The Best Cheap Homeowners Insurance in Los Angeles, California for 2022: Quotes and Reviews
In Los Angeles, California, the average cost of homeowners insurance is $2,610 a year or $218 per month. However, depending on the insurer you choose, these costs can vary significantly. Allstate has the cheapest annual home insurance quote in Los Angeles for the average homeowner, at $1,233 per year, while Chubb has the most expensive, at $4,581 per year. This shows that homeowners can save up to $3,348 a year by looking around for the best quotes. MoneyGeek's ranking of the best homeowners insurance companies in Los Angeles can help those looking for affordable and quality service.
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The Cheapest and Best Homeowners Insurance in Los Angeles
The Cheapest Home Insurance Companies in Los Angeles
Most of the insurance companies in Los Angeles offer similar core coverages for home insurance policies. Therefore, you need to consider cost as a significant factor while choosing a home insurance plan.
The cheapest homeowners insurance providers in Los Angeles for a $500,000 dwelling coverage policy are:
- Allstate: $1,233 per year
- ASI: $1,621 per year
The cheapest insurance companies for expensive homes are the same as above but in the opposite order. They offer the following rates for homes with a dwelling coverage of $2,000,000:
- ASI: $4,611 per year
- Allstate: $4,936 per year
Home insurance premiums are determined by the dwelling coverage limits you choose. The table below illustrates how changing the dwelling coverage affects home insurance quotes in Los Angeles.
The Cheapest Home Insurance in Los Angeles, Ranked
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The personal property coverage on the sample home insurance package considered here is $200,000, with dwelling coverage of $500,000. The personal property limit increases to $800,000 for plans with $2,000,000 in dwelling coverage. Regardless of the home coverage limits, the liability insurance coverage is $100,000 for all plans. If you live in another part of California, you can also evaluate home insurance rates on a statewide basis.
The Average Cost of Homeowners Insurance in Los Angeles for 2021
In Los Angeles, home insurance costs an average of $2,610 a year, or around $218 a month. This is significantly higher than the state average of $2,002 per year in California and the national average of $2,103 per year.
Calculate the Cost of Home Insurance in Los Angeles
While your location affects the cost of your home insurance policy in Los Angeles, several other factors, including the amount of dwelling and personal property coverage you purchase, will also influence the rates. MoneyGeek's home insurance calculator will be a great tool to compare quotes from various insurers in your state.
Home Insurance Calculator
These are annual estimates. Get a personalized quote to determine your costs.
The Best Home Insurance Companies in Los Angeles
As previously mentioned, the cost is a significant factor to consider while purchasing homeowners insurance in Los Angeles. However, when comparing insurance companies, you should also consider their customer service experience and financial stability. Since you're most likely to make a claim during times of financial distress, a financially stable insurer will be able to pay you fairly and on time, providing peace of mind.
The following companies offer the best homeowners insurance in Los Angeles, according to a MoneyGeek study:
- Best Overall: USAA (only serving current and former military members and their families)
- Runner-up: Allstate
To find the best homeowners insurance companies in Los Angeles, MoneyGeek used a rating system to evaluate them based on affordability, customer satisfaction and financial stability.
USAA provides home-sharing coverage to landlords who rent out a room or their whole home. The coverage protects the homeowners against the costs associated with being a landlord or a host. Plus, USAA allows you to have earthquake damage as an add-on to your home insurance policy, unlike some other insurers in California.
By scoring 96.6 out of 100 points, USAA became MoneyGeek’s top pick. It rated highly across multiple categories, including J.D. Power’s customer service and AM Best’s financial stability ratings. However, the company offers insurance only to current and former military members.Read MoneyGeek's USAA home Insurance Review
Allstate policyholders can add Claim Rateguard, which can protect you against your insurance rate increasing, even after filing a claim. Existing Allstate customers and those switching from another insurance company can get a discount for being claim-free. This makes Allstate much more affordable for those who haven't filed a claim in the past.
