Updated: January 13, 2026
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AAA offers the cheapest homeowners insurance in Kentucky, with average rates of $1,724 per year.
AAA, Cincinnati Insurance, Westfield Insurance, State Farm and Allstate cost 13% to 43% below Kentucky's $3,029 average.
Bundle your home and auto insurance policies to save 10% to 25% on premiums — one of the biggest discounts Kentucky insurers offer.
AAA is the cheapest home insurance company in Kentucky with average rates of $1,724 per year, though eligibility may be limited. Cincinnati Insurance ranks second at $2,204 annually and provides coverage to all Kentucky residents. The five most affordable insurers deliver savings between $384 and $1,305 compared to the state average.
| AAA | $144 | $1,724 | -43% |
| Cincinnati Insurance | $184 | $2,204 | -27% |
| Westfield Insurance | $189 | $2,265 | -25% |
| State Farm | $197 | $2,369 | -22% |
| Allstate | $220 | $2,645 | -13% |
*The rates above are for homeowners ages 41 to 60 with good credit and no claims history. Quotes are for a home built in 2000 insured for $250,000 in dwelling coverage, $125,000 in personal property coverage and $200,000 in liability coverage with a $1,000 deductible.
Kentucky's cheapest home insurance varies by category, so compare rates based on your specific situation. AAA offers the most affordable coverage for older homes, seniors and high-risk fire properties, while Progressive leads for newer homes.
| Older Homes | AAA | $2,198 |
| Newer Homes | Cincinnati Insurance | $1,307 |
| Young Homeowners | AAA | $1,777 |
| Senior Homeowners | AAA | $1,726 |
| High-Risk Fire Homes | AAA | $1,932 |
| Smaller Homes | AAA | $1,861 |
| Larger Homes | Cincinnati Insurance | $2,181 |
The cheapest company may not be your best fit. Customer service quality, coverage options and claims handling matter beyond price. Our guide to the best home insurance companies in Kentucky compares insurers across these factors.
The cheapest home insurance provider varies across Kentucky based on local risk factors. AAA offers the lowest rates in Bowling Green and Clarkson, while Westfield provides more affordable coverage in Wingo.
| Bowling Green | AAA | $1,744 |
| Clarkson | AAA | $1,950 |
| Fairdale | AAA | $1,862 |
| Georgetown | AAA | $1,477 |
| Lexington | AAA | $1,436 |
| Louisville | AAA | $1,778 |
| Wingo | Westfield Insurance | $2,185 |
For basic coverage in Kentucky, AAA offers the lowest premiums at $1,007 annually for $100,000 dwelling, $50,000 personal property and $100,000 liability protection. Westfield delivers the most affordable rates for high-value home coverage and $1 million dwelling, $500,000 personal property and $1 million liability level.
| AAA | $84 | $1,007 |
| State Farm | $107 | $1,286 |
| Cincinnati Insurance | $109 | $1,305 |
| Allstate | $126 | $1,517 |
| Nationwide | $136 | $1,626 |
Kentucky homeowners can cut their insurance costs by hundreds of dollars annually through discounts, higher deductibles and smart home improvements.
Combine your home and auto insurance with the same company to save 10% to 25% on both policies. State Farm, Allstate and Progressive offer bundle discounts to Kentucky homeowners.
Raise your deductible to lower your annual premium, though you'll pay more out of pocket when filing a claim. Choose a deductible amount you can afford if you need to file a claim.
Kentucky allows insurers to use credit-based insurance scores when setting rates. Improving your credit score can save you hundreds of dollars annually on your home insurance premium.
Filing multiple claims within three years triggers rate increases. Use homeowners insurance for major losses rather than small repairs you can afford.
Contact your insurer to find all discounts you qualify for beyond bundling. Review your policy annually to add new discounts as your situation changes.
Frequently asked questions about the cheapest home insurance in Kentucky:
Standard homeowners insurance in Kentucky covers tornado damage to your home and belongings. Kentucky faces a high tornado risk, so make sure you have adequate coverage.
Kentucky doesn't mandate flood insurance statewide, but mortgage lenders require it for homes in FEMA high-risk flood zones. Standard homeowners insurance excludes flood damage, so purchasing separate flood coverage protects you from out-of-pocket costs after water damage.
Replacement cost coverage pays to rebuild or replace damaged property at today's prices. Actual cash value coverage subtracts depreciation, paying what your property was worth right before the damage occurred. Kentucky lenders mandate replacement cost coverage on financed homes.
You can cancel your Kentucky home insurance anytime, but notify your insurer in writing first. You might face cancellation fees but should get a refund for unused coverage. Be careful about timing since your mortgage lender needs proof of continuous coverage.
Our rate analysis reflects what most Kentucky homeowners need: standard coverage for a typical single-family home built within the past 25 years.
We collected quotes from major insurers using a consistent homeowner profile across Kentucky. This approach shows how each company prices the same coverage by removing variables that make direct comparisons difficult. The base profile represents the most common home insurance scenario in Kentucky.
Standard Coverage Profile:
For specialty scenarios like older homes, high-value properties and rural locations, we adjusted variables from this base profile while keeping other factors constant. This shows how specific characteristics affect your rate compared to the standard homeowner.
These figures are estimates based on statewide averages. Your actual premium depends on your home's location, age, construction type and your claims history. Compare quotes from at least three insurers to find your lowest rate.
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.
