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Average House Insurance Cost Guide: Which States Have the Highest Rates? How Can You Save?

Are you researching the costs associated with homeowner’s insurance policies? On average right now in 2020, the average house insurance cost in the US per year is around $1400 – $1450. Obviously, this cost is going to vary significantly from state to state, and there are additional factors that play a role in how much you will have to pay: the home’s location, cost to rebuild, your credit score, whether or not you’re eligible for discounts, and the insurance company itself.

The states with the highest insurance costs are the ones that have a lot of rural areas, where homeowners have the potential to own a lot of land: Oklahoma, Kansas, Texas, and South Dakota. These states are also all vulnerable for extreme weather conditions like tornados and, in the case of Texas, hurricanes and flooding. On the East Coast, there is South Carolina, which ranks #5 overall.

With the exception of Utah (which ranks #46 overall), the states with the lowest average house insurance costs are all in the Northeast (PA, DE, and VT). In urban areas, renter’s insurance and landlord’s insurance policies are more popular.

Regardless of which state you live in, it’s important that you keep you maintain good credit, as your credit history can affect how much you have to pay in insurance. If you’re struggling financially and want to bring down the cost of your homeowner’s insurance, one way to do so is to make sure you can get some discounts.

Average House Insurance Cost With Discounts

The insurance companies all offer a variety of discounts – especially those involving safety and security. These features of your home could include things like strong bolt locks, extra smoke detectors, alarm system, camera system, having a no-smoking residence, etc. Additional discounts could include something as simple as setting up automated payments, or paying the premium in full every 6 months.

If you already have a car insurance policy that you are happy with, check with that insurer to see if they offer bundled discounts and if you can save if you also use them for your homeowner’s insurance.

Lastly, there is no use in paying for coverage you don’t even need. How much would it cost to rebuild your gazebo or small storage shed? Would it be cheaper just to leave those things uninsured? What about some of your personal items, such as rare collections? Would you save more money if you were to just have them individually listed as “add-ons” to basic homeowners “dwellings” coverage, or just have overall personal items coverage combined with the dwellings coverage?

When researching the average house insurance cost in your area, check and see if Lemonade Insurance is available in your state. It’s a popular insurance company with 10,000+ reviews across all platforms and sites, most of which are positive.

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