Best Home Insurance in Hawaii 2023

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Living in Hawaii, you can enjoy tropical weather, coastal views and great food. However, Hawaiians are vulnerable to several perils, including volcanoes, floods and more. Fortunately, homeowners insurance costs just $438.42 per year, on average — well below the national average of $1,213.89.

Choosing the right home insurance policy to protect your home and belongings can be tough. To help, SmartFinancial analyzed rates and coverages to bring you the best home insurance in Hawaii.

Best Home Insurance Companies in Hawaii

When choosing our top picks for Hawaii insurance companies, we looked at home insurance premiums and what services they can offer to Hawaii residents. The rates from the following companies are based on home insurance policies with $250,000 dwelling value.

Best for Cheap Rates: Universal Insurance Holdings of North America

If you want insurance coverage without stretching your budget, then consider Universal Insurance Holdings of North America (UIHNA). Costing just $282.56 per year, on average, ($23.55 per month), UIHNA offers some of the cheapest rates we've seen. This leaves more money in your pocket to consider additional coverages offered by UIHNA, such as increased liability coverage limits, seasonal property coverage, replacement cost coverage and more.

In Hawaii, homeowners insurance costs just $438.42 per year, on average.

Best Local Insurer: First Insurance Company of Hawaii

A homeowners policy with First Company of Hawaii costs $329.86 per year — the runner-up for cheapest rates on our list. First Hawaii understands that there are insurance needs unique to the island state. That's why their mission is "firmly grounded in local culture, and dedicated to the success of Hawaii's people and businesses." For example, First Insurance partners with AXIS Insurance company to address the widespread risk of hurricane damages. AXIS Insurance company offers hurricane coverage for homes located at least 300 feet from the water.

Best National Carrier: State Farm

A State Farm home insurance policy in Hawaii costs, on average, $515.51 per year. While State Farm customers pay 18% more than the statewide average on home insurance, State Farm makes up for it with its strong brand presence and top-notch service. 

J.D. Power ranked State Farm among the top five for overall customer satisfaction in a 2021 homeowners insurance study. State Farm also boasts a home policy complaint index of 0, holding less than 1% of customer complaints in the home insurance market. This suggests that State Farm customers are satisfied with the service they receive for the price they pay.

  • Discounts: Bundle with another policy; home security systems; impact-resistant roofing

Cost of Homeowners Insurance in Hawaii

Homeowners insurance in Hawaii costs $438.42 per year, on average, for a home with a $250,000 dwelling value. Compared with the national average of $1,213.89 per year, Hawaii homeowners pay 64% less on home insurance. Our analysis also showed that quotes can change depending on your insurance company, dwelling coverage and which island you live on.

Costing just $282.56 per year, on average, UIHNA offers some of the cheapest rates we’ve seen.

Cheapest Home Insurance Companies in Hawaii

As mentioned, Universal Insurance Holdings of North America charges the least for home insurance, on average, at $282.56 per year. This is 36% below the statewide average. Hawaii homeowners can expect to pay the most on home insurance with Hawaii Insurance and Guaranty. Costing 50% more than statewide average, Hawaii Insurance and Guaranty customers pay, on average, $658.37 per year.


Average Annual Premium for $250,000 Dwelling Coverage

Universal Insurance Holdings of North America


First Insurance Company of Hawaii




State Farm


Hawaii Insurance and Guaranty


Average Cost by Dwelling Value

How much dwelling coverage you need affects how much you pay for home insurance. SmartFinancial collected quotes for policies with dwelling coverages ranging from $150,000 to $450,000. The lowest level of coverage in our research ($150,000) costs $319.57 per year, on average. Increasing your coverage level to $450,000 costs $777.75 per year, on average — about a $460 difference.

average annual premium by dwelling value for hawaii

Average Cost by County

After analyzing hundreds of quotes across Hawaii's four counties, we found minimal differences in home insurance rates. Hawaii County returned the cheapest insurance premiums, on average, at $429.46 per year. The most expensive county (Kauai County) was only about a $13 difference, costing $442.13 per year, on average. As you can see, there is also little deviation from the statewide average ($438.42).


Average Annual Premium for $250,000 Dwelling Coverage









Compare Home Insurance Rates in Hawaii

Homeowners Insurance in Hawaii

Basic home insurance protects your home from multiple perils, including fire, windstorms, falling objects, theft and more. However, floods — a major concern — are not covered losses with your standard HO-3 policy. Below, we've summarized your basic coverage options plus some optional coverages you may want to consider.

Coverage Type



Pays for the rebuild cost of your home if damaged or destroyed from a covered loss (e.g., fire, windstorm, falling objects).

Additional structures

Covers damages to other structures on your property, such as fences, sheds and detached garages.

