Average Cost of Home Insurance: 2024 Cost Breakdown by State and Company

Americans pay $1,915 per year on average for homeowners insurance according to NerdWallet's most recent analysis. However, rates can vary widely based on your state, as well as the amount of coverage you buy, your deductible, claims history and other factors.

Keep reading to learn more about the average cost of home insurance by state in 2024 and tips for securing the best rate.

On This Page

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  What Is the Average Yearly Cost of Homeowners Insurance?

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  How Much Does Home Insurance Cost in Each State?

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  Which States Have the Cheapest Home Insurance?

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  Which Home Insurance Company Has the Cheapest Home Insurance Rates?

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  What Factors Affect the Cost Of Homeowners Insurance?

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  FAQs

What Is the Average Yearly Cost of Homeowners Insurance?

Americans across the nation pay $1,915 per year on average for homeowners insurance with $300,000 in dwelling coverage and a $1,000 deductible. That amounts to an average monthly premium of about $160.^[1] However, when you break it down by state, you will find that the average rate can be wide-ranging based on where you live.

How Much Does Home Insurance Cost in Each State?

The average cost of homeowners insurance can range from $500 to over $4,000 depending on which state you live in.^[1]

Which States Have the Cheapest Home Insurance?

The state quoted with the cheapest home insurance rates on average was Hawaii at $515 per year, which is less than half of the national average of $1,915. Delaware is the next cheapest state ($860), followed by Vermont ($870), New Hampshire ($1,000) and Maine ($1,075).^[1]

Which Home Insurance Company Has the Cheapest Home Insurance Rates?

According to NerdWallet’s analysis, USAA offers the cheapest home insurance rates on average at $1,875 per year — just 2% below the national average rate. However, this insurance company only serves military families. State Farm and Travelers are the next cheapest home insurance companies, costing on average $1,935 and $2,010 per year, respectively.^[1]

What Factors Affect the Cost Of Homeowners Insurance?

Insurance carriers consider other factors when calculating homeowners insurance rates, including property features, neighborhood and dwelling rebuilding costs. The insurance industry also factors in your zip code, state laws, credit score, deductible and coverage limits.

• Home's age: Older homes may be more more expensive to insure than newer ones because they may have hand-crafted features and outdated utility systems that can make it cost more to repair them if damaged.
• Roof condition: Homes with older roofs may cost more to insure since an older roof may not be able to withstand a severe windstorm or hail. Your insurer also considers the roof's materials, which may be expensive to replace.
• Updated features: Attractive nuisances like trampolines and swimming pools can raise your homeowners insurance rate since having one can increase the chance of somebody getting injured on your property.
• Coverage limits: Buying more coverage will increase both your protection in the event of a covered claim and your premium.
• Deductible: You can lower your home insurance rate if you pay a higher deductible.
• Credit score: In some states, good-credit homeowners can qualify for lower home insurance premiums. Conversely, insurance companies typically charge higher rates for low-credit homeowners.^[2]
• Claims history: Your premium may increase as high as 10% after filing a home insurance claim.^[3]
• Pets: If you have a dangerous animal breed, you could pay higher insurance rates. Keep in mind that some insurance companies may exclude coverage for certain dog breeds.
• Zip code: Your local crime rates, your home's proximity to emergency services and your area's likelihood of experiencing natural disasters like windstorms or wildfires will affect how much you pay for homeowners insurance.
• Discounts: Your insurance company may offer a rate reduction if you install smart home systems, maintain a clear claims history, renew your policy with them or qualify for some other type of discount.