The Average Home Insurance Cost in the U.S. for 2024
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Home insurance costs an average of $1,915 a year, according to NerdWallet’s rates analysis.
Oklahoma is the most expensive state for home insurance, with an average annual premium of $5,495.
Hawaii’s home insurance premiums are the least expensive, with an average annual rate of $515.
Home insurance premiums have gotten more expensive due to a combination of inflation and natural disasters.
Why trust NerdWallet
Homeowners insurance costs an average of $1,915 a year, or about $160 a month, according to NerdWallet’s analysis. However, this is just a benchmark.
We’ve analyzed pricing data from more than 100 insurance companies to bring you the average homeowners insurance cost in every state and the largest U.S. cities.
Our sample policy was for a 40-year-old homeowner with good credit, $300,000 of dwelling coverage, $300,000 of liability coverage and a $1,000 deductible. The cost of your homeowners insurance will depend on your location, the size of your house and how much coverage you need.
Find out how much home insurance costs:
How much is home insurance in your state?
Average homeowners insurance rates vary widely, and where you live is a big factor in how much you’ll pay for homeowners insurance. Hover over your state on the map below to see the average home insurance cost.
Here are the cheapest states for homeowners insurance.
Hawaii: $515 a year, or about $43 a month, on average.
Delaware: $860 a year, or about $72 a month, on average.
Vermont: $870 a year, or about $73 a month, on average.
New Hampshire: $1,000 a year, or about $83 a month, on average.
Maine: $1,075 a year, or about $90 a month, on average.
These are the most expensive states for homeowners insurance.
Oklahoma: $5,495 a year, or about $458 a month, on average.
Texas: $4,400 a year, or about $367 a month, on average.
Nebraska: $4,135 a year, or about $345 a month, on average.
Colorado: $3,820 a year, or about $318 a month, on average.
Kansas: $3,570 a year, or about $298 a month, on average.
Here are annual and monthly average home insurance costs for all 50 states and Washington, D.C.
State | Average annual cost | Average monthly cost |
|---|---|---|
National average | $1,915 | $160 |
$3,140 | $262 | |
$1,160 | $97 | |
$2,135 | $178 | |
$3,355 | $280 | |
$1,250 | $104 | |
$3,820 | $318 | |
$1,575 | $131 | |
$860 | $72 | |
$2,625 | $219 | |
$2,345 | $195 | |
$515 | $43 | |
$1,510 | $126 | |
$2,060 | $172 | |
$1,975 | $165 | |
$2,215 | $185 | |
$3,570 | $298 | |
$2,190 | $183 | |
$2,240 | $187 | |
$1,075 | $90 | |
$1,700 | $142 | |
$1,545 | $129 | |
$1,785 | $149 | |
$2,375 | $198 | |
$3,475 | $290 | |
$2,905 | $242 | |
$2,605 | $217 | |
$4,135 | $345 | |
$1,290 | $108 | |
$1,000 | $83 | |
$1,150 | $96 | |
$1,595 | $133 | |
$1,715 | $143 | |
$1,975 | $165 | |
$2,445 | $204 | |
$1,390 | $116 | |
$5,495 | $458 | |
$1,255 | $105 | |
$1,410 | $118 | |
$2,070 | $173 | |
$2,250 | $188 | |
$2,810 | $234 | |
$2,435 | $203 | |
$4,400 | $367 | |
$1,140 | $95 | |
$870 | $73 | |
$1,445 | $120 | |
$1,225 | $102 | |
$1,190 | $99 | |
$1,600 | $133 | |
$1,300 | $108 | |
$1,555 | $130 |
How much is homeowners insurance in your city?
We analyzed prices in 20 of the largest metropolitan areas in the U.S. to find the average homeowners insurance cost in each city. Houston had the most expensive average rate at $6,610 a year. Meanwhile, San Jose, California, was the cheapest city on the list, with an average annual rate of $1,055.
