Updated: January 13, 2026
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State Farm offers North Carolina's cheapest home insurance at $1,274 annually, 66% below the state average of $3,747.
Location affects rates. State Farm charges $378 in Greensboro but $10,004 in Wilmington annually.
Compare quotes from multiple insurers, ask about discounts and bundle policies to find savings on your home insurance.
North Carolina homeowners pay an average of $3,749 annually for home insurance, but rates start at $1,274 per year. You can save over 66% by choosing the right insurer.
State Farm is the cheapest home insurance company in North Carolina at $1,274, followed by North Carolina Farm Bureau at $2,018 and USAA at $2,644.
| State Farm | 5.00 | $1,274 | -66% |
| North Carolina Farm Bureau | 4.83 | $2,018 | -46% |
| USAA | 4.68 | $2,644 | -29% |
| Heritage Insurance | 4.50 | $3,392 | -10% |
| Auto-Owners Insurance | 4.49 | $3,447 | -8% |
*These rates are based on a house built in 2000 with $250,000 in dwelling coverage, $125,000 in personal property coverage, $200,000 in liability coverage and a $1,000 deductible. We assumed good credit and no claims in the past five years.
Price matters when choosing home insurance, but customer service and coverage options affect your claims experience. Our separate guide to the best home insurance companies in North Carolina compares insurers across multiple factors beyond cost.
Your home's value affects your insurance costs more than any other factor. A $100,000 home in North Carolina costs less to insure than a $1 million property. State Farm offers the lowest rates across all coverage levels in our analysis. Use the table below to find the cheapest insurers for your specific dwelling coverage amount.
| State Farm | $62 | $738 |
| North Carolina Farm Bureau | $78 | $937 |
| USAA | $109 | $1,304 |
| Auto-Owners Insurance | $132 | $1,583 |
| Heritage Insurance | $138 | $1,658 |
Your city affects your home insurance rates due to local crime rates, weather risks and construction costs. State Farm charges $10,004 annually in Wilmington but just $378 in Greensboro for the same coverage. State Farm offers the lowest rates in all 16 cities we analyzed. Compare insurers in your area below.
| State Farm | $42 | $508 |
| USAA | $198 | $2,378 |
| Auto-Owners Insurance | $215 | $2,583 |
| North Carolina Farm Bureau | $103 | $1,238 |
| Nationwide | $231 | $2,770 |
Your personal profile affects your home insurance rates as much as your property details. Credit score and claims history create the largest rate differences among North Carolina homeowners.
Insurers use credit scores to predict claim likelihood, which affects your premium by hundreds of dollars annually. State Farm offers the lowest rates across all credit tiers in North Carolina.
| State Farm | $124 | $1,489 |
| North Carolina Farm Bureau | $239 | $2,873 |
| USAA | $268 | $3,221 |
| Heritage Insurance | $269 | $3,224 |
| Auto-Owners Insurance | $457 | $5,482 |
Rate increases after claims vary between North Carolina insurers. State Farm maintains the lowest rates for North Carolina homeowners regardless of claims history.
| State Farm | $123 | $1,477 |
| North Carolina Farm Bureau | $195 | $2,340 |
| USAA | $255 | $3,064 |
| Heritage Insurance | $328 | $3,932 |
| Auto-Owners Insurance | $333 | $3,996 |
Finding affordable home insurance in North Carolina takes effort, but you can lower your costs. Here's how to save on your policy.
Decide on your coverage limits before shopping to avoid buying more than you need. Understand dwelling coverage, personal property limits and liability protection to get adequate coverage without overpaying.
Compare quotes from at least three insurers for identical coverage levels. North Carolina home insurance rates vary by hundreds of dollars annually between companies, even for the same home and profile. Gather quotes online, through agents and directly from insurers to find your best rate.
Save 15% to 25% by bundling your home insurance with auto coverage. Most North Carolina insurers offer multi-policy discounts that reduce both premiums.
Ask agents about every discount you qualify for, as insurers won't apply them automatically. Common North Carolina discounts include protective device discounts for monitored alarm systems (5% to 20% savings), claims-free discounts and new home discounts. Wind and hail-resistant roofing can lower your premium.
North Carolina allows credit-based insurance scoring, so improving your credit can lower your rates. Pay bills on time and reduce credit card balances to see premium reductions at your next renewal.
State Farm leads North Carolina for affordable home insurance at $1,274 annually, but your best rate depends on your home's value, location and personal profile. Compare quotes from at least three insurers to find the best cost and coverage for your needs. Start with the companies on our list and ask about available discounts to maximize your savings.
Get answers to common questions about affordable home insurance in North Carolina.
Older homes cost more to insure due to outdated electrical, plumbing and roofing systems. Lower your premium by updating these systems and providing documentation to your insurer. Replacing knob-and-tube wiring, updating your roof and installing a modern HVAC system can reduce your rates. Some insurers offer renovation discounts when you complete major updates.
Roof age affects your premium and coverage eligibility. Most North Carolina insurers charge higher rates for roofs over 15 years old, and some won't cover roofs over 20 years without inspection. A new roof can lower your premium and qualify you for discounts. Insurers provide actual cash value coverage instead of replacement cost for older roofs, paying less when you file claims.
Some dog breeds increase your liability premium or disqualify you from coverage entirely. Insurers consider pit bulls, Rottweilers, German shepherds and Dobermans high-risk breeds. You'll pay more for liability coverage with these breeds, and some insurers won't cover you at all. Disclose your dog when applying, as hiding this information can lead to claim denials.
North Carolina doesn't require flood insurance unless you have a federally backed mortgage in a high-risk flood zone. Standard home insurance doesn't cover flood damage, so you need separate flood insurance through the National Flood Insurance Program or private insurers.
MoneyGeek analyzed North Carolina rates to identify which companies offer the lowest premiums for homeowners across the state.
We gathered quotes from major insurers through Quadrant Information Services for a standard North Carolina home profile. The data shows which companies price competitively for typical homeowners.
Sample Home Profile
We gathered quotes using these specifications to represent a common North Carolina homeowner:
This profile reflects a moderately valued home with a clean claims history. Newer homes (built after 1990) get better rates than older properties with outdated electrical and plumbing systems. The $1,000 deductible balances affordable premiums with reasonable out-of-pocket costs when filing claims.
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.
