policies automatically include coverage for military uniforms, replacement-cost claims (no depreciation) and hands-on claims support. You can add additional coverage options to your standard home insurance policy, including earthquake coverage and home sharing coverage for guest rooms.
What to look for in homeowners insurance
For most people, coverage options and pricing are the two primary considerations when buying home insurance.
- Coverage options: Policies vary in terms of coverage types and limits, so compare different insurers to get the best homeowners coverage for your budget. For instance, you might want enough coverage to satisfy your mortgage lender and additional protection for personal assets and valuables, such as jewelry or musical instruments. Your insurer can adjust your standard policy through insurance endorsements.
- Pricing: To get the right policy for your budget, pay attention to what’s included in the coverage and the cost of the premium. This lets you find the lowest rate while also getting the right policy for you.
We suggest looking for companies that provide free quotes, policy discounts and helpful customer service. As you compare quotes, request estimates from insurance providers with high scores from analysts that provide industry ratings and efficient claims processing. Reading reviews and asking friends and family for recommendations can also help you make sure that you’re only looking at reputable insurance companies.
After you think you’ve found the right policy for you, look it over to make sure there aren’t any hidden fees or egregious policy exclusions. Remember: You’re looking for long-term value and coverage that protects you, not just the cheapest premium.
You need to keep up with your home insurance coverage until you pay off your mortgage. However, that doesn’t mean you have to stay with the same home insurance company or the same coverage level. For example, if you undergo a massive renovation, you may want to increase your dwelling insurance coverage in the next year. Make a habit of reviewing your policy each year and adjusting it as needed. This will help ensure that everything is covered at the level you need.
If you’re interested in picking a new provider or want to see how your current rates compare, getting an online insurance quote is the place to start. To get an accurate quote, you need to have all of the necessary information about your home. We suggest comparing at least three to five providers.
You may need to provide your date of birth, Social Security number, phone number, marital status, job information, claims history and existing insurance policies if you want the most accurate home insurance quote.
High industry ratings
Homeowners insurance companies are scored by firms such as AM Best, J.D. Power, Standard & Poor’s and Moody’s credit ratings. These indexes measure an insurance company’s ability to pay claims to policyholders, indicating whether the provider is likely to be around when you need it most.
AM Best and J.D. Power rate insurance companies based on coverage options, company history and overall value. Factors considered include the likelihood to pay back a claim and how often the insurer accepts claims. These are usually rated on a letter scale, with A+++ being the highest rating, or on a scale from one to 1,000. Lower insurance provider ratings can indicate that the company is less financially secure and less likely to pay out policy claims.
Some state departments of insurance rank available providers according to their complaint ratio, which measures justified consumer complaints against a company. Check with the National Association of Insurance Commissioners to find information about local insurance departments in your state.
Good customer service
Customer service is essential for policyholders who have questions about their coverage or require assistance during an emergency. Insurance companies are rated by such firms as J.D. Powers & Associates in the area of customer satisfaction, which is a reflection of how well the company meets clients’ needs. You can also read reviews to get a sense of the typical experience that other policyholders have.
Some homeowners insurance companies communicate directly with customers and do not deal with independent agents. Others rely on an independent insurance agent or a captive insurance agent who only works for one insurance company. Generally, customer services fall into one of three categories:
- Central customer service: Some insurance companies offer one central contact location for customer service. This one location handles all issues.
- Localized customer service: Some homeowners insurance providers use individual local agents to communicate with policyholders and handle their needs.
- Digital customer service: Some companies use various online methods to communicate with customers, making access to services convenient no matter where you are located.
Efficient claims process
Insurance providers are also rated on how effectively they handle claims filing, processing, adjustments and payments. Homeowners insurance policies are usually only needed in urgent situations, so speed is always a factor when dealing with the home insurance company. Homeowners insurance companies vary significantly in terms of how quickly they can get insurance claims processed and paid.
A company that requires a lot of paperwork can take a while to process insurance claims, which can be inconvenient when a homeowner needs money for a repair in an emergency or after a disaster. Other companies may be known for fighting policyholders over claims amounts. We also suggest finding a home insurance company that won’t raise your rates just because you file a claim.
Homeowners insurance FAQ
- What does home insurance cover?
- Homeowners insurance covers loss due to disasters, accidents and theft. In addition to the house itself, protected items can include personal belongings, furniture, shrubs, trees and plants. Your homeowners insurance also protects you from financial liability if someone gets hurt while on your property.
The personal liability portion of a policy covers the financial burden of a lawsuit if someone sues after getting hurt on your property. For example, if your dog bites somebody on your property, liability coverage takes care of legal expenses up to your coverage limit. Most standard policies have liability limits between $100,000 and $300,000.
