Homeowners insurance is a required expense for any homeowner with a mortgage. Rates vary dramatically by state, home value, and risk factors. Here’s the complete breakdown.
Average Home Insurance Cost by State (All 50 States)
| Rank | State | Avg. Annual Premium | Avg. Monthly | Primary Risk Factors |
|---|---|---|---|---|
| 1 | Oklahoma | $5,720 | $477 | Tornadoes, hail, wind |
| 2 | Nebraska | $5,260 | $438 | Hail, tornadoes, severe storms |
| 3 | Kansas | $4,940 | $412 | Tornadoes, hail |
| 4 | Louisiana | $4,680 | $390 | Hurricanes, flooding |
| 5 | Texas | $4,360 | $363 | Hurricanes, hail, wind |
| 6 | Colorado | $4,180 | $348 | Hail, wildfires |
| 7 | Mississippi | $3,820 | $318 | Hurricanes, tornadoes |
| 8 | South Dakota | $3,640 | $303 | Hail, severe weather |
| 9 | Arkansas | $3,480 | $290 | Tornadoes, severe storms |
| 10 | Alabama | $3,340 | $278 | Hurricanes, tornadoes |
| 11 | Missouri | $3,180 | $265 | Tornadoes, hail |
| 12 | Montana | $3,060 | $255 | Wildfires, severe weather |
| 13 | Iowa | $2,920 | $243 | Hail, tornadoes |
| 14 | Minnesota | $2,840 | $237 | Hail, severe winter |
| 15 | North Dakota | $2,780 | $232 | Hail, severe weather |
| 16 | Florida | $2,720 | $227 | Hurricanes (excludes flood) |
| 17 | Kentucky | $2,640 | $220 | Severe storms |
| 18 | Georgia | $2,560 | $213 | Storms, hurricanes (coastal) |
| 19 | Wyoming | $2,480 | $207 | Wind, hail |
| 20 | Indiana | $2,420 | $202 | Tornadoes, storms |
| 21 | Michigan | $2,360 | $197 | Severe weather |
| 22 | South Carolina | $2,320 | $193 | Hurricanes (coastal) |
| 23 | Tennessee | $2,280 | $190 | Tornadoes, storms |
| 24 | Ohio | $2,220 | $185 | Storms, snow |
| 25 | Illinois | $2,180 | $182 | Hail, tornadoes |
| 26 | North Carolina | $2,140 | $178 | Hurricanes (coastal) |
| 27 | West Virginia | $2,080 | $173 | Flooding, storms |
| 28 | New Mexico | $2,040 | $170 | Wildfires, wind |
| 29 | Connecticut | $2,000 | $167 | Storms, aging homes |
| 30 | Pennsylvania | $1,960 | $163 | Storms, winter |
| 31 | New York | $1,920 | $160 | Storms, aging infrastructure |
| 32 | Virginia | $1,860 | $155 | Storms, hurricanes (coastal) |
| 33 | Arizona | $1,800 | $150 | Low risk |
| 34 | Idaho | $1,740 | $145 | Wildfires |
| 35 | Maryland | $1,680 | $140 | Storms |
| 36 | New Jersey | $1,640 | $137 | Coastal storms |
| 37 | Massachusetts | $1,580 | $132 | Coastal, aging homes |
| 38 | Alaska | $1,540 | $128 | Remote, cold |
| 39 | Nevada | $1,480 | $123 | Low risk |
| 40 | Wisconsin | $1,440 | $120 | Winter storms |
| 41 | California | $1,400 | $117 | Wildfires (varies greatly) |
| 42 | Washington | $1,360 | $113 | Low risk |
| 43 | Maine | $1,320 | $110 | Winter storms |
| 44 | Delaware | $1,280 | $107 | Low risk |
| 45 | Rhode Island | $1,240 | $103 | Moderate risk |
| 46 | Hawaii | $1,200 | $100 | Low risk (excludes volcano) |
| 47 | Oregon | $1,160 | $97 | Relatively low risk |
| 48 | Utah | $1,080 | $90 | Very low risk |
| 49 | New Hampshire | $980 | $82 | Low risk |
| 50 | Vermont | $920 | $77 | Low risk |
What Affects Your Homeowners Insurance Premium
| Factor | Impact |
|---|---|
| Location (natural disaster risk) | High — the biggest factor |
| Home replacement cost | Higher value = higher premium |
| Deductible chosen | Higher deductible = lower premium |
| Credit score | Better credit = lower premium (in most states) |
| Claims history | Previous claims increase premiums |