Allstate became the second-best company for Los Angeles homeowners by obtaining strong scores across various categories, especially MoneyGeek’s affordability rating. The company reduces your deductible by $100 every claim-free year.Read MoneyGeek's Allstate home Insurance Review
Cheapest Home Insurance Companies in Los Angeles for Newly Constructed Homes
Newly designed homes in Los Angeles are usually cheaper to insure. With new and modern materials, new homes are more resistant to damages. This reduces the likelihood of homeowners filing a claim. It may also be easier for insurers to replace newer materials.
Home insurance for a newly constructed home in Los Angeles costs an average of $2,005 per year, while insurance for a home built in 2000 costs an average of $2,610 per year.
For owners of a newly constructed home in Los Angeles, the following are the cheapest companies offering a dwelling coverage of $500,000:
- ASI: $1,003 per year
- Allstate: $1,113 per year
The Cheapest Home Insurance in Los Angeles for New Homes, Ranked
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Cheapest Home Insurance Companies in Los Angeles if You Have a Lot of Personal Property
Your home insurance covers the foundation of your home as well as the personal property you keep there. The more personal property you want to insure, the higher your premium becomes. In Los Angeles, a standard home insurance policy with personal property limits of $250,000 costs an average of $2,953 per year. A policy with a personal property coverage limit of $100,000, on the other hand, costs an average of $2,610 per year.
For homes with a $500,000 dwelling coverage and high personal property limits, the two cheapest home insurance providers in Los Angeles are:
- Allstate: $1,280 per year
- ASI: $1,764 per year
Cheap Companies in Los Angeles for Extra Personal Property Coverage
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Cheapest Home Insurance Companies in Los Angeles for High Deductibles
The deductible on your insurance policy is the money you must pay out of pocket before your insurer will cover a claim. The policy deductible you choose will impact how much your homeowners insurance in Los Angeles costs. With a higher deductible, insurance rates will be lower, and vice versa.
A home insurance policy with a $2,000 deductible costs $2,220 per year on average, while a policy with a $1,000 deductible costs $2,610.
The following two insurers are the cheapest for homeowners with a $2,000 deductible on their home insurance:
- Allstate: $1,161 per year
- USAA: $1,401 per year (available to current and former members of the military)
The Cheapest Companies in Los Angeles for High Deductibles, Ranked
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Cheapest Home Insurance Companies in Los Angeles if You Have Poor Credit
Due to California’s state laws and regulations, insurance companies in Los Angeles cannot charge you more just because of bad credit. Therefore, your credit score is not taken into account when estimating rates for home insurance policies.
Getting Online Homeowners Insurance Quotes in Los Angeles
To get home insurance quotes in Los Angeles online, you'll need to provide several details, particularly those mentioned below:
- Home replacement cost: This is the approximate cost of restoring your home if it is damaged by a covered risk. The rebuilding cost of your home determines the dwelling coverage limits of your insurance policy. You should hire a construction professional, appraiser or building contractor to get an estimate.
- Personal property value: Your home insurance policy’s personal property coverage limit is determined by the approximate value of the personal belongings you choose to insure.
- Personal details: To obtain online home insurance quotes, you may need to provide personal information, such as your home address, insurance claim history and the number of people living in your house.
- Home details: To provide you with a more accurate home insurance quote, the insurers will need to know the age of your home, its size, built-in safety features and more.
Homeowners Insurance in Los Angeles Analysis: Methodology
MoneyGeek conducted this study by comparing home insurance quotes from 13 insurance companies in Los Angeles, using the data provided by Quadrant. For the affordability scores, we considered a home with varying coverage levels. To calculate the customer satisfaction ratings of each company, we used J.D. Power’s surveys.
The base profile was an average homeowner with a 2,500 square-foot home built in 2000, holding a dwelling coverage of $500,000, personal property coverage of $200,000 and liability coverage of $100,000. Regardless of the coverage amount, all policies considered had a deductible worth $1,000.
To obtain quotes for different situations, we used profiles of homeowners with newly built houses, higher deductibles and those who increased dwelling or personal property coverage.
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