Personal property insurance typically only covers damages caused by a named peril, but some insurance agents also offer off-premise coverage. If you want personal property coverage for damages that occur outside of your home, you need off-premise coverage. Some insurers also provide policies with coverage for loss of use, medical bills and additional living expenses after a disaster.
Policies do not typically include coverage for floods and earthquakes. Additional protection, such as flood insurance, requires separate policies.
- How much homeowners insurance do I need?
- Generally, you need enough home insurance to cover your property and belongings, protect yourself financially from liability and satisfy your lender’s policy requirements. How much coverage you need largely depends on how much it would cost to rebuild your house. Be aware that the cost of replacing your home after a disaster will not necessarily be the amount you paid or the property’s current market price — in fact, it usually isn’t.
- Is homeowners insurance required?
- Usually, homeowners insurance is required if you have a mortgage. It’s not required by law, but many lenders require it before lending you money to buy a house.
- What is the difference between home insurance and a home warranty?
- The main difference is that home insurance covers your home and assets from destruction caused by specific perils, while a home warranty helps you pay for repairs needed to major systems and appliances.
- Home insurance is a policy that covers you and your home against vandalism and damage. In general, these policies cover interior and exterior damage, theft, loss and personal liability. Nearly all mortgage lenders require some sort of homeowners insurance plan to be in place before lending money.
- Home warranty is a service contract that covers the cost of repairing or replacing major home appliances. Components such as your furnace, plumbing, HVAC system and electrical system are eligible for coverage under a home warranty. Unlike insurance, warranties are not required to secure a home loan.
- How are homeowners insurance rates determined?
- Homeowners insurance rates are determined by the likelihood you will file a claim. Companies assess risk based on your house’s condition and location, your personal claim history and other factors.
Insurers calculate premiums based on a percentage called an expense ratio. An expense ratio measures the profitability of an insurance policy and takes into account costs for acquiring, underwriting and servicing policies. According to the National Association of Insurance Commissioners, the average expense ratio for home and renters insurance is around 30%.
- How can I lower my homeowners insurance?
- There are many ways you can save money on home insurance premiums, whether it’s by changing providers or negotiating with your current provider. Many companies offer discounts for bundling insurance, being a loyal customer, installing safety and security devices in your home and not filing a claim for a certain period of time. If you want to lower your payments, try:
- Is it better to bundle home and auto insurance?
- You could get a better homeowners insurance rate by bundling your home and auto insurance. It’s a convenient option that lets you work with the same agent for both policies instead of dealing with multiple insurers. Work with your insurance provider to see if you can score discounted rates by bundling your coverage. Depending on the agency, you may be able to negotiate a better premium.
Home insurance coverage levels
There are different types of packages, but most home insurance policies include the dwelling, other structures, personal property and financial liability. Dwelling coverage is the part of a homeowners policy that insures the actual house, while “other structures” include fences, sheds, gazebos and similar items.
An HO-3 is the most common type of homeowners policy. Usually, this type of insurance covers damage to your home caused by anything except for named exclusions (e.g., an earthquake or flood). Your belongings are covered only if the damage is caused by a covered peril (e.g., fire, water damage or vandalism). In insurance-speak, a peril is any specific risk or reason for the loss, such as a fire, windstorms, hail, vandalism or the weight of ice or snow, according to the National Association of Insurance Commissioners’ Consumer’s Guide to Home Insurance.
Most homeowners insurance policies pay for expenses that come up when your home is uninhabitable because of damage from natural disasters or other perils. Home insurance coverage levels can be described as actual cash value, replacement cost and extended replacement cost.
There’s a coverage limit, though, to how much you can spend. Policies usually use percentages for each facet of coverage level to create an overarching coverage amount.
Actual Cash Value vs. Replacement Cost
As you compare policies, you’ll likely have to choose between actual cash value or replacement cost coverage options. Replacement coverage is good for the cost of rebuilding your home after a disaster. In contrast, actual cash value coverage requires you to pay out-of-pocket for the difference between rebuilding costs and your property’s depreciated value.
- Actual cash value refers to how much your house is worth, considering its current age and condition. Actual cash value policies deduct payouts for depreciation.
- Replacement cost refers to how much it would be to rebuild your house or repair damages with similar materials and quality. Replacement cost policies don’t deduct payouts for depreciation.
Most insurers provide replacement cost coverage as their default. Some also offer extended or guaranteed replacement value policies. With an extended replacement value coverage level, the policy pays to rebuild, even if it’s more than your limit. In other words, extended replacement cost policies have a built-in buffer against inflation.
How much is homeowners insurance?
