Home Insurance

Average Price of Homeowners Insurance Guide: Finding the Average Cost in Your Area and Deciding on the Best Policy

It’s hard to say the average price of homeowners’ insurance because the rates fluctuate, and different companies base their rates on various criteria. The estimated average annual premium is around $1,200 or so, but that’s just the best estimate at this time. The state you live in is probably the biggest decider in how much you can expect to pay.

There are other criteria, of course, such as crime rate, size of the home, and property size. Additional criteria include the house’s condition, age of home, neighborhood, your credit, history of claims (if you have any), and so on. States in “Tornado Valley” tend to have the highest rates overall, closely followed by states in hurricane-prone areas. Oklahoma, Kansas, Texas, the Dakotas, South Carolina, Montana, and Minnesota, are usually in the top 10.

At the very bottom, the cheapest states include the New England states and Pennsylvania. Utah is surprisingly on the low-side as well. All you have to do is find out the average price of homeowners insurance in your state, or the state where you plan to live. Then determine if the quotes you are getting are around that average.

If the quotes you’re getting are higher than you’d like, the reason could be anything from the area’s crime rate to the home’s size and condition. It might even be your personal credit history or claims history that could be causing the rates to be higher. One thing to do is check to see if you can find the average price for home insurance in your county or city.

Average Price of Homeowners Insurance Depends on Many Factors

Of course, the rates you are being quoted for also depend on the exact type(s) of coverage you want. Flood insurance isn’t always included in the average price of homeowners insurance. You might need to have it added on additionally. If it is listing “flood protection”, read the details carefully, as it could only be referring to the damage caused by busted pipes. If you live near a body of water and do have concerns about flooding, see which companies will make you pay extra for it.

There might be discounts available and worth looking for, no matter how low or high the quotes are. Many insurers offer discounts on anything you add to the home to protect it even more from threats. Such instruments include a surveillance system setup for security or sprinklers for fire protection.

Whatever the average price of homeowners insurance might be in your area, there’s a good chance you’ll be able to get it at an affordable price at Lemonade. Insurance from this company is very reasonably priced and pays claims quickly.

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