Homeowners insurance rates by state in 2024 | Insure.com (2024)

What is the average cost of homeowners insurance by state?

Average home insurance rates by state differ substantially, ranging from the low-end average home insurance cost in Hawaii of $613 to the highest average cost in the nation of $5,858 in Oklahoma.

“Homeowners insurance prices are driven by two underlying factors: How likely your home is to get damaged, and how much it will cost to fix. While the likelihood of damage is affected by how big your home is, what it’s built out of, and how old it is, a far bigger factor in many areas is how exposed your house is to catastrophic events like hurricanes and wildfires,” says Kate Terry, co-founder and CEO of Surround Insurance.

So, some coastal states like Florida have a much higher average cost than some inland states like Ohio, but that doesn’t mean that all coastal states are more expensive.

“What can be surprising is that even inland states can be highly exposed to catastrophic storms, so Oklahoma and Arkansas, for example, have relatively high home insurance costs because they get frequent tornadoes,” Terry says.

Insure.com’s study of home insurance rates by state

To determine the average home insurance rates by state, Insure.com analyzed average insurance rates from 62 companies in nearly 35,000 ZIP codes across all 50 states plus Washington, D.C. Rates are based on policy limits of $300,000 in dwelling coverage, with a $1,000 deductible and $300,000 liability limit.

The 10 most expensive states for homeowners insurance

The states with the highest home insurance rates include several inland states that face natural disaster risks such as tornadoes, as well as some coastal states that face risks like hurricanes. Most of these states do not have a high cost of living, which shows how insurance rates depend on more than just local costs to rebuild.

The 10 least expensive states for homeowners insurance

The states with the lowest home insurance rates include several northern states that typically face less risk of catastrophic events like hurricanes. However, even some states with a high cost of living and wildfire risk, such as California, make the list of the states with the lowest home insurance rates due to factors such as state regulation and overall risk compared to other states.

That said, certain risks like earthquake damage are not covered by homeowners insurance, and thus, homeowners in some of these states could end up paying more if they want more comprehensive coverage. Notably, a standard home insurance policy in Hawaii does not cover hurricane damage.

How much is homeowners insurance per month in your state?

Homeowners insurance rates vary widely from state to state. Even neighboring states can have differences of several hundred dollars in annual premiums if not more. The rates below are for $300,000 in dwelling coverage and liability with a $1,000 deductible.

Average home insurance rates in your state by dwelling coverage level

Our standard average rates are based on $300,000 in dwelling coverage, but it’s important to note that rates don’t always scale up or down proportionally based on coverage limits. Some states might be more competitive than others at the $300,000 limit, for example, while surpassing more states when it comes to average annual rates at a $1 million limit. That’s why it’s important to compare rates based on your situation.

Average home insurance rates by company

Looking at the average homeowners insurance cost in each state only tells part of the story. If you want to find the best rates, you need to comparison shop, as different home insurance companies offer different rates by state. Note that while a home insurance company might have lower-than-average rates in one state, that does not always apply to all states.

*USAA is only available to military members, veterans and their families.

How have home insurance rates changed in each state year over year?

In general, homeowners insurance rates have trended upward in recent years. Based on available data from 2019, 2022 and 2023, we have seen average homeowners insurance rates in the U.S. increase steadily in most states. However, the same pace does not apply in all states, with a few, like Alaska and Vermont, actually seeing an overall decrease.

Will homeowners insurance go down in 2024?

Average homeowners insurance premiums are unlikely to go down in 2024, although homeowners may get a reprieve from the steep climb.

“Unfortunately, homeowners insurance rates are likely to continue to rise throughout 2024, though probably at a slower pace than over the past year or two. Insurance companies increased prices significantly through 2023 and have gotten closer to profitability. Inflation has also fallen, and these trends moderate rate increases,” Terry says. “However, severe weather events show no sign of slowing down, and costs to rebuild, driven by materials and construction labor costs, continue to increase. That means that we will keep seeing our homeowners insurance bills go up.

”However, even if you face increasing homeowners insurance premiums in your state, there are still steps you can take to save money.“

The easiest is to get some quotes that bundle your auto and home insurance together. This can save up to 20% overall on your insurance, though it’s still worth getting a few quotes for home and auto, together and separately, to make sure that’s the case,” Terry says.

Making some home improvements or adding technology can also lower insurance premiums, such as installing alarm systems or water leak detection devices.

“And, especially in hurricane-exposed areas, there are discounts for reinforcing your home to make it more wind resistant. It’s worth asking if your current insurer has any programs that help make your home safer; some of them will even provide the devices for your home,” Terry says.

Is homeowners insurance required in any state?

Homeowners insurance is not required by law in any state. However, lenders require homeowners to carry home insurance as a condition for obtaining a mortgage. Even if you are not required to carry homeowners insurance (if you don’t have a mortgage, for example), consider the risks of being uninsured. Most people can’t afford to replace their homes and possessions out of pocket, and insurance is the best way to protect both.

Final thoughts on average home insurance rates by state

Don’t assume that a state with a low cost of living also has low home insurance rates, or vice versa. The average homeowners insurance cost by state depends on several factors beyond just rebuilding costs, such as the risk of catastrophic events like hurricanes and tornadoes. But even if your state faces high homeowners insurance costs on average, you can find ways to save money, starting with comparison shopping for the best home insurance company in your state.

Methodology

Insure.com analyzed home insurance rates provided by Quadrant Data Services in 2024 for all 50 states and Washington, D.C. Rates were fielded from 34,588 ZIP codes at multiple coverage levels to calculate averages for each state as well as nationwide. Coverage levels are dwelling coverage of $200,000, $300,000, $400,000, $600,000 and $1,000,000 with liability at $300,000 and a $1,000 deductible. A 2% hurricane deductible was applied in states where it is available.

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