Updated: August 19, 2026
Advertising & Editorial Disclosure
The national average for home insurance is $3,467 per year, or $289 monthly, based on a home with $250,000 in dwelling coverage.
The cheapest state for home insurance is Hawaii at $601 annually and the most expensive is Florida at $10,384 per year, which reflects the real differences in natural disaster risk across the country.
Your credit score, home's age, claims history and the coverage limits and deductible you choose are among the key factors that determine where your rate falls within your state's range.
Your home insurance rate is personal, built from a combination of where you live, what your home would cost to rebuild and details about you as a policyholder.
The national average is $3,467 per year, or $289 monthly, based on a homeowner aged 41 to 60 with good credit and $250,000 in dwelling coverage.
Depending on your state, credit score, claims history and how much coverage you carry, your own rate could look very different from that national average.
Your state is the single biggest external factor in your home insurance rate, and it's one you can't easily change. Homeowners in Hawaii pay around $601 per year on average, while Florida homeowners pay $10,384, and both figures reflect the real-world claim costs those markets generate rather than arbitrary pricing decisions.
Use the table below to see where your state falls and benchmark any quote you receive against what comparable homeowners in your area typically pay.
Top 5 Cheapest States
Top 5 Most Expensive States
| Alabama | $4,863 | $405 |
| Alaska | $1,412 | $118 |
| Arizona | $2,602 | $217 |
| Arkansas | $5,040 | $420 |
| California | $1,543 | $129 |
| Colorado | $4,075 | $340 |
| Connecticut | $2,258 | $188 |
| Delaware | $949 | $79 |
| District of Columbia | $1,254 | $104 |
| Florida | $10,384 | $865 |
| Georgia | $2,258 | $188 |
| Hawaii | $601 | $50 |
| Idaho | $1,673 | $139 |
| Illinois | $3,114 | $259 |
| Indiana | $3,136 | $261 |
| Iowa | $2,381 | $198 |
| Kansas | $3,714 | $310 |
| Kentucky | $3,029 | $252 |
| Louisiana | $7,304 | $609 |
| Maine | $1,425 | $119 |
| Maryland | $2,623 | $219 |
| Massachusetts | $1,932 | $161 |
| Michigan | $2,195 | $183 |
| Minnesota | $2,492 | $208 |
| Mississippi | $5,161 | $430 |
| Missouri | $2,939 | $245 |
| Montana | $4,814 | $401 |
| Nebraska | $6,277 | $523 |
| Nevada | $1,257 | $105 |
| New Hampshire | $1,151 | $96 |
| New Jersey | $1,771 | $148 |
| New Mexico | $1,774 | $148 |
| New York | $1,554 | $129 |
| North Carolina | $3,749 | $312 |
| North Dakota | $2,256 | $188 |
| Ohio | $2,075 | $173 |
| Oklahoma | $7,683 | $640 |
| Oregon | $1,124 | $94 |
| Pennsylvania | $2,195 | $183 |
| Rhode Island | $2,089 | $174 |
| South Carolina | $3,100 | $258 |
| South Dakota | $3,617 | $301 |
| Tennessee | $3,045 | $254 |
| Texas | $6,715 | $560 |
| Utah | $1,454 | $121 |
| Vermont | $1,054 | $88 |
| Virginia | $2,676 | $223 |
| Washington | $1,474 | $123 |
| West Virginia | $1,620 | $135 |
| Wisconsin | $1,386 | $115 |
| Wyoming | $1,893 | $158 |
Home insurance rates reflect the expected cost of claims in each state, and the biggest driver is weather exposure. States in hurricane corridors, tornado alley or high-wildfire zones generate more frequent, more expensive claims than states with less severe weather patterns.
Local rebuild costs amplify the effect. A storm that causes $80,000 in damage in a lower-cost state may cost $130,000 to repair somewhere with higher labor and materials expenses, and insurers price that variation into premiums.
Market structure also plays a role. States where fewer carriers actively compete tend to see higher average rates, because less competition removes pricing pressure that would otherwise keep premiums down.
