North Carolina's average home insurance premium costs $312 monthly or $3,749 annually. Residents pay $23 more per month than the national average, making it 8% higher than typical U.S. rates. The state ranks 11th most expensive nationwide for home insurance coverage.
Average Home Insurance Cost in North Carolina
Updated: January 18, 2026
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Key Takeaways: North Carolina Home Insurance Rates
North Carolina ranks as the eleventh most expensive state for home insurance, with coverage costing $312 monthly or $3,749 annually.
North Carolina home insurance costs range from $1,848 annually in low-risk inland areas like Whittier and Eden to over $3,100 in higher-risk cities like Fayetteville and Fort Bragg, nearly doubling premiums based on location and natural disaster exposure.
MoneyGeek's free home insurance calculator helps you estimate costs in seconds without entering any personal information.
How Much Is Home Insurance in North Carolina?
| North Carolina | $3,749 | $3,467 | 8% |
*These rates are for a frame construction home built in 2000 with $250,000 dwelling, $125,000 personal property, $200,000 liability coverage and a $1,000 deductible.
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$220
High
$144
Average
$104
Low
Rates updated:
Jan 23, 2026
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What Affects Average North Carolina Home Insurance Costs?
North Carolina home insurance costs vary based on multiple factors. Your location, coverage limits, home construction type, insurance company, credit score and claims history all impact your premium. Let's examine how each of these elements specifically affects what you'll pay for coverage.
Average North Carolina Home Insurance Cost by City
Home insurance costs vary across North Carolina cities. Local factors like property values, housing age and weather risks directly impact your premiums. Coastal cities see higher rates than inland areas due to hurricane exposure.
| Cary | $207 | $2,490 |
| Charlotte | $189 | $2,268 |
| Durham | $209 | $2,502 |
| Eden | $175 | $2,098 |
| Fayetteville | $263 | $3,161 |
| Fort Bragg | $264 | $3,162 |
| Greensboro | $176 | $2,109 |
| High Point | $176 | $2,112 |
| Jamestown | $176 | $2,111 |
| Morrisville | $209 | $2,507 |
| Raleigh | $208 | $2,502 |
| Salisbury | $189 | $2,270 |
| Whittier | $154 | $1,848 |
| Wilmington | $1,564 | $18,773 |
| Wilson | $232 | $2,778 |
| Winston Salem | $182 | $2,182 |
Average North Carolina Homeowners Insurance Pricing by Coverage Level
North Carolina home insurance premiums vary based on coverage levels, ranging from $1,812 to $12,729 annually. Selecting higher coverage limits and lower deductibles increases your premium costs. Choosing lower coverage amounts and higher deductibles helps reduce your annual insurance expenses.
| $100K Dwelling / $50K Personal Property / $100K Liability | $151 | $1,812 |
| $250K Dwelling / $125K Personal Property / $200K Liability | $312 | $3,749 |
| $500K Dwelling / $250K Personal Property / $300K Liability | $558 | $6,695 |
| $750K Dwelling / $375K Personal Property / $500K Liability | $801 | $9,616 |
| $1MM Dwelling / $500K Personal Property / $1MM Liability | $1,061 | $12,729 |
Average Cost of North Carolina Home Insurance by Company
Rates can vary widely between even the best North Carolina home insurance companies. Erie charges an average of $6,125 annually, while State Farm costs just $1,274 per year for the same coverage. That makes Erie nearly five times more expensive than the most affordable option, though your rates will vary based on your home and your personal details.
| State Farm | $106 | $1,274 |
| North Carolina Farm Bureau | $168 | $2,018 |
| USAA | $220 | $2,644 |
| Heritage Insurance | $283 | $3,392 |
| Auto-Owners Insurance | $287 | $3,447 |
| Nationwide | $437 | $5,247 |
| Farmers | $487 | $5,840 |
| Erie | $510 | $6,125 |
Average North Carolina Home Insurance Cost by Credit Score
Credit scores directly affect home insurance costs in North Carolina. Insurers view higher credit scores as lower risk, resulting in reduced premiums. Annual rates range from $2,362 to $6,998 based on creditworthiness.
| Excellent | $197 | $2,362 |
| Good | $312 | $3,749 |
| Below Fair | $439 | $5,265 |
| Poor | $583 | $6,998 |
North Carolina Homeowners Insurance Costs by House Age
Home age affects insurance costs in North Carolina. Homes built in 2020 average $1,956 annually, while homes built in 1980 cost $4,224 per year. Newer homes cost about half as much to insure compared to older properties.
| Newer | $163 | $1,956 |
| Middle Age | $312 | $3,749 |
| Older | $352 | $4,224 |
WHY IS HOME INSURANCE SO EXPENSIVE IN NORTH CAROLINA?
North Carolina's coastal location brings frequent hurricane and storm damage, driving up claim rates and premiums in some areas. Rising construction costs, which average $180 to $250 per square foot in 2024, mean insurers pay more to repair homes after covered events. Filing just one claim can push your annual premium from $3,749 to $4,345.
