Cheapest Homeowners Insurance: Affordable Quotes & Companies in 2025

Amica offers the cheapest homeowners insurance nationally with an average annual rate of $1,428, 58% less than the national average of $3,548 per year for a policy with $250,000 in dwelling coverage. Amica also ranked as the most affordable option for high and low dwelling coverage limits, older and newer homes, seniors and homeowners with previous claims.

Your cheapest option depends on your home's location, age and value, plus your credit score, age and claims history. These factors affect what you pay, so the best deal for your neighbor may not be your best choice. We analyzed rates for different home types and homeowner profiles:

*Our standardized profile is a homeowner ages 41 to 60 with good credit and no claims history who is insuring a home built in 2000 for $250,000 in dwelling coverage, $125,000 in personal property coverage and $200,000 in liability coverage, unless otherwise noted.

The six most affordable homeowners insurance companies for a policy with $250,000 in dwelling coverage are Amica, CSAA, AAA, USAA, Farmers and Allstate. We analyzed average annual premiums nationwide and found these insurers cost 30% to 60% below the national average.

We evaluated beyond low rates and noted each insurer's financial strength, coverage options and claims handling. See what makes each company stand out and who benefits most from their coverage:

The least expensive homeowners insurance company varies by state because every state has its own rules, weather risks and level of competition between insurers.

Hurricane risk drives up rates in Florida, while earthquake coverage increases costs in California. State regulators set different pricing rules, so what's affordable in Texas might be expensive in New York. Compare quotes in your state before choosing a policy.

Find the most affordable homeowners insurance company in your state for your desired coverage level:

Amica consistently offers the lowest average rates across all dwelling coverage amounts. Compare the best rates based on your desired coverage limits:

While Amica leads nationally, the cheapest homeowners insurance company for you depends on your specific profile. Your age, credit score, claims history and other personal factors can dramatically shift which insurer offers the best rates.

Your credit score significantly affects your home insurance rates. Insurers charge higher premiums to people with lower credit scores because they tend to file more claims. Shopping around with multiple insurers can help you find affordable coverage even with less-than-perfect credit because companies weigh credit differently in their pricing models.

AAA offers the cheapest average rates for homeowners with lower credit scores, while those with excellent credit may find the most affordable coverage from CSAA.

Age affects home insurance rates. Younger homeowners often pay more because insurers see them as less experienced, while seniors typically receive discounts and lower risk assessments. Amica offers the cheapest homeowners insurance for middle-aged and senior homeowners, while CSAA is the cheapest option for young homeowners.

Newer homes typically qualify for lower insurance rates due to updated electrical systems, plumbing and building materials, while older homes may face higher premiums because of outdated infrastructure and increased claim risk.

*"Newer" homes were built in 2020, “middle age” homes in 2000 and “older” homes in 1980.

Finding affordable homeowners insurance starts with understanding what you'll pay. Our calculator uses your credit score, state and coverage preferences to estimate rates from several budget-friendly insurers, giving you a starting point before requesting formal quotes.

Finding the cheapest homeowners insurance comes down to understanding your options and shopping smart. While Amica consistently offers the lowest rates nationally, your best deal depends on your specific home, location and personal profile.

The cheapest premium isn't always ideal; balance affordability with solid coverage and reliable claims service. Compare quotes from multiple insurers, maximize available discounts and review your policy annually to ensure you're getting the best value. With the right approach, you can secure quality protection that fits your budget.

Find answers to common questions about finding cheap home insurance:

Why Trust MoneyGeek to Help You Find Affordable Home Insurance?

MoneyGeek's home insurance analysis draws from data provided by Quadrant Information Services, an insurance analytics firm. Our research approach helps consumers get accurate, relevant information when comparing coverage options, though rates represent averages that may not reflect your individual circumstances.

Data Sources and Analysis

We analyzed premium data from major homeowners insurance carriers across all 50 states to identify the most affordable options for different homeowner profiles and coverage needs. Our evaluation of the cheapest homeowners insurance companies focused on affordability, financial stability and available discounts to identifying which companies offer the lowest rates for specific situations like different age groups, credit scores and home characteristics..

Sample Homeowner Profile

For accurate rate comparisons, we built our analysis around a typical homeowner profile that reflects common demographics and property types:

Homeowner Demographics:

• Ages 41-60 with good credit scores (769-792 range)
• No recent claims history
• Financially stable with standard risk profile

Property Characteristics:

• Home built in 2000
• Wood-frame construction with composite shingle roof
• Standard safety features and building materials
• $250,000 replacement value

Coverage Standards

Our base profile uses these coverage limits representing typical protection levels:

• $250,000 dwelling coverage
• $125,000 personal property coverage
• $200,000 personal liability coverage
• $1,000 deductible

Premium home analysis increased coverage to $1,000,000 dwelling coverage, $500,000 personal property coverage, and $1,000,000 liability coverage.

This comprehensive approach allows us to identify the cheapest companies across different coverage scenarios while maintaining consistent comparison standards.