| Home age and condition | Older homes cost more to insure |
| Construction type | Wood frame costs more than brick |
| Roof age and material | Newer roof = lower premium |
| Distance to fire station | Closer = lower premium |
| Pool, trampoline, dog breed | Increase liability risk and premium |
| Security systems and smart home | Discounts for alarms, smoke detectors |
| Bundling with auto insurance | 5-25% discount |
See also:Average Cost of a House in 2026 (By State)·Average Home Price by State in 2026·Average Home Price by City: Top 100 US Metro Areas (2026)
Home Insurance by Home Value
| Home Value | Annual Premium (National Avg.) | Monthly |
|---|---|---|
| $150,000 | $1,380 | $115 |
| $200,000 | $1,680 | $140 |
| $250,000 | $1,980 | $165 |
| $300,000 | $2,285 | $190 |
| $400,000 | $2,880 | $240 |
| $500,000 | $3,480 | $290 |
| $750,000 | $4,680 | $390 |
| $1,000,000 | $5,880 | $490 |
What Homeowners Insurance Covers (and Doesn’t)
Covered
| Coverage | What It Covers | Typical Limit |
|---|---|---|
| Dwelling (Coverage A) | Home structure damage | Full replacement cost |
| Other structures (B) | Detached garage, fence, shed | 10% of dwelling |
| Personal property (C) | Belongings inside the home | 50-70% of dwelling |
| Loss of use (D) | Hotel/living costs if displaced | 20% of dwelling |
| Personal liability (E) | Lawsuits if someone is injured on your property | $100K-$500K |
| Medical payments (F) | Guest injuries (regardless of fault) | $1K-$5K |
NOT Covered (Common Exclusions)
| Exclusion | Separate Policy Needed |
|---|---|
| Flooding | NFIP flood insurance ($700-$3,000/year) |
| Earthquakes | Earthquake insurance ($800-$5,000/year) |
| Sewer backup | Endorsement ($40-$100/year) |
| Mold (most policies) | Sometimes available as endorsement |
| Wear and tear | Not insurable |
| Neglect/poor maintenance | Not insurable |
| Intentional damage | Not insurable |
How to Save on Home Insurance
| Strategy | Potential Savings |
|---|---|
| Shop around annually | 15-30% |
| Bundle with auto insurance | 5-25% |
| Raise deductible ($500 → $2,500) | 10-25% |
| Improve credit score | 10-30% |
| Install security system | 5-15% |
| Update roof | 5-20% |
| Ask about all discounts | Varies |
| Go claims-free for 3-5 years | 10-20% |
| Review coverage annually | Avoid over-insuring |
Deductible Comparison
| Deductible | Annual Premium (Typical) | Annual Savings vs. $500 |
|---|---|---|
| $500 | $2,500 | — |
| $1,000 | $2,250 | $250 |
| $1,500 | $2,100 | $400 |
| $2,500 | $1,900 | $600 |
| $5,000 | $1,700 | $800 |
Break-even analysis: A $2,500 deductible saves $600/year over a $500 deductible. If you go 3+ years without a claim, the savings exceed the higher out-of-pocket risk.
Insurance Crisis in Select States
Several states face insurance availability challenges:
| State | Issue |
|---|---|
| Florida | Insurers leaving due to hurricane risk; premiums rising 30-50% |
| California | Wildfire risk causing non-renewals; state FAIR plan as last resort |
| Louisiana | Post-hurricane Ida insurer insolvencies; rates doubling |
| Texas | Hail and hurricane losses; consistent premium increases |
| Colorado | Wildfire and hail; increasing non-renewals in mountain areas |
If your private insurer cancels your policy, check your state’s FAIR Plan (Fair Access to Insurance Requirements) — a state-backed insurer of last resort.