Tips to Save on North Carolina Home Insurance
North Carolina home insurance costs continue climbing, but you can find affordable coverage by comparing options for the cheapest home insurance in North Carolina. These proven strategies help both new buyers and current homeowners reduce their premiums.
- 1Calculate Coverage Needs
Determine your home's replacement cost based on current construction prices, not market value. Take inventory of belongings to establish personal property coverage requirements.
North Carolina homeowners in areas like Charlotte should consider add-ons such as water backup coverage for storm protection or scheduled personal property coverage for valuable items like jewelry and electronics.
- 2Research Costs and Discounts
Use MoneyGeek's North Carolina home insurance calculator to estimate fair pricing based on your home's location, age and size. When gathering quotes, ask about available discounts, including security systems, newer home construction, claim-free history and protective devices like smoke detectors or storm shutters. These discounts can reduce your premium costs.
- 3Compare Multiple Providers
Obtain quotes from at least three insurance companies to ensure competitive pricing. Don't focus solely on premium costs - evaluate customer satisfaction ratings, claims processing speed and financial strength ratings. A lower premium from an insurer with poor service or slow claims handling may cost more in the long run during stressful claim situations.
- 4Bundle Insurance Policies
Combine your home and auto insurance with the same provider to unlock bundling discounts ranging from 10% to 25% in North Carolina. This strategy benefits homeowners in areas like Raleigh where multiple policies can generate substantial savings. Many insurers offer competitive bundled rates specifically designed for North Carolina residents seeking comprehensive coverage.
- 5Improve Risk Profile
Install safety features like smoke detectors, security systems and storm shutters to qualify for lower premiums. Maintaining a claim-free record saves $596 to $1,098 annually compared to filing claims. Improving credit from below fair to good saves 29% on average in North Carolina. Pay bills on time and reduce debt to enhance your credit profile.
Calculate North Carolina Homeowners Insurance Costs: FAQ
North Carolina homeowners insurance costs depend on various factors unique to your property and location. The following FAQs help you understand what affects your rates and estimate potential premiums for your home.
How much will my premium increase after filing a claim in North Carolina?
Your homeowners insurance premium will jump by $597 after one claim and $1,099 after two claims in North Carolina. Homeowners without claims pay $3,749 annually on average. One claim pushes your rate to $4,345 per year. Two claims will cost you $4,847 annually. Claims remain on your record for five years, meaning you'll face these elevated rates throughout that entire period.
How can I lower my home insurance costs in North Carolina?
You can lower your North Carolina home insurance costs using several effective methods. Shopping around remains important since insurers charge vastly different rates for identical coverage in the state. Maintaining a claim-free record for five years saves you $597 annually compared to filing one claim, and $1,099 versus filing two claims over that period.
Raising your deductible from $500 to $1,000 reduces your annual premium by $272. While you'll pay more upfront during a claim, these yearly savings compound over time. Contact multiple insurers about available discounts for policy bundling, security system installations, or newer home features. Even modest discounts can meaningfully lower your annual costs, making these conversations worthwhile for long-term savings.
How much can I save by choosing a different insurer in North Carolina?
Shopping around for home insurance in North Carolina can save you thousands of dollars each year. The cheapest option, State Farm, averages $106 monthly, while Erie charges $510 per month for similar coverage.
Even mid-range insurers show price differences. Heritage Insurance costs $283 monthly compared to Auto-Owners Insurance at $287, a $4 monthly difference that adds up over time. These variations exist because companies weigh risk factors differently and target different customer segments.
Compare quotes from at least three insurers to find the best rate for your situation.
Why does home insurance cost more for older homes in North Carolina?
Home insurance premiums in North Carolina jump based on your property's age. Older homes cost 116% more to insure than newer properties, creating a substantial financial gap for homeowners.
A newer home built around 2020 averages $1,956 annually in premiums. Meanwhile, an older home from the 1980s costs approximately $4,224 per year. This creates a staggering $2,268 annual difference between the two age categories. Properties built around 2000 fall somewhere in the middle at $3,749 yearly.
Insurance companies justify higher rates for older homes due to increased risk factors. These properties often contain aging electrical wiring, outdated plumbing systems, and deteriorating roofing materials that are more likely to fail and trigger claims.
How We Analyzed North Carolina Home Insurance Rates
MoneyGeek calculated North Carolina home insurance estimates using real premium data from major insurers. This approach shows how specific factors influence what homeowners actually pay for coverage.
We built our analysis around a standard homeowner profile: $250,000 dwelling coverage, $125,000 personal property coverage, $200,000 liability coverage, and a $1,000 deductible. The model home was built in 2000 with no insurance claims filed in the past five years. This profile matches typical North Carolina homeowners and reflects median home values across the state.
Our research method involved changing one factor while keeping all others identical. For instance, when studying how the construction year affects premiums, we compared identical homes built in 1980, 2000 and 2020. This technique shows exactly how much each variable impacts your costs.
Your actual premiums will be different depending on your home's specific features, your coverage choices, claims history, credit profile and location.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.