Best Homeowners Insurance Companies in 2024 (Our Top 9 Picks)
State Farm, Erie, and Allstate are the best homeowners insurance companies. Allstate and State Farm are available in all 50 states starting at $105/month. Only State Farm and Erie include replacement coverage, but Allstate offers the biggest home insurance discounts up to 25% for security systems and bundling policies.
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Jeff Root
Licensed Insurance Agent
Jeff is a well-known speaker and expert in life insurance and financial planning. He has spoken at top insurance conferences around the U.S., including the InsuranceNewsNet Super Conference, the 8% Nation Insurance Wealth Conference, and the Digital Life Insurance Agent Mastermind. He has been featured and quoted in Nerdwallet, Bloomberg, Forbes, U.S. News & Money, USA Today, and other leading...
Licensed Insurance Agent
UPDATED: Sep 4, 2024
It’s all about you. We want to help you make the right legal decisions.
We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes should be easy. This doesn’t influence our content. Our opinions are our own.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything legal and insurance related. We update our site regularly, and all content is reviewed by experts.
UPDATED: Sep 4, 2024
It’s all about you. We want to help you make the right legal decisions.
We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes should be easy. This doesn’t influence our content. Our opinions are our own.
On This Page
The best homeowners insurance companies are State Farm, Erie, and Allstate. Both State Farm and Erie include replacement coverage in their standard policies.
Allstate charges extra for replacement coverage but offers huge discounts for insurance bundles and home security systems to help lower rates. Erie and State Farm also offer sizeable discounts.
Our Top 9 Picks: Best Homeowners Insurance Companies
Company Rank A.M. Best Home Security Discount Best For Jump to Pros/Cons
#1 B 15% Comprehensive Coverage State Farm
#2 A+ 20% Customer Satisfaction Erie
#3 A+ 20% Extensive Discounts Allstate
#4 A++ 15% Military Benefits USAA
#5 A+ 20% Exceptional Service Amica
#6 A+ 20% Senior Focus The Hartford
#7 A 10% Technology Driven Lemonade
#8 A 20% Flexible Policies American Family
#9 A+ 15% Personalized Service Country Financial
You’ve found the best homeowners insurance guide. Keep reading to compare the best and worst homeowners insurance companies. We provide a full company review and a list of insurance endorsements. Enter your ZIP code to compare quotes by state so you can find the most affordable home coverage.
- State Farm is the best homeowners insurance available in all 50 states
- Erie and Amica are the best home insurance companies for customer service
- Allstate has the best home and auto insurance bundles for 25% off
#1 – State Farm: Top Pick Overall
Pros:
- ADT Discount: Free ADT installation and equipment plus a 6% home insurance discount.
- Big Multi-Policy Discount: Save 17% when you bundle your auto and homeowners insurance.
- Replacement Cost Included: Standard home insurance policies automatically come with replacement cost instead of actual cash value.
- Affordable Rates: State Farm is one of the cheapest national home insurance companies at $133/month. Compare quotes in our State Farm review.
Cons:
- Financial Rating Downgrade: A.M. Best downgraded State Farm financial rating from “A” to “B” due to increased claims.
- Regional Discounts: Home insurance dscounts vary by state. For instance, the ADT discount is only available in 14 states.
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#2 – Erie: Best Comprehensive Insurance Coverage
Pros:
- Replacement Coverage Included: Base policies cover hard-to-replace items like passports and deeds with fewer restrictions than other companies.
- Pet Coverage Included: Standard home insurance includes up to $500 for pet injuries (including birds and fish).
- Big Savings for New Homeowners: First-time buyers get 12% off the first few years of their policy.
- Cheap Rates: Erie home insurance is cheaper than most companies at $129/month. Read our Erie vs. MetLife insurance review to learn more.
Cons:
- Regional Coverage: Erie Insurance is only available in 12 states and Washington, D.C.
- No Online Quotes: Speak with an agent to get homeowners insurance quotes.
#3 – Allstate: Best For Home Insurance Discounts
Pros:
- Home Security Discount: Home safety items like fire extinguishers, deadbolts, and alarm systems can save you up to 20%.
- Biggest Bundle Discount: Homeowners save 25$ when bundling home and auto policies.
- Online Tools: Research home insurance claims in your neighborhood and assess risks in and around your home that impact rates before you buy.
- National Availability: Allstate home insurance is available in all 50 states. Compare coverage near you in our Allstate review.
Cons:
- Expensive Premiums: Allstate is the most expensive homeowners insurance company on this list at $142/month.
- Replacement Coverage Costs Extra: Base home insurance policies cover ACV only.
#4 – USAA: Best for Homeowners in the Military
Pros:
- National Availability: USAA home insurance is available in all 50 states. Read our USAA review to find coverage near you.
- Identify Theft Coverage: Up to $5000 in Identity theft is included in all standard policies.