Personal property

Reimburses you for damaged or lost personal belongings (e.g., furniture, clothes) due to a covered event. Personal property coverage is typically paid at actual cash value (item's value minus depreciation).


Pays for your legal expenses when defending yourself in court after somebody sues you for property damage or bodily injury while on your property.

Loss of use

Covers for daily additional living expenses when you're unable to access your home due to a covered loss (e.g., your home is being rebuilt after a heavy hurricane). Eligible expenses can include meals and hotel bills.

Medical payments (for others)

Pays for the medical procedures (e.g., surgeries, x-rays) of other people after they suffered a bodily injury while on your property. Coverage does not extend to yourself.


Pays for flood-related damages. You will need to purchase a standalone insurance policy or add-on insurance rider, as this coverage is rarely included with basic home insurance.


Pays for hurricane-related damages. Homeowners in Hawaii may be required to pay a separate deductible to receive coverage.


Covers earthquake-related damages. Similar to flood insurance, you'll likely need to buy a standalone policy or insurance rider to gain coverage.

What Hawaii Homeowners Need To Know

Hawaii's perils are unique due to its proximity to the ocean and multiple volcanoes. Not only do Hawaii residents need to prepare against storms and hurricanes but volcanic eruptions — subsequent tremors and floods, included — are significant concerns, as well.


Hawaii is home to many active volcanoes. Kilauea erupted nearly 50 times between 1912 and 2012. Ongoing eruptions as recent as September 2021 have been occurring within the Halema'uma'u crater according to the Hawaii Volcano Observatory.

Generally, basic home insurance covers your home and personal belongings for volcanic eruptions and lava flow. However, you'll want to double-check with your insurance provider to see the extent of your coverage — or if you'll need to pay a separate deductible. Keep in mind that the cost of ash removal from your personal belongings or your yard is generally not covered.


Earthquake damages are not covered under basic homeowners insurance — even if that earthquake was a direct result of a volcanic eruption. You will need to purchase a separate earthquake insurance policy to ensure your property is covered.

Hurricanes and Floods

Unlike most other states, Hawaii homeowners are generally required to pay a separate deductible for hurricane coverage. This is likely due to the Aloha State's higher risk of hurricane damages.

Flood damage is rarely covered by basic homeowners insurance. Similar to an earthquake, a flood is not covered even if it occurred in the aftermath of a volcanic eruption. A standalone policy or insurance rider will likely be necessary to receive coverage.

How To Find Home Insurance in Hawaii

Choosing the right home insurance provider is essential when living in Hawaii. If working with a national carrier, you may want to ensure they have licensed insurance agents you can speak with and inquire about your policy. Working with a regional provider can also be a good option since these insurance providers may better understand risks specific to the Aloha State.

Flood insurance

Flood insurance is rarely included in a basic homeowners insurance policy. Fortunately, there are flood policies sold through the National Flood Insurance Program. If you do choose an NFIP flood policy, take note of the 30-day waiting period before coverage kicks in — you will not be covered during this time. 

Another (surprisingly cheaper) option is to purchase a private policy through your insurance provider. Not all home insurers offer flood insurance and you may need to ask and request details.

A State Farm home insurance policy in Hawaii costs, on average, $515.51 per year and promises stellar service.

Frequently Asked Questions

How much does home insurance cost in Hawaii?

Home insurance in Hawaii costs $438.42 per year, on average, for $250,000 dwelling coverage. Compared to the national average ($1,213.89 per year), Hawaii homeowners pay 64% less on homeowners insurance. Actual rates, however, will vary based on the insurance company, desired coverage levels, location and more.

Is home insurance required in Hawaii?

No, there is no law requiring home insurance in Hawaii, unlike auto insurance. However, your mortgage lender will likely require you to show proof of insurance before closing on your mortgage loan.

Is hurricane insurance required in Hawaii?

If you're financing your home with a mortgage loan, your lender will likely require you to carry homeowners insurance that includes hurricane coverage. Homeowners in Hawaii may need to pay a separate insurance deductible, unlike other states, due to the state's higher risk of hurricane damage.

What is the cheapest homeowners insurance in Hawaii?

Universal Insurance Holdings of North America (UIHNA) offers the cheapest Hawaii homeowners insurance rates, based on SmartFinancial's analysis. Costing $282.56 per year, on average, for $250,000 dwelling coverage, UIHNA policyholders pay 36% below the statewide annual average ($438.42).

Find the Best Homeowners Insurance in the Aloha State

The Hawaiian breeze is nice but make sure your home is adequately protected against perilous windstorms and other severe weather conditions like volcanic eruptions. If you want to explore options beyond the above recommendations, SmartFinancial may help you find the right policy that provides you enough coverage at the best price. To receive your free home insurance quote, enter your zip code below and complete a quick questionnaire.

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