City | Average annual cost | Average monthly cost |
|---|---|---|
Atlanta | $2,470 | $206 |
Austin | $2,840 | $237 |
Chicago | $2,665 | $222 |
Dallas | $5,045 | $420 |
Denver | $4,235 | $353 |
Fort Worth, Texas | $5,335 | $445 |
Houston | $6,610 | $551 |
Indianapolis | $2,060 | $172 |
Las Vegas | $1,360 | $113 |
Los Angeles | $1,485 | $124 |
Miami | $5,315 | $443 |
Minneapolis | $2,515 | $210 |
New York | $2,495 | $208 |
Orlando | $2,760 | $230 |
Philadelphia | $1,910 | $159 |
Phoenix | $2,560 | $213 |
San Antonio | $3,590 | $299 |
San Diego | $1,205 | $100 |
San Jose, California | $1,055 | $88 |
Seattle | $1,185 | $99 |
Factors that impact the cost of home insurance
Your home insurance rate will be determined by several factors, from the age of your house to your credit score. Here are a few of them.
Your house. Insurers look at the cost to rebuild your home, which depends on the size of the house and the cost of local labor and materials. If your house has high-end features, it’ll cost more to rebuild it, which could mean a higher home insurance rate. Read more about how much home insurance you need.
Your location. Being closer to a fire station can lower your premiums, while living in a neighborhood with higher crime rates may increase them. In addition, home insurance is regulated at a state level, so average rates can vary from state to state.
Your risk of natural disasters. If you live in an area that’s vulnerable to wildfire, earthquakes or hurricanes, home insurance may be more expensive.
Your insurance credit score. Studies have shown that people with poor credit are more likely to file claims, so in most states, homeowners with poor credit are likely to pay more for home insurance. Read more about the impact of credit scores on home insurance rates. (Note that using credit to set homeowners insurance prices is not allowed in California, Maryland or Massachusetts.)
Your claims history. If you’ve filed claims in the past, insurers may see you as a higher risk and could increase your premiums as a result.
Your deductible. The home insurance deductible is the amount of a claim you pay before your insurance kicks in. Typically, a higher deductible leads to a lower home insurance rate.
Average homeowners insurance cost by company
We looked at average rates from some of the largest homeowners insurance companies in the U.S. by market share.
State Farm came in as the cheapest widely available company on the list, with an average annual rate of $1,935. (Military insurer USAA had even less expensive policies at $1,875 per year, on average.) Meanwhile, Farmers was the most expensive, with an average annual rate of $2,415.
Here are average annual home insurance rates for some of the largest companies. Note that some may not offer homeowners insurance in your state. Click on each company’s name to read our review.
Company | Average annual cost | Average monthly cost |
|---|---|---|
$1,935 | $161 | |
$2,010 | $168 | |
$2,205 | $184 | |
$2,270 | $189 | |
$2,300 | $192 | |
$2,415 | $201 | |
USAA* | $1,875 | $156 |
*USAA homeowners insurance is available only to active-duty military, veterans and their families. | ||
» MORE: The best homeowners insurance
Average home insurance cost by dwelling coverage amount
One of the biggest factors in how much your homeowners policy costs is how much dwelling coverage you need. Dwelling coverage is the part of your policy that pays to rebuild the structure of your home if it’s damaged or destroyed.
If your house is large or has high-end features, it’ll cost more to rebuild and you’ll need more dwelling coverage. Below are average home insurance costs for four amounts of coverage.
Dwelling coverage amount | Average annual insurance cost |
|---|---|
$200,000 | $1,420 |
$300,000 | $1,915 |
$400,000 | $2,405 |
$500,000 | $2,935 |
Average homeowners insurance cost by claims history
If you have previous homeowners insurance claims, you’ll likely pay a higher rate. Here’s how filing a claim could affect your homeowners insurance costs.
Number of claims | Average annual insurance cost |
|---|---|
0 | $1,915 |
1 | $2,090 |
Average homeowners insurance cost by home age
Older homes often cost more to insure than new ones because they typically don’t have the safety features that newer homes do, and repairs can be costly. See below to compare the average annual cost of insuring a new home versus an older home. (Coverage limits were the same for all three houses.)
Date home was built | Average annual insurance cost |
|---|---|
1955 | $1,910 |
1984 | $1,915 |
2023 | $1,130 |
Why is home insurance getting more expensive?
If your home insurance premiums have gone up in recent years, you’re not alone. Premiums have been on the rise for several years, thanks to a combination of inflation and natural disasters.