The national average for homeowners insurance is $2,305 per year, according to Bankrate. However, home insurance costs vary greatly depending on the coverage, where you live and what kind of house you have. At $4,445, Oklahoma is the state with the highest average premiums. Residents of Hawaii typically pay the least per year — less than $500. (Bankrate based averages on homeowners coverage for a $300,000 house with a $1,000 deductible.)
Homeowners insurance costs also vary depending on the company you choose and the type of insurance policy you want. For instance, adding coverage for a pool, trampoline or another structure increases your premiums.
As you compare coverage costs from multiple companies, it’s important to understand how deductibles and premiums work with home insurance. Otherwise, it’s hard to know if you’re getting the best coverage you need for a price you can afford to pay every month.
- Deductibles: A deductible is the portion of a covered loss you must pay out-of-pocket before your insurance provider starts paying. When a homeowners insurance policy has a high deductible, the insurance company generally charges less for annual premiums. For example, a $1,000 deductible policy will have cheaper premiums than a $500 deductible policy, even from the same insurer.
- Premiums: Yearly homeowners insurance premiums vary widely and vary based on multiple factors, including how much coverage you need based on your home's value and the personal possessions inside it.
Home insurance reviews
This broker partners with all sizes of home insurance companies to offer competitive pricing and a wide selection of choices to consumers. Customers work with local agents in their city.
This is the second-largest homeowners insurance company in the country. AM Best has given the company an A+ rating for financial strength. Policyholders are eligible for more than a dozen discounts, and they can submit claims and make payments through the company’s mobile app.
State Farm is the largest homeowners insurance provider in the United States, and AM Best has given it an A++ rating for financial strength. Its local agents work in every U.S. state. Customers commonly bundle their homeowners insurance policy with their auto insurance policy for a discount.
This company is known for offering affordable homeowners insurance, which makes it a good option for those who want basic coverage. Its basic plan lacks some common coverage, but customers who need more can add riders. The company sells several other types of insurance and offers discounts for customers who bundle policies.
With more than 10 million homes under its coverage, this company is the fifth-largest provider of home insurance in the United States. It has an A rating for financial strength from AM Best. The company’s claim forgiveness feature means that customers who haven’t filed a claim for five years won’t see higher premiums after their next claim.
This company offers multiple types of insurance and provides online bill pay and claim filing. Customers can file claims, record damage and manage their policies from its mobile app. AM Best has given the company an A+ rating for financial strength.
This insurance company sells auto and rental insurance in addition to homeowners insurance. Earthquake coverage and flood coverage are available as separate endorsements. The company offers 24/7 claims assistance and has an A rating from AM Best for financial strength.
The Hartford sells renters and condo insurance, and it has an A+ rating from AM Best. It also partners with AARP to offer members homeowners insurance. Customers can view their policy, pay bills and track claims through its mobile app.
This insurance company is well known for its auto insurance and roadside assistance, but it also sells homeowners insurance. Coverage and pricing differ by club.
This company provides homeowners insurance to members of the military, veterans and their families. It is the fourth-largest homeowners insurance provider in the United States, and it has the highest financial strength rating possible from AM Best, A++. The company is well known for its excellent customer service, as well.
This insurance company has 24/7 claims service for its homeowners insurance and an A rating from AM Best for financial strength. Online resources include an insurance calculator, a policy comparison chart and a home inventory checklist. The company also sells auto and renters insurance.
This company acts as a broker that offers homeowners insurance policies through its partner, Homesite. It has an A rating for financial strength from AM Best. Customers who need to file a claim do so through Homesite.
Despite its name, this company sells more than just auto insurance. It has an AM Best rating of A++ for financial strength, which is the highest possible score. The company has agents in 26 states.
AM Best gave this company an A+ rating for financial strength. However, ERIE only operates in 12 states, so check to make sure the company writes policies in your area. In addition to homeowners insurance, the company also provides policies for cars, renters, condos, mobile homes and boats.
This insurance company offers homeowners insurance for single-family dwellings, townhomes, duplexes, fourplexes, mobile homes and condominiums. The company also sells auto insurance and has an A rating from AM Best.
This insurance company specializes in writing policies for consumers with poor credit and covering high-risk homes, including older houses. It partners with local agents, so homeowners can always receive face-to-face answers for all their policy questions. The company has an A rating for financial strength from AM Best, as well.
This insurance company offers home insurance, auto insurance and dental insurance. Quotes are only available by speaking with an agent directly. The company has an A rating from AM Best and offers three different plans. It also provides ways to customize coverage.
Backed by Liberty Mutual, this insurance company has a financial strength rating of A from AM Best. Quotes are only available by speaking with a local agent, but the company has 24/7 claims assistance. The company also offers auto insurance, landlord insurance and umbrella insurance.
