Maine Homeowners Insurance

Homeowners Insurance in Maine: Complete Consumer Guide

Maine is known for its seafood, particularly lobster. This is where the majority of lobster comes from in the U.S. In fact, Maine has more miles of coastline than California, which explains why the state animal is the landlocked salmon. The state animal is the wild coon cat. The state bird is the chickadee and the state tree is the white pine. Portland, Maine used to be the capital but since 1832, the capital is Augusta. Maine is the only monosyllabic state in the union. There’s a mountain peak here named after a car, Cadillac Mountain. Donut holes were invented in this state, and no one is sure where the name came from, though it could be a shortening of “mainland” because there are 3,166 islands off it’s coast.

Types of policy for Homeowners Insurance in Maine

What type of policy do you need? Not sure? Here is a look at the different types of home insurance policies.

HO-1 This insurance form is known as the “basic form.” It covers the 10 most common perils. But you won’t be able to find it everywhere. Some insurance companies do not offer HO-1 forms.

HO-2 This form is called a “broad form” and provides more limited coverage. But it still provides more coverage than a HO-1 basic form.

HO-3 This type of insurance form is the most popular and widely purchased. The HO-3 form provides coverage for named perils and personal property. With a HO-3 form, your insurance company will pay to repair or replace belongings damaged by 16 covered perils. These perils include falling objects, the weight of ice, snow or sleet on your home, water damage, fire, smoke, lightning, windstorm, hail, explosions and vandalism.

HO-6 This type of insurance form is for condominium units. This type of coverage is usually “walls-in” coverage and may protect a condo unit’s walls, ceilings and floors. The HO-6 insurance form also includes coverage for the condo owner’s belongings.

HO-8 This kind of insurance form is for older homes and covers 10 perils. The HO-8 form is paid on an actual cash value, which is the cost of the home items minus depreciation.

What factors affect rates on homeowners insurance in Maine?

Several factors impact your rate, but the most common and heavily weighed ones are the following: the materials your home is made of, the construction type, the size of your home, how much it’ll cost to rebuild it, your credit score, whether or not you qualify for discounts such as home and auto bundling and more. Each company weighs these factors differently so be sure to compare before you buy.

Top 5 disasters in the State of Maine

Maine federally declared Severe Storms as the most common disaster with 22 counts since 1953, followed by Flood, Snow, Hurricane, and Biological disasters. Here are the top 5 federally declared disasters in the state of Maine:

Rank	Declaration Title	Disaster Number
1	Severe Storms	22
2	Flood	13
3	Snow	12
4	Hurricane	5
5	Biological	3

Source: Federal Emergency Management Agency (FEMA)

How much is homeowners insurance in Maine?

The average homeowners insurance rate is $989 a year in Maine.

Source: The average cost of homeowners insurance by state, Business Insider.

Crime Rate: Is Maine a safe state?

2019 Crime in Maine	Crime Number	Crime Rate*
Property Crime	16,743	1,245.6
Burglary	2,350	174.8
Larceny-Theft	13,667	1,016.7

*Rate per 100,000 inhabitants

Safest Cities in Maine by Property Crime*

• Kennebunk, ME has a population of 11,622 with a Property Crime rate of 4 per 1k. The city average home value is approximately $339,135.
• Wells, ME has a population of 10,670 with a Property Crime rate of 4.8 per 1k. The average home value there is about $335,341.
• York, ME came in third as the safest city in the state of Maine and has a population of 13,231 with a Property Crime rate of 6.5 per 1k. Its home value averaged at about $488,326.
• Orono, ME has a population of 10,722 with a Property Crime rate of 7.2 per 1k. Its average home value is $188,100.
• Gorham, ME has a population of 17,818 with a Property Crime rate of 7.4 per 1k. The city home value averaged $331,600.

*Based on FBI Uniform Crime Reporting 2019, some cities have been eliminated because of changes in the state/local agency's reporting practices and cities with populations under 10,000. Zillow’s State/Cities average home value for a single family home or a condo as of Sept. 2020.

Compare Home Insurance Rates in Maine

Top homeowners insurance companies in Maine

Liberty Mutual insurance offers many discounts, such as for renovations, for military families or if you installed a new roof. You can buy various coverage individually or as a package. If you don’t file any claims, you’ll also be eligible for a discount. You’ll never have to worry about the financial stability of Liberty Mutual, which was rated A by A.M. Best. 

The Hanover offers flexible packages that can be customized to your needs and budget. The company has been around since 1852 and is financially strong, so you never have to worry about them being unable to pay claims. You can also get deep discounts if you take good care of your home and have safety devices installed.

Progressive is the best at having online tools to help you determine your insurance costs. They offer basic coverage and add-on protection at affordable prices. Just remember that Progressive is a broker, so if you file a claim, it will be handled by a third party.

Maine Home Insurance FAQs

What is the average deductible for home insurance?

The average deductible for home insurance is $1,000 but can be as low as $250 or as high as $2500.

What is the best auto & home insurance in Maine?

Every insurer will rate you differently, by putting emphasis on one factor of your profile over another. So, it’s hard to say who is best for you until you compare rates and see what each insurer has to offer.

How do you change homeowners insurance with an escrow account?

Buy the new policy before canceling the old one. Call your mortgage servicer to let them know so that your escrow funds pay the policy.