State averages mask the variation that happens at the city level, where local risk factors like coastal exposure, crime rates and urban density can push a city's average far above or below what the state as a whole pays.
Louisiana's state average sits at $7,304 per year, for example, but homeowners in coastal cities face premiums that climb substantially higher than that, while some inland cities come in well below it. The table below shows what homeowners in specific cities pay, giving you a more precise read on what the local market looks like.
| Montgomery | $321 | $3,855 |
| Huntsville | $350 | $4,200 |
| Birmingham | $359 | $4,304 |
| Phenix City | $328 | $3,935 |
| Rainsville | $405 | $4,861 |
| Mobile | $570 | $6,840 |
| Chunchula | $525 | $6,297 |
5 Cheapest Cities
5 Most Expensive Cities
Even within the same state, your ZIP code sends a signal to insurers about what they can expect to pay out in claims. Urban areas see more theft, more vandalism and more vehicle-related incidents than rural ones, and when insurers tally what they pay out over time in a given area, those costs influence what everyone in that area pays.
Repair costs are also higher in cities. Labor, permits and materials delivery cost more in dense metro markets, so the same damage that runs $50,000 to fix in a rural area might cost $80,000 or more to address in a city.
Among the 14 providers in our dataset, annual premiums for the same coverage profile range from $1,089 with AIG to $5,505 with Progressive, a difference of more than $4,400. That spread reflects real differences in how each company underwrites risk, what discounts they apply automatically and where they actively compete for business. Smaller regional carriers sometimes price below large national ones in their core markets, and not every national insurer writes policies in every state.
Comparing quotes from at least three providers before committing to a policy is the most direct way to confirm you're paying a competitive rate for your area.
*USAA is available only to military members, veterans and their immediate family members.
The amount of coverage you carry determines how much an insurer would need to pay in a total-loss claim, and that obligation is reflected directly in your premium. At $100,000 in dwelling coverage, the average annual premium is $1,828; at $1,000,000, it averages $10,733 per year.
Matching your dwelling coverage to your home's actual replacement cost rather than its market value helps you avoid paying for more protection than you need or carrying less than a full rebuild would require.
| $100K Dwelling / $50K Personal Property / $100K Liability | $152 | $1,828 |
| $250K Dwelling / $125K Personal Property / $200K Liability | $289 | $3,467 |
| $500K Dwelling / $250K Personal Property / $300K Liability | $490 | $5,874 |
| $750K Dwelling / $375K Personal Property / $500K Liability | $693 | $8,317 |
| $1MM Dwelling / $500K Personal Property / $1MM Liability | $894 | $10,733 |
A deductible is the portion of any claim you agree to pay yourself before your insurance responds, and choosing a higher one reduces how much risk an insurer is carrying, which they reward with a lower premium. At a $500 deductible, the average annual premium reaches $3,719; a $2,000 deductible brings that down to $3,126. The $593 annual difference may seem modest in a good year, but over five claim-free years, it amounts to nearly $3,000 in savings.
| $1,000 | $289 | $3,467 |
| $1,500 | $274 | $3,288 |
| $2,000 | $261 | $3,126 |
| $500 | $310 | $3,719 |
Your personal profile shapes your rate almost as much as your location. Credit score, claims history and home age are among the factors that can move your annual premium by hundreds or thousands of dollars.
Credit score is one of the most impactful pricing factors in home insurance, and the difference across credit tiers is substantial. Homeowners with excellent credit average $2,151 per year, while those with poor credit average $7,136 annually on the same coverage profile, a difference of $4,985. That figure is larger than the entire national average annual premium of $3,467.
California, Maryland and Massachusetts restrict or prohibit the use of credit in insurance pricing, so this factor does not apply in those states.
| Excellent | $179 | $2,151 |
| Good | $289 | $3,467 |
| Fair | $296 | $3,552 |
| Below Fair | $394 | $4,728 |
| Poor | $595 | $7,136 |
Each claim on your record signals to insurers that you're more likely to file again, and they price that risk into your renewal. A homeowner with a five-plus-year claim-free history averages $3,467 annually; one claim in the past five years raises that to $4,019, a 16% increase. Two claims in the same window push the average to $4,483 per year, which is just over $1,000 more than the claim-free baseline.
