Cheapest homeowners insurance companies of July 2024
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“Verified by an expert” means that this article has been thoroughly reviewed and evaluated for accuracy.
BLUEPRINT
Updated 5:03 a.m. UTC July 1, 2024
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Progressive has the cheapest home insurance rates of the companies in our best home insurance rating. Nationwide, Erie and USAA also offer cheap rates and below-average levels of consumer complaints to state insurance departments.
Cheapest homeowners insurance companies of 2024
- Progressive: Cheapest home insurance.
- Nationwide: Best for high-value houses.
- Erie: Best for property claims customer satisfaction.
- USAA: Best for veterans and military.
- State Farm: Best for home and auto bundling.
- Westfield: Best for customer satisfaction.
- Allstate: Best for home-sharing coverage.
- Auto-Owners: Great for discounts.
Why trust our home insurance experts
Our team of home insurance experts has decades of experience as licensed property and casualty experts, insurance editors and consumers. We approach home insurance analysis as if we were shopping for ourselves or our family members, focusing on rates, coverage upgrades and consumer complaints.
Using a data-driven methodology, we evaluate hundreds of home insurance products, analyze thousands of data points and rate each insurer to help you find the best home insurance product for your situation. Advertisers never influence our editorial content. You can read more about our methodology below.
- 31,600 rates analyzed.
- 14 companies evaluated.
- 5 levels of fact-checking.
Compare the cheapest home insurance rates
Top-rated cheap home insurance companies
Comparing the cheapest homeowners insurance companies
Here is how the cheapest homeowners insurance companies chalk up to one another.
| COMPANY | OUR RATING | AVERAGE COST PER YEAR FOR $350,000 IN DWELLING COVERAGE | AVERAGE AMOUNT BELOW NATIONAL AVERAGE | % DIFFERENT FROM NATIONAL AVERAGE | LEARN MORE | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| $729 | $949 | 56% cheaper | Compare Rates Compare rates offered by participating partners | |||||||||
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| $1,157 | $521 | 31% cheaper | Compare Rates Compare rates offered by participating partners | |||||||||
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 Erie | $1,256 | $422 | 25% cheaper | Compare Rates Compare rates offered by participating partners | ||||||||
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| $1,270 | $408 | 24% cheaper | Compare Rates Compare rates offered by participating partners | |||||||||
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| $1,298 | $380 | 23% cheaper | Compare Rates Compare rates offered by participating partners | |||||||||
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 Westfield | $1,344 | $334 | 20% cheaper | Compare Rates Compare rates offered by participating partners | ||||||||
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| $1,395 | $283 | 17% cheaper | Compare Rates Compare rates offered by participating partners | |||||||||
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| $1,525 | $153 | 9% cheaper | Compare Rates Compare rates offered by participating partners | |||||||||
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Methodology
We researched 14 insurers to find the best home insurance companies, using home insurance data from Quadrant Information Services.
From those top insurers, we chose the eight with average home insurance rates below the national average to determine the best cheap home insurance.
The average rates are based on policies:
- For a 40-year-old female homeowner with a good credit score and no claims history.
- Dwelling coverage of $200,000, $350,000, $500,000 and $750,000.
- Other structures coverage limit of 10% of dwelling coverage limit.
- Personal property coverage limit of 50% of dwelling coverage limit.
- Loss of use coverage limit of 10% of dwelling coverage limit.
- Medical payments to others coverage limit of $1,000.
- Personal liability coverage limit of $100,000.
- A $500 deductible.
How much is home insurance?
Home insurance costs $1,678 per year on average nationwide for a home insurance policy with $350,000 worth of dwelling coverage, according to our analysis. But the amount you pay for homeowners insurance can depend on several factors, including:
- Your house’s replacement cost, meaning how much it costs to rebuild your house from the ground up back to its prior state after a covered disaster.
- The age of the house, newer houses may be cheaper to insure than older houses with outdated systems.
- The fire rating of your house, which includes its proximity to fire hydrants or a fire station.
- The construction materials and makeup of your house. This includes factors like what your house is made of and whether it sits on a slab or crawlspace or has a basement.
- Location and the claims history for the area. If you live in a high-risk area that experiences theft and frequent severe weather, you may see higher home insurance rates.
- Claims history. This includes your personal claims history (even in your previous residence) as well as claims made by previous owners.
- Coverage limits and deductibles. The higher your deductible the lower your rates will be. If your policy includes more coverage you’ll pay higher rates.
Editor’s expert take:
The cheapest home insurance for you may look very different from a cheap policy for someone else, even your neighbor. That’s why I recommend shopping around and getting personalized quotes so you can make the most informed decision based on your circumstances.
