Cheapest Home Insurance Companies

The cheapest homeowners insurance providers depend on various factors. Overall, Chubb offers the most affordable premium. The sections below show the best rates by coverage level, location and credit history.

Chubb has the lowest rate at $991 per year or around $83 per month for $100K in dwelling coverage, the lowest coverage offered.

The cheapest home insurance for you depends on the dwelling coverage. While Chubb has the lowest average cost for $100K dwelling coverage, American Family is the cheapest insurer for $250K, $500K, $750K and $1M dwelling coverage. The table below compares the best rates based on your desired dwelling coverage limits.

The cheapest home insurance rates vary widely by location due to local natural disaster risks, weather patterns, crime rates, building codes, distance from emergency services, regional construction costs and state insurance regulations. Below, we rank the cheapest insurers by state and city.

Home insurance providers consider location when calculating premiums. The table below shows each state's cheapest company for different coverage levels.

The most affordable home insurance providers vary widely even within the same state. Filter the table below to see city rates in your state based on our data.

Credit scores affect your home insurance premiums because they predict claim likelihood, with lower scores often leading to higher rates due to perceived risk. Nationwide is the cheapest home insurance provider if you have a poor credit score.

Poor credit may result in higher premiums, but comparing offers from multiple insurance companies can help you find affordable policies. Filter the table below to compare the best rates for different dwelling coverage limits.

*Note: States like California, Massachusetts, Maryland and Hawaii ban insurers from using credit scores to determine premiums.

Choosing the right policy and provider can save you money while ensuring sufficient coverage. Your coverage needs and profile determine the cheapest home insurance options. Explore the sections below for guidance on finding the best rates and what home insurance covers.

Getting personalized quotes will help you accurately compare your options and determine the most affordable. Enter basic information in our home insurance calculator below to quickly receive quotes from multiple providers.

Home insurance helps protect your home, belongings and finances if something goes wrong. However, coverage varies based on the policy and how insurers calculate reimbursement. Understanding what your home insurance covers and how it covers it can help you choose the right policy and avoid unexpected costs later.

Home insurance typically covers:

• Dwelling structure - your house itself
• Landscaping - usually only up to 5% of the dwelling coverage
• Personal belongings - furniture, electronics, clothing, etc. (Note: Certain art and expensive jewelry aren't covered unless specified)
• Liability - if someone is injured on your property
• Additional living expenses - if you can't live in your home during repairs

However, standard policies don't cover:

• Floods
• Earthquakes
• Normal wear and tear
• Pest damage
• Certain valuable items (without special coverage)

The ACV and RCV settlement methods matter greatly when shopping for home insurance.

• Actual cash value (ACV) policies pay only the depreciated value of your property. If your 10-year-old roof is damaged, you'll receive payment minus a decade of depreciation, leaving you to pay potentially thousands out of pocket for a new roof.
• Replacement cost value (RCV) policies pay the full cost to replace damaged items with new ones of similar quality. While typically 10% to 15% more expensive upfront, RCV coverage ensures you can restore your property without large additional expenses.

For most homeowners, the slightly higher premium for RCV coverage provides substantially better protection and proves more economical in the long term.

The cheapest home insurance may vary depending on coverage, ZIP code and credit history. This guide analyzes major insurers to identify companies with the lowest rates for various homeowner profiles.

Chubb has the lowest average rate for $100K dwelling coverage, but American Family is the most affordable option for $250K, $500K, $750K and $1M dwelling coverages. The cheapest option for you may differ, so comparing quotes and researching deals can help avoid overpaying.

Below, we've answered frequently asked questions about home insurance to help you find the best deals

Why Trust MoneyGeek? 

MoneyGeek analyzed quotes from multiple insurance providers across the U.S. using a profile that reflects the average homeowner. By considering different locations and companies, we provide a reliable estimate of what homeowners can expect to pay — showing why comparing rates matter.

Methodology

MoneyGeek evaluated homeowners insurance carriers, incorporating insights and premiums from the official databases of Quadrant Information Services.

Homeowner Profile

For our analysis, we created a sample homeowner profile with the following characteristics: 

• Good credit score (769 to 792)
• Home constructed in 2000
• Wood-frame construction
• Composite shingle roof

Homeowners Insurance Coverage Details

Unless otherwise specified, we used the following coverage limits to collect quotes for our comparison:

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

We also compiled data for policies with broader coverage to determine the best companies for insuring expensive homes, upping limits to $1M in dwelling coverage, $500K in personal property coverage and $1M in liability coverage.