- Military Gear Coverage: No home insurance deductibles for damaged military gear or clothing inside the home.
- Wildfire Response System: Homeowners in high-risk states like California are automatically enrolled in this system that monitors and alerts policyholders of wildfires in their area.
Cons:
- Exclusive Availability: Only military members and their immediate families can buy USAA home insurance.
- Small Discounts: Competitors provide bigger homeowners insurance discounts for common things like bundling policies and being claim-free.
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#5 – Amica: Exceptional Customer Service
Pros:
- Smart House Discounts: Amica partners with different home security and sensor companies to offer free equipment, installs, and home insurance discounts.
- Dividend Plans: Amica returns a portion of any unused premiums to its policyholders every year.
- Excellent Customer Service: Top two for customer satisfaction in annual J.D. Power surveys. Get full rankings in our Amica home insurance review.
Cons:
- Fewer Policy Options: Amica doesn’t offer as many homeowners insurance endorsements as its competitors.
- Rate Increases: Reddit users report rate increases in high-risk states like Texas, California, and Florida.
#6 – The Hartford: Best for Senior Homeowners
Pros:
- AARP Discounts: AARP members can save up to 20% on homeowners insurance.
- Eco-Friendly Benefits: Green homes get a 10% increase on policy limits
- Stable Financial Strength: Rated “A+” by A.M. Best. Compare Hartford vs. Auto Club Enterprises for a full review.
Cons:
- Regional Availability: The Hartford home insurance is only available in 37 states.
- Low Customer Satisfaction: Ranks below average for home insurance customer service and claims according to J.D. Power.
#7 – Lemonade: Best Online Service
Pros:
- Cheapest Rates: Cheapest homeowners insurance company on our list at $121/month
- Excellent Financial Strength: Rated “A-” by A.M. Best. Get full ratings in our Lemonade insurance review.
- Online Service Suite: Lemonade exclusively operates through its website and mobile app. Homeowners who prefer buying from agents should shop with other companies.
Cons:
- Regional Availability: Home insurance is only in 23 states and Washington, D.C.
- Smaller Discounts: Homeowners insurance discounts with other companies are two or three times bigger than Lemonade discounts.
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#8 – American Family: Best Endorsements for Flexible Coverage
Pros:
- Unique Family Coverage: Standard home insurance policies protect against damages caused by kids or pets.
- No Banned Dog List: AmFam homeowners insurance doesn’t restrict dog breeds.
- Long List of Endorsements: Homeowners can add affordable riders to cover home-based businesses and short-term rentals, renovations, and more.
Cons:
- Regional Availability: Homeowners insurance is only in 19 states.
- Poor Customer Service: American Family receives more customer complaints than other regional providers. Read American Family Insurance vs. Travelers for our full review.
#9 – Country Financial: Best for a Personalized Experience
Pros:
- Great Customer Service: Top five homeowners insurance company for customer satisfaction.
- Premier Plans: Premier homeowners insurance extends covered perils to ones not explicitly listed in the policy.
- Claim Forgiveness: Country Financial won’t raise home insurance rates if you haven’t filed a claim in five years.
Cons:
- Regional Availability: Coverage is only available in 19 states.
- No Online Quotes: Excellent personalized service comes at the cost of online convenience. Contact an agent to compare home insurance quotes.
How to Buy Homeowners Insurance
Buying cheap home coverage is easy — enter your ZIP code to find the best companies near you or visit the website of any of the top providers on our list.
Still, it helps to know how much homeowners insurance you need. Keep reading tips on finding affordable home insurance.
Choosing Coverage Limits
Home insurance policies come with multiple layers of coverage to protect the home, your personal belongings, and provide liability protection.
Homeowners Insurance Coverage Explained
Home Insurance Policy Coverage
Dwelling Coverage Pays to fix or rebuild your house and attached structures, like a garage or deck
Other Structures Pays for damage to property not attached to your house, like a shed, fence, or gazebo.
Loss of Use Pays for hotels, food, and other extra costs if you can't stay in your home after a claim.
Personal Property Pays to fix or replace personal items like clothes, electronics, and furniture.
Personal Liability Pays legal fees and settlements if you're used by someone injured on your property.
Medical Payments Pays medical bills for non-household members injured on your property.
Decide on the limits you want for each type of coverage as you shop around. A rule of thumb for home insurance is to buy enough to cover at least 80% of your home’s value. Most mortgage lenders and homeowners associations require it.
The average home in the U.S. costs $450,000, so you’ll need a $320,000 policy to avoid an underinsured homeowners penalty. However, this is only the bare minimum.
Most homeowners increase policy limits to factor in local risks like weather and crime rates.
Angie Watts Licensed Real Estate Agent
You also need to decide if you want replacement coverage or actual cash value. Choosing replacement cost will increase your rates at most companies, but State Farm and Erie offer it standard.