Kara McGinley, Deputy Editor of Insurance, USA TODAY Blueprint
Cheapest homeowners insurance in your state
Home insurance rates vary by location. If you live in an area that’s at risk for severe storms, you may pay more for coverage than a homeowner in a state with milder weather.
Here are the cheapest home insurance company options by state based on annual average rates for a policy with $350,000 in coverage. Keep in mind that some of these insurance companies may not be available in all states.
Lowest cost home insurance by dwelling coverage limit
The cost of your home insurance will be greatly impacted by how much dwelling coverage you need. Here are the five best cheap home insurance companies for different dwelling coverage limits.
- Cheapest for $200,000 in dwelling coverage.
- Cheapest for $350,000 in dwelling coverage.
- Cheapest for $500,000 in dwelling coverage.
- Cheapest for $750,000 in dwelling coverage.
Cheapest for $200,000 in dwelling coverage
Progressive is the cheapest home insurance for $200,000 in dwelling coverage by almost $240. The next cheapest is Nationwide and then Erie.
| COMPANY | $200,000 DWELLING COVERAGE | |||
|---|---|---|---|---|
| $514 | ||||
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| $752 | ||||
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| Erie | $773 | |||
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| $869 | ||||
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| $896 | ||||
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Cheapest for $350,000 in dwelling coverage
Progressive is the cheapest home insurance company for $350,000 by a wide margin. Besides Progressive, the rest of the companies in our analysis all cost over $1,000 per year for $350,000 in dwelling coverage.
| COMPANY | $350,000 DWELLING COVERAGE | |||
|---|---|---|---|---|
| $729 | ||||
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| $1,157 | ||||
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| Erie | $1,256 | |||
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| $1,270 | ||||
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| $1,298 | ||||
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Cheapest for $500,000 in dwelling coverage
For a home insurance policy with $500,000 in dwelling coverage, Progressive is again the cheapest company to go with. All other home insurance companies in our analysis charge over $1,500 per year for a policy with $500,000 in dwelling coverage.
| COMPANY | $500,000 DWELLING COVERAGE | |||
|---|---|---|---|---|
| $975 | ||||
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| Westfield | $1,513 | |||
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| $1,591 | ||||
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| $1,652 | ||||
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| Erie | $1,663 | |||
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Cheapest for $750,000 in dwelling coverage
A home insurance policy with $750,000 in dwelling coverage will cost you an average of $1,424 per year with Progressive — the cheapest by a wide margin. The second cheapest home insurance company for a policy with $750,000 in dwelling coverage is Westfield.
| COMPANY | $750,000 DWELLING COVERAGE | |||
|---|---|---|---|---|
| $1,424 | ||||
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| Westfield | $1,754 | |||
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| $2,276 | ||||
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| Erie | $2,303 | |||
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| $2,338 | ||||
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Editor’s expert take:
The amount of dwelling coverage you need is based on your house’s replacement cost value, which is how much it would cost to rebuild your house back to its original state with similar building materials if a covered incident destroyed it.
To get a rough estimate of your house’s replacement cost value, multiply your local construction materials cost per square foot by the square footage of your house.
For example, if your local build materials are $200 per square foot and your house is 1,800 square feet, your rough dwelling coverage need would be $360,000 (200 x 1,800). I recommend contacting a professional if you'd like to get a more exact estimate.
Kara McGinley, Deputy Editor of Insurance, USA TODAY Blueprint
Cheap companies for bundling home and auto policies
You can bundle your home and auto insurance by buying both policies through one insurance company — and it could yield substantial savings. Here are the insurance companies with the best home and auto bundling discounts.
| COMPANY | DISCOUNT |
|---|---|
23%
| |
Auto Club of Southern California
| 20%
|
American Family
| 18%
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18%
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AAA The Auto Club Group (MI)
| 17%
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15%
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Erie
| 15%
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MetLife
| 15%
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15%
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Mercury
| 12%
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Travelers
| 11%
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10%
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CSAA Insurance Group
| 9%
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7%
| |
6%
| |
Westfield
| 6%
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Tips to lower home insurance costs
The cheapest home insurance policy available may not be the best option for you. Your goal should be to get the home insurance coverage you need at a price you can afford.
Here are some tips for saving on your homeowners insurance.
Shop around and get multiple quotes
It's easy to get homeowners insurance quotes, either online or over the phone, and it's worth your time if you're hoping to get the best rates possible. Requesting quotes from at least three insurance agencies is a good place to start. If you have a copy of your current policy, you can use that as a guide for determining the type and amount of coverage you need.
