The Cheapest and Best Homeowners Insurance in Baltimore
The Cheapest Home Insurance Companies in Baltimore
The home insurance plans from various companies offer similar core coverages. Considering that, cost is a significant point to consider when selecting a home insurance policy in Baltimore.
On average, the following are the cheapest homeowners insurance providers in Baltimore for a $500,000 dwelling coverage:
- Travelers: $2,211 per year
- USAA: $2,278 per year (only serving current and former military members and families)
The cheapest insurance providers for expensive homes covered by a $2 million dwelling policy are, on average:
- USAA: $5,582 per year (only serving current and former military members and families)
- State Farm: $8,261 per year
Several factors influence your home insurance premium and dwelling coverage limit is one of them. The table below shows how the price changes by adjusting the dwelling coverage.
The Cheapest Home Insurance in Baltimore, Ranked
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The sample insurance policies used for the study have a $500,000 initial minimum dwelling coverage and a $200,000 personal property limit. The personal property limit increases to $800,000 for plans with a $2 million dwelling coverage. But, the liability limit for all plans is $100,000. Even if you live in another part of Maryland, you can compare home insurance rates with different companies.
The Average Cost of Homeowners Insurance in Baltimore for 2021
You will have to pay an average of $3,129 yearly or $261 monthly for a home insurance policy in Baltimore. This is significantly higher than Maryland’s annual average of $1,671 and the national average of $2,103.
Calculate the Cost of Home Insurance in Baltimore
While your location influences the cost of your home insurance policy, other factors, such as the amount of dwelling and personal property coverage you purchase and your credit score, also play a role. You can compare quotes from insurance companies in Maryland using MoneyGeek's home insurance calculator.
Home Insurance Calculator
These are annual estimates. Get a personalized quote to determine your costs.
The Best Home Insurance Companies in Baltimore
Price is always an important factor to evaluate when choosing homeowners insurance in Baltimore. But, you should also consider the customer service experience and financial stability ratings of the companies you're comparing. Since you are more likely to make a claim during stressful times, a financially stable insurer will be quick and fair in paying your legitimate claim.
MoneyGeek’s analysis found that the following two companies are the best home insurance companies in Baltimore:
- Best Overall: USAA (only serving current and former military members and families)
- Runner-up: State Farm
The companies used in the MoneyGeek analysis were rated based on consumer satisfaction, affordability and financial stability.
USAA policyholders who have home security systems in their homes are eligible for discounts. Furthermore, those who have not made a claim in the last few years are eligible for claim-free discounts. The insurer also covers any uniform damage for military members without applying the deductible.
MoneyGeek's top pick for Baltimore is USAA, with top ratings in a variety of categories, including customer service from J.D. Power and financial stability from AM Best. The company, however, only insures the homes of active and retired military personnel.Read MoneyGeek's USAA home Insurance Review
By adding State Farm's unique home systems protection to your home insurance plan, you can protect your home systems like electrical generation systems or heating and cooling systems. Unlike other companies, State Farm offers a service line coverage add-on, which covers the expense of underground piping, as well as electric and service lines.
State Farm is the second-best on MoneyGeek’s list after ranking highly in affordability ratings. The company allows its policyholders to increase personal property limits for high-value property.Read MoneyGeek's State Farm home Insurance Review
Cheapest Home Insurance Companies in Baltimore for Newly Constructed Homes
In Baltimore, newly built homes are cheaper to insure than older homes. With new and modern materials, new homes are more resistant to damages. Additionally, newer materials are easier to replace. Owners of new homes are less likely to file claims and hence insurers offer them lower rates.
The average cost of home insurance in Baltimore is $2,398 a year for a newly constructed home, compared to $3,129 for a home built in 2000.
On average, the following are the two cheapest homeowners insurance companies in Baltimore for newly built homes with $500,000 in dwelling coverage:
- Travelers: $1,517 per year
- USAA: $1,635 per year (only serving current and former military members and families)
The Cheapest Home Insurance in Baltimore for New Homes, Ranked
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Cheapest Home Insurance Companies in Baltimore if You Have a Lot of Personal Property
The home insurance policy you buy will protect both the foundation of your home and the personal property you choose to insure. The more the number of personal property that you insure, the higher the premium.
For Baltimore homeowners, it costs $3,435 per year on average for a standard home insurance policy with a personal property limit of $250,000. For a policy offering $100,000 in personal property limit, it costs an average of $3,129 per year.
Of all the insurers, the following two offer the cheapest homeowners insurance in Baltimore on average for homes with a $250,000 dwelling coverage and high personal property limits:
- USAA: $2,329 per year (only serving current and former military members and families)
- Travelers: $2,330 per year
Cheap Companies in Baltimore for Extra Personal Property Coverage
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Cheapest Home Insurance Companies in Baltimore for High Deductibles
The deductible on your homeowners insurance policy is the amount of money you must pay out of pocket before your insurer will pay your claim. The policy deductible also affects the home insurance cost. The insurance premium will be lower if you choose a higher deductible and vice versa.
A home insurance policy with a $2,000 deductible costs $2,743 on average in Baltimore, while a policy with a $1,000 deductible costs $3,129, which is a difference of $386.
On average, for homes with a $2,000 premium, the following two companies provide the cheapest homeowners insurance in Baltimore:
- Travelers: $1,925 per year
- USAA: $1,945 per year (only serving current and former military members and families)
The Cheapest Companies in Baltimore for High Deductibles, Ranked
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Cheapest Home Insurance Companies in Baltimore if You Have Poor Credit
To provide you with a home insurance quote in Baltimore, insurance companies consider your credit score. According to the majority of insurers, an individual with a low credit score is more likely to file a claim. As a result, Baltimore homeowners with poor credit will pay higher interest rates than someone with a good credit rating.
If you have a bad credit score, a standard home insurance policy in Baltimore will cost you an average of $3,481 per year. Those with good credit, on the other hand, will only pay $3,129 on average for the same policy.
For those with poor credit score, the following two companies offer the cheapest home insurance policies, on average:
- Travelers: $2,211 per year
- Erie: $2,699 per year
The Cheapest Companies in Baltimore for Poor Credit, Ranked
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Getting Online Homeowners Insurance Quotes in Baltimore
It’s easy to get an online quote for homeowners insurance in Baltimore. For the home insurance company to give you a specific quote online, you need to provide them with details, including the following:
- Home replacement cost: This is the cost of restoring your home after it has been damaged by a covered peril. Insurers will need this to calculate the dwelling coverage for your home insurance policy.
- Personal property value: The value of the personal property you choose to insure impacts the personal property coverage limit on your home insurance policy.
- Personal information: You must have personal information ready in order to access online home insurance quotes, such as your home address, insurance claim history, credit rating and the number of people living in your home.
- Home details: In order to provide you with a more accurate home insurance quote, insurers will need to know the age of your home, its size and any built-in security features, among other items.
Homeowners Insurance in Baltimore Analysis: Methodology
MoneyGeek used the data provided by Quadrant to analyze 10 home insurance companies in Baltimore. For the affordability ratings, a home with varying amounts of coverage was considered. J.D. Power’s surveys were used to evaluate each company's level of customer satisfaction.
The baseline profile was an average homeowner with a 2,500-square-foot home built in 2000. The house was insured for $500,000 in home coverage, $200,000 in personal property coverage and $100,000 in liability coverage. Regardless of the coverage limits, all plans considered had a $1,000 deductible.
Homeowner profiles of newly constructed homes, higher deductibles, bad credit and increased dwelling or personal property coverage were also used for the study.
About Mark Fitzpatrick