What is the average cost of homeowners insurance?
The average yearly premium is $2,724, based on Insurify data. Homeowners insurance can be a safeguard for your home and protect you financially against weather events, natural disasters, and theft, according to the National Association of Insurance Commissioners (NAIC).
“Homeowners insurance is a must if you’re buying a new home because you want to be prepared for every eventuality,” explains Michael Winkler, a real estate agent with over 30 years of experience and the co-founder and chief strategist at Sell Home Today. “Most mortgage lenders will require you to have homeowners insurance before you can apply for a mortgage.”
Different factors like a home’s location, when it was built, the materials used, and more influence the cost of homeowners insurance.
Below are annual homeowners insurance rates for various insurance companies from Insurify data. Rates can be as low as $924 per year and up to $7,620 per year.
|Insurance Company||Average Annual Quote|
|Midvale Home & Auto||$2,772|
|Homeowners of America||$4,188|
See More: 10 Best Home Insurance Companies
How much does home insurance cost in different states?
The state where you live can affect your home insurance rate. Some states are more vulnerable than others. For example, if you live in an area that is frequently hit by hurricanes or earthquakes, you may pay more. Sometimes, you may need to buy a separate policy and have a different deductible for certain events, such as earthquakes.
The highest annual premiums for home insurance are in Mississippi, at $5,592 per year. The lowest annual premiums for home insurance are in Oregon, at $1,356 per year.
|State||Average Annual Quote|
Average cost of home insurance by city
Homeowners insurance premiums can vary not only by state but also by location and ZIP code. Below are the average costs of home insurance in the top major cities by population.
Based on the list below, the highest average annual home insurance is $5,820 in Detroit, Michigan. The lowest average annual cost for homeowners insurance is $1,512 in Seattle, Washington.
|City||Average Annual Quote|
|New York, NY||$1,584|
|San Francisco, CA||$2,160|
|Los Angeles, CA||$3,180|
|San Diego, CA||$4,236|