Install security systems or smart home devices
Getting cheaper homeowners insurance hinges largely on risk management. Taking a look at your house through the eyes of an insurer can help you pinpoint areas where you may be able to reduce risk.
“Home security and monitoring systems provide added peace of mind that your home is protected. It’s also a sign to your home insurance provider that you’re a safe and responsible homeowner, which may help you earn discounts on your annual premium for having these systems set up,” said Steve Wilson, director of technical underwriting at Hippo, a home insurance company.
Editor’s expert take:
I recommend asking your insurer if there are any discounts you could qualify for. Your home insurance company may offer a discount if you install a burglary alarm, smart home monitoring system, fire alarm or sprinkler system.
Kara McGinley, Deputy Editor of Insurance, USA TODAY Blueprint
Update your household systems and storm-proof your house
Updating your household systems if they’re old or weather-proofing your house can help mitigate your risk. For example, upgrading your HVAC system or replacing your roof could help lower your rates if you're able to qualify for a discount. Likewise, installing storm-proof windows and doors can lower your risk and may lower your home insurance costs.
Consider raising your deductible
A higher deductible translates to a lower premium. Bumping your deductible from $1,000 to $2,500, for instance, could require you to set aside more cash in emergency savings.
“If your savings give you some cushion and you’re generally a safe and proactive homeowner, consider increasing your deductible to cut down on your annual premium. Higher deductibles can establish the amount of risk you plan to retain, while also saving on your premium,” said Wilson.
Maintain good credit
You may know that your FICO credit scores affect your ability to qualify for loans. But you may not be aware that you also have an insurance-based credit score that can affect what you pay for coverage. If you live in a state that relies on credit scores as a determining factor for insurance premiums, it's to your advantage to establish and maintain good credit.
Editor’s expert take:
California, Maryland and Massachusetts don't allow insurance companies to consider your insurance-based credit scores for homeowners quotes, but other states do. You can keep your credit score high by paying bills on time, keeping debt balances low and limiting how often you apply for new lines of credit.
Kara McGinley, Deputy Editor of Insurance, USA TODAY Blueprint
Discounts
One of the incentives insurance companies offer to attract new customers is discounts. There are numerous discounts you may qualify for that could result in cheaper home insurance, including:
- New customer discounts if you're transferring a policy from another home insurance company.
- Loyalty discounts for maintaining your home insurance policy for a certain number of years.
- Claim-free discounts if you go a certain period of time without a home insurance claim.
- Discounts for home improvements or renovations.
- Family discounts if you have other family members who have coverage through the same home insurance company.
Frequently asked questions (FAQs)
Of the companies in our rating of the best home insurance, Progressive has the cheapest home insurance on average.
Check out our full Progressive home insurance review.
You can reduce your home insurance costs by raising your deductible or mitigating your house’s risk by installing a home security system, weather-proofing doors and windows, bundling your home and auto insurance and maintaining good credit. Make sure you check with your insurance company to learn which discounts you qualify for and review your coverage limits annually.
If you recently filed a claim, your rates may go up. Inflation can also affect the price of home insurance rates — if the price of labor and construction go up in your area, that means your house’s rebuild costs will also rise. Since a majority of your home insurance rates are based on rebuild costs, you may see rates go up from that.
Yes, your homeowners insurance costs may go up after you file a claim because it increases the risk that you’ll file similar claims in the future. Depending on the insurance company, your rate may go down again if you go claim-free for a certain amount of time, like three years.
Many home insurance companies offer online quote tools. You may be able to apply for a policy online, as well as submit claims online, depending on the insurance company.
The lowest deductible for home insurance can vary by insurer. For instance, you might pay $500 at one insurance company while another requires a minimum deductible of $1,000 instead. A lower deductible means the less you pay out of pocket if you need to file a claim but it can result in a higher cost for coverage.
No, your credit score doesn’t directly impact your home insurance rates. However, insurance companies will look at your credit-based insurance score when determining your insurance premium. This score is a numerical summary of your credit report that is based on factors such as your credit history, payment history, length of credit history, credit utilization and collections.
Your age doesn’t usually impact your home insurance rates, but you may see a discount if you’re a senior or retiree. Some home insurance companies offer retiree discounts if you’re over the age of 55, because if you’re retired you’re likely home more, which means there’s less of a risk for prolonged damage to your house.
Blueprint is an independent publisher and comparison service, not an investment advisor. The information provided is for educational purposes only and we encourage you to seek personalized advice from qualified professionals regarding specific financial decisions. Past performance is not indicative of future results.
Blueprint has an advertiser disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Blueprint editorial staff alone. Blueprint adheres to strict editorial integrity standards. The information is accurate as of the publish date, but always check the provider’s website for the most current information.