Filing smaller claims rather than handling them out of pocket is often not worth the long-term premium impact, particularly for repairs you could absorb without significant financial strain.
| Claim free for 5+ years | $289 | $3,467 |
| 1 claim in past 5 year | $335 | $4,019 |
| 2 claims in past 5 year | $374 | $4,483 |
Older homes cost more to insure because aging systems, materials and construction methods introduce more potential failure points for insurers to account for. A newer home averages $2,379 per year in our data, compared to $3,467 for a middle-aged home and $4,062 for an older one. The $1,683 difference between newer and older reflects the higher expected claim frequency and repair costs that come with age.
Upgrades like a new roof, updated electrical or modernized plumbing can offset some of the premium increase associated with an older home.
| Newer | $198 | $2,379 |
| Middle Age | $289 | $3,467 |
| Older | $339 | $4,062 |
The factors covered in this article don't capture everything that can influence your rate. Several additional property and lifestyle factors play a role, and understanding the mechanism behind each can help you identify where you might have room to lower your premium.
Insurers calculate risk partly based on how much physical space they'd need to cover in a claim. A 3,500-square-foot home has more systems, more roof area and more potential loss sources than a 1,500-square-foot one, which means a higher expected claim cost even when the dwelling coverage amounts are the same.
The roof is the part of a home most likely to generate a weather-related claim, so insurers pay close attention to its condition and age. An aging roof can raise your rate or prompt a carrier to require replacement before renewing; a newer impact-resistant roof can qualify for a named discount.
A home's exterior material affects how vulnerable it is to fire and weather damage. Brick and masonry homes absorb fire damage differently than wood-frame ones, and insurers price those structural differences into their risk assessments.
Response time matters when a fire is active. Homes farther from a fire station typically sustain more damage before help arrives, which means higher expected claim costs for insurers and higher premiums for those homeowners.
Devices that reduce the likelihood of a fire, break-in or major water incident lower an insurer's expected claim exposure. Smoke detectors, security systems, water shutoff sensors and sprinkler systems often qualify for named discounts, though not every carrier applies them automatically.
These features raise the probability of a liability claim, meaning someone gets injured on your property and your homeowners policy is called on to respond. Carriers may charge more for these exposures or require higher liability limits to cover them adequately.
MoneyGeek's average home insurance rates are built on filed rate data from Quadrant Information Services, collected directly from state insurance filings across the country. Because carriers are required by law to file their rates with state regulators before charging them, this data reflects the actual premiums available in the market, not estimates from brokers or quote comparison tools. The database covers 57 carriers and 925 ZIP codes spanning all 50 states and Washington, D.C.; in total, we analyzed 384,199,200 quotes.
To produce meaningful comparisons across states, companies and cost factors, we built our analysis around a consistent base profile. Our sample homeowner is 41 to 60 years old with good credit (769 to 792 credit score), no recent claims and standard risk. The home was built in 2000, with wood-frame construction, a composite shingle roof and standard safety features, valued at $250,000 to rebuild. The base policy covers $250,000 in dwelling protection, $125,000 in personal property and $200,000 in liability with a $1,000 deductible.
Mark Fitzpatrick, a licensed Property and Casualty (P&C) Insurance Producer in Connecticut, is MoneyGeek's resident expert in insurance and economics. He has spent nearly a decade covering the insurance market at LendingTree and MoneyGeek. There, he has analyzed hundreds of carriers and millions of rates across auto, home, renters, health and life insurance.
His work has appeared in The Washington Post, The New York Times and NPR. He draws on independent cost and consumer experience data, and no insurance company partnerships affect his recommendations.
Mark studied at Boston College and later earned a master's in economics and international relations from Johns Hopkins University. He worked in financial risk management at State Street before joining MoneyGeek. He's also a five-time “Jeopardy!” champion.