Compare Homeowners Insurance Companies
|American Family Homeowners Insurance|
Read 139 Reviews
Customized homeowners and home business insurance. Add-ons for equipment breakdown, matching siding, hidden water and sump pumps. Alarm system, new home, automatic payment and loyalty discounts. Diminishing deductible options.
|USAA Homeowners Insurance|
Read 329 Reviews
Offers home insurance for military members and their family. Covers fire, theft, vandalism, weather, liability and identity theft. Several discounts. Submit claims online. Free quotes. Convenient mobile app.
Read 395 Reviews
Homesite Insurance is a company based out of Boston, MA that offers homeowners insurance policies to its customers. The company offers a wide range of insurance options, from flood insurance to renters insurance.
Read 82 Reviews
Available only in certain Northeastern locations. Offers some special benefits with standard coverage. Some online tool options. Guaranteed replacement cost coverage. Claims filing by phone or with an agent.
Read 57 Reviews
Comprehensive home insurance policies. Various local agents nationwide. Discount options for coverage packages, multiple policies, fire and smoke safety and other conditions. Free online quotes.
|National General Homeowners Insurance|
Read 90 Reviews
National General Homeowners Insurance offers guaranteed and extended home replacement in the 48 contiguous United States. You can opt for a Green Upgrade, which allows up to $50,000 of coverage rebuilt with sustainable materials.
|The Hartford Homeowners Insurance|
Read 129 Reviews
Offers flexible and comprehensive homeowners and renters insurance. Discounts for AARP members and for bundling auto and home coverage policies. Available in 33 states. Human Achievement Programs.
|TrustedChoice.com Homeowners Insurance|
Read 161 Reviews
TrustedChoice.com connects you with an independent insurance agent who can comparison shop insurance policies for you, saving you time and money. Connect to hundreds of agents that will simplify your insurance, and your life.
|Farm Bureau Homeowners|
Read 62 Reviews
Provides coverage policies for single-family homes, condos, townhomes, rentals and mobile homes. Discounts available. Local agent network. Add-ons include umbrella, residential equipment breakdown, ID theft and other coverages.
|Metlife Homeowners||Read 37 Reviews|
Offers multiple tiers of customizable coverage options. Provides 24/7 customer support. Has limited online capabilities. All policies include identity protection. Offers replacement cost coverage.
|Auto-Owners Homeowners Insurance|
Read 18 Reviews
Provides customizable homeowners insurance with liability, dwelling, property and other coverage options. Many discounts. Specialty coverage for high-value homes or residential equipment. Free quotes with local independent agents.
|Country Financial Homeowners Insurance||Read 80 Reviews|
Offers well-rated home insurance in 19 states. Backed by 100 years of insurance experience. Three coverage levels available. Wide variety of discounts for eligible homeowners, including new wiring and theft protection.
Read 49 Reviews
Specializes in insuring homes that might not qualify with other insurance companies. Offers flexible payment plans. Comprehensive flood insurance program option for homes in danger of flood damage.
|AARP/Hartford Homeowners Insurance|
Read 143 Reviews
The only AARP-approved auto and homeowners coverage provider. Two homeowners insurance plan options. Discounts available for retired individuals, policy bundling and more. Online claims filing.
|Policygenius Homeowners Insurance|
Read 6 Reviews
A licensed homeowners insurance expert will help you decide how much coverage you need before shopping around for quotes from top homeowners insurance carriers. When you switch, they’ll handle the paperwork for you.
|Pacific Specialty Insurance|
Read 60 Reviews
Offers homeowners, renters, condo, mobile home and earthquake insurance. Protects against theft, fire, vandalism, water damage, windstorm, hail, lighting, explosions and more. Bundle your policy with any auto insurance to save.
|California FAIR Plan|
Read 11 Reviews
Offers insurance for properties in California that are high-risk due to natural disasters or crime. Private insurance association conglomerate. Coverage options for traditional homes, mobile homes, commercial properties and more.
|Alfa Homeowners Insurance|
Read 34 Reviews
Offers a wide array of coverage for various property types. Liability and personal property coverage available. Add-on options include replacement cost coverage and home systems protection.
|Citizens Property Insurance Corporation|
Read 80 Reviews
Developed to support eligible Floridians who can’t find home insurance policies elsewhere. Funded by policyholders. Limited coverage options. Designed to be a last-resort alternative to private insurance.
|AIG Homeowners Insurance|
Read 22 Reviews
Homeowners insurance for high-end homes. Complimentary wildfire protection unit, hurricane protection and home security services. Personal property coverage options. Cash settlement claims available.
Information in this guide is general in nature and is intended for informational purposes only; it is not legal, health, investment or tax advice. ConsumerAffairs.com makes no representation as to the accuracy of the information provided and assumes no liability for any damages or loss arising from its use.
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