Home Insurance

Average Homeowners Insurance Cost: An Overview of Home & Property Pricing and Factors That Affect It

Whenever you shop for anything, you always want to first check for the average price, and get the best quality possible at a price you can afford. Don’t just buy something at a low price that might turn out to be cheap, or it might turn out to be a complete waste of money anyway. This is especially true when it comes to something truly essential in your life, such as home insurance. Do research on the average homeowners insurance cost and learn how to evaluate each policy to ensure that you get the most value out of your money.

The national average is something around $2,300. However, there are many more factors involved than just the state you’re living in. Your county, city, and even neighborhood could be on the higher end for your state or lower end. Obviously, the size of the home, age, condition, property, etc… all play a role in how much average homeowners insurance cost you will have to pay as well.

Like it or not, there are some personal details that will affect how much you might have to pay. This includes your marital status, credit score, claims history, and whether or not you or anyone else in the household is eligible for any sort of discount. Most home and property insurance companies usually offer some discounts, which can be anything from having sprinklers installed to investing in security cameras.

Average Homeowners Insurance Cost By Geography

Obviously, the geography of the area, weather, and climate are also extremely important factors. Flood insurance often isn’t included in a basic homeowners policy. If you live along the Gulf Coast, you’ll probably have to pay a bit more than average due to hurricane season. The average homeowners insurance cost tends to be higher in “Tornado Alley” states as well.

No two insurance companies calculate these factors and the rates in the exact same way, although there are many similarities across the board. If you own more than just a home, make sure your policy includes coverage for your entire property, including any other structures – especially if you’ve invested a lot in the landscaping. Think carefully about the deductible vs premiums, just as you would with any other type of insurance.

There is no rule that says you have to go with a traditional company, either. The internet age has opened up new opportunities for insurance companies to be innovative. The average homeowners insurance cost might be more affordable for you if you want to try a newer approach, such as the “peer-to-peer” platform offered by Lemonade Insurance Inc. It’s something you really might want to look into.

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