Average Cost of Renters Insurance in 2025

Cost is an important factor when shopping for renters insurance, and knowing average rates can help you find the best deal. The average cost of renters insurance is $12 per month, or $147 per year. But rates can vary significantly based on location and coverage amount, among other factors.

**Note: The cost above is based on a policy with $20K of personal property coverage, $100K of liability coverage and a $1,000 deductible. The cheapest renters insurance for you could be greater or less than the average.

Coverage level impacts your costs. For instance, $50K in personal property coverage averages $242 per year, which is $95 more than $20K in coverage limits. If you have expensive belongings, you'll pay more for higher coverage limits. If you own fewer valuables, lower coverage amounts reduce your monthly costs. Renters insurance rates increase with higher coverage limits:

Your deductible choice lets you balance monthly costs with what you'd pay out-of-pocket during a claim. Here's what this looks like in real numbers: A renters insurance policy with $20,000 in personal property coverage and a $500 deductible costs an average of $159 per year. Bump that deductible to $2,000, and you'll save $26 annually.

The table below shows how different deductible amounts affect your premium across various coverage levels.

Renters insurance rates vary dramatically between companies. Amica offers the cheapest coverage for $20,000 in personal property at just $99 annually, while Travelers charges $257 — a $158 difference for the same protection. 

Shopping around can save you real money. The table below shows across different providers and coverage amounts.

The cost of renters insurance can vary significantly based on location. A big factor to consider is if your rental is located in a disaster-prone state. If it does, you might encounter rates that are higher than the national average.

Your credit score significantly affects your renters insurance rates. People with poor credit pay an average of $416 per year for $20,000 in personal property coverage — $269 more than those with good credit scores.

If your credit needs work, shopping around becomes even more important because companies weigh credit differently. The table below shows how your credit score impacts rates across different coverage levels.

Your credit score directly impacts your renters insurance rates. Insurance companies view good credit as a sign you're less likely to file claims, so they reward you with lower premiums. Knowing this connection helps you understand why your rates might be higher than expected and what you can do about it.

Your claims history directly affects your renters insurance rates. File one claim in the past five years, and you'll pay around $186 per year for $20,000 in personal property coverage. File two claims, and your rates jump $84 higher than someone with a clean record.

The table below shows exactly how your claims history impacts premiums across different coverage levels.

Your renters insurance rate depends on both your coverage choices and personal circumstances. Higher coverage amounts for personal property and liability naturally cost more, and add-ons like jewelry coverage increase your premium. Your location, credit score and natural disaster risk in your area also influence what you'll pay.

• Personal Property Coverage: Covers your electronics, clothing, furniture and other belongings. Choose a limit based on what you actually own. If you have expensive jewelry or collectibles, you'll need add-on coverage for full protection.
• Liability Coverage: Protects you if someone gets hurt in your rental or you accidentally damage someone else's property. Standard policies start at $100,000, but consider higher limits if you have assets to protect. More coverage means higher premiums.
• Loss of Use Coverage: Pays for temporary housing if your rental becomes unlivable due to fire, water damage or other covered events. This covers hotel bills, temporary rent and meals while repairs happen.
• Deductible: What you pay before insurance covers the rest of a claim. Higher deductibles lower your premium but mean more out-of-pocket costs when you file a claim.

The average cost of renters insurance also depends on several personalized factors that reflect your unique circumstances and choices. Some situations impact the cost of your renters insurance, allowing you to tailor your policy to fit your needs and budget.

• Location: Location is another significant factor in the cost of renters insurance. Factors like crime, weather and natural disaster risk can result in higher costs.
• Credit Score: Your credit score may also influence your rate, with a higher credit score resulting in a lower monthly premium. However, not all states allow companies to use credit scores to determine renters insurance rates.
• Fire & Security Devices: With some renters insurance policies, installing fire and security devices can lower your monthly premium.

Renters insurance costs depend on various factors, which insurers weigh differently. The best way to get accurate estimates of how much your renters insurance policy will likely costs, compare personalized quotes from multiple companies. You can use our renters insurance calculator below to narrow down your options.

Renters insurance costs an average of $12 per month or $147 per year for $20,000 in personal property coverage. Your rate depends on your coverage amounts, deductible, location and insurance company. MoneyGeek analyzed rates across all 50 states and hundreds of cities to find these averages, but your actual premium will vary based on your specific situation.

For about $1 a day, renters insurance protects your belongings and provides liability coverage if someone gets injured in your rental. Most renters find the peace of mind worth the small monthly cost.

Below are answers to common questions to help you understand how insurers determine renters insurance costs.

MoneyGeek partnered with Quadrant Information Services to analyze renters insurance quotes across all 50 states. We used a standard profile to determine average costs.

Methodology Our renters insurance rate analysis uses data from Quadrant Information Services.

Renters Insurance Profile Our base analysis used a renter with:

• Good credit score
• No claims in the past five years

We also analyzed rates for renters with different credit scores and claims histories.

Coverage Details Average rates are based on:

• $20,000 personal property coverage
• $100,000 personal liability coverage
• $1,000 deductible

We also analyzed broader coverage options with personal property coverage from $20,000 to $100,000, liability coverage from $100,000 to $300,000 and deductibles from $500 to $2,000.