Inflation doesn't just affect gas and food prices. Homeowners insurance rates are going up because it's gotten more expensive to repair and rebuild houses after they're damaged. That's why you may see a higher homeowners premium at your next renewal, even if you haven't filed any recent claims.
Homeowners insurance rates are rising especially quickly in certain parts of the country where disasters like tornadoes, hurricanes and wildfires are growing more common. In 2023, a record-breaking 28 disasters caused at least $1 billion each in damages, according to the National Oceanic and Atmospheric Administration. See how to protect your home from climate change.
How to reduce the cost of homeowners insurance
Insurers use a variety of factors to set homeowners insurance rates. For example, you might pay more if you live in a neighborhood with a high crime rate or an area prone to hurricanes. You’ll also have higher rates if you have a larger home that needs more coverage.
Some insurers will charge more for things like installing a swimming pool or having a dog breed they consider aggressive. (They see these scenarios as potential liability claims if someone gets hurt.)
Aside from selling your house or getting rid of your furry pal, there are many ways to reduce what you pay for homeowners insurance.
Shop around
Getting home insurance quotes annually is the best way to ensure you’re still getting the best possible deal. We recommend comparing rates from at least three companies. Make sure the coverage limits and deductibles are similar on all three policies to get a fair comparison.
If you're not up for shopping around yourself, contact an independent agent or broker to get quotes on your behalf.
Raise your deductible
A higher deductible will mean a lower rate. Raising your deductible from $1,000 to $2,500 can save you more than 12% a year on average, according to NerdWallet’s rate analysis. Make sure you have enough cash tucked away to pay it if you need to file a claim.
Ask about discounts
Many insurers offer discounts to help customers get lower homeowners insurance rates, such as:
Multiple policies. If you bundle your homeowners insurance with another policy, such as car insurance, you could get a discount. See the best home and auto bundles.
Safety and security devices. You could save money by equipping your home with fire alarms, deadbolts, security cameras and other protective devices. Some companies also offer discounts for certain smart-home devices.
Claims-free. Many insurers offer a discount to homeowners who haven’t filed a claim recently, typically in the past three to five years.
Upgrade your home
Certain renovations — such as updating an electrical or plumbing system — could lower homeowners insurance costs. Getting a new roof could also net you a discount, especially if it’s resistant to wind and/or hail.
Build your credit
In most states, insurers can use your credit-based insurance score (similar to your FICO score) to set rates. Because some studies have shown a correlation between poor credit and filing claims, those with a checkered credit history may pay more for homeowners insurance.
For example, the sample homeowner in our rate analysis has good credit and would pay $1,915 a year for insurance, on average. For the same house and coverage limits, a homeowner with poor credit would pay $3,320, on average — a 73% jump. Though it may take time, building your credit could save you a lot on homeowners insurance over the long run.
To find the average cost of homeowners insurance, NerdWallet calculated the median rate for 40-year-old homeowners from a variety of insurance companies in every ZIP code across the U.S. All rates are rounded to the nearest $5.
Sample homeowners were nonsmokers with good credit living in a single-family, two-story home built in 1984. They had a $1,000 deductible and the following coverage limits:
$300,000 in dwelling coverage.
$30,000 in other structures coverage.
$150,000 in personal property coverage.
$60,000 in loss of use coverage.
$300,000 in liability coverage.
$1,000 in medical payments coverage.
We made minor changes to the sample policy in cases where rates for the above coverage limits or deductibles weren’t available.
We used the same assumptions for all other homeowner profiles, with the following exceptions:
For homeowners with a claims history, we added a single wind damage claim.
To see the effect of changing your deductible, we raised the deductible from $1,000 to $2,500.
For homeowners with older homes, we changed the year the house was built to 1955.
For homeowners with newer homes, we changed the year the house was built to 2023.
We changed the credit tier from “good” to “poor” as reported to the insurer to see rates for homeowners with poor credit. In states where credit isn’t taken into account, we only used rates for “good” credit.
To see the effect of changing your dwelling coverage amount, we changed the limit to $200,000, $400,000 or $500,000. This also changed some of the other coverage limits that were tied to the dwelling coverage amount. For example, the other structures coverage limit is typically 10% of the dwelling coverage amount, so our sample policy with $200,000 of dwelling coverage had $20,000 of other structures coverage.
These are sample rates generated through Quadrant Information Services. Your own rates will be different.
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