Erie home insurance goes above and beyond most companies by providing replacement cost for hard-to-replace items like passports and marriage certificates.
Picking a Policy
Once you know how much coverage you need, check out the eight types of homeowners insurance and pick the one that best fits your home.
Types of Homeowners Insurance Policies and What They Cover
Type Name Coverage
HO-1 Basic Form Only covers 10 named perils, including fire, theft, and falling objects.
HO-2 Broad Form Covers HO-1 perils plus certain water damages and electric surges
HO-3 Special Form Open coverage for all perils except listed exclusions
HO-4 Contents Broad Form Renters insurance for personal belongings, liability, and loss of use
HO-5 Comprehensive Form Same open coverage as HO-3 at replacement value
HO-6 Unit-Owners Form Condo insurance for personal belongings, liability, and loss of use
HO-7 Mobile Home Form Mobile home policy with same open coverage as HO-3
HO-8 Modified Coverage Form Historic home coverage for dwellings more than 40 years old
HO-3 broad policies are the most popular since they cover every peril unless it’s explicitly excluded from the policy. Exclusions are clearly listed on your policy.
The most common home insurance exclusions are earthquakes and floods. You can buy separate riders or endorsements to cover those specific damages.
Adding Endorsements
A home insurance endorsement is an add-on to your regular policy for extra protection. They help cover special situations, like earthquakes, floods, or power surges.
Here is a common list of homeowners insurance endorsements. Depending on state laws or your mortgage lender, some of these endorsements might be required:
- Extended Replacement Cost: Increases policy limits by 20% or more if repair costs rise after a disaster.
- Hail/Windstorm Protection: Additional protection for hail and wind damages not typically covered in standard policies.
- Inflation Protection: Automatically raises policy limits to reflect home and building cost increases over time.
- Sewer/Water Backup: Covers damage to your home or other structures but doesn’t always pay to repair or replace septic tanks, water heaters, etc.
These endorsements can enhance your homeowners insurance policy, ensuring you are better protected against various risks and potential damages.
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Compare Homeowners Insurance Rates
Where you live has the biggest impact on home insurance. Only a handful of providers operate in all 50 states, so use the map below to estimate homeowners insurance costs where you live.
Smaller, regional providers unique to where you live often have better customer service and cheaper rates despite fewer policy options. See how regional providers on our list of the top homeowners insurance companies compare to national insurers when it comes to rates:
Homeowners Insurance Monthly Rates by Provider and Coverage
Insurance Company $300,000 Policy $400,000 Policy $500,000 Policy
Allstate $1,300 $1,700 $2,100
American Family $1,240 $1,590 $1,980
Amica $1,180 $1,530 $1,920
Country Financial $1,220 $1,570 $1,960
Erie $1,200 $1,550 $1,950
Farmers $1,290 $1,640 $2,030
Lemonade $1,100 $1,450 $1,800
State Farm $1,250 $1,600 $2,000
The Hartford $1,270 $1,620 $2,010
USAA $1,150 $1,500 $1,850
Inflation, weather, crime rates, and the number of claims all impact home insurance prices in your area. Always compare quotes from at least three different companies to get an accurate idea of what your neighbors are paying for coverage.
How to Save Money on Homeowners Insurance
Discounts are the easiest way to save money on homeowners insurance. Most providers reduce rates for homeowners who pay online or renew their policy every year, but the biggest savings happen when you qualify for home security and bundling discounts.
Best Homeowners Insurance Providers and Discounts
Company Multi-Policy Home Security System First-Time Buyer Early Quote
Allstate 25% 20% 10% 10%
American Family 15% 10% 7% 5%
Amica 15% 10% 7% 5%
Country Financial 20% 15% 10% 8%
Erie 20% 15% 12% 8%
Lemonade 5% 5% 2% 2%
State Farm 17% 12% 10% 7%
The Hartford 18% 12% 10% 8%
USAA 10% 5% 8% 3%
Allstate offers the biggest discounts — up to 25% for bundling home and auto. It also stacks different home security discounts that add up to 20% in annual savings.
But even if you don’t qualify for half the home insurance discounts you see, you can still lower your premiums. Follow these tips to get cheaper rates on your policy:
- Upgrading Home Security: Enhance your home security with alarm systems and smoke detectors to reduce insurance costs.
- Higher Deductibles: Choosing to pay more out-of-pocket when you file a claim will lower your monthly costs, just be sure to pick a deductible you can afford.
- Good Credit History: Insurance companies consider credit history as an indicator of risk. A good credit score demonstrates financial responsibility and better rates.
- Remain Claims-Free: Insurers reward homeowners who don’t file claims with cheaper rates and claims-free discounts.
Maintaining a good credit and insurance history will do wonders for your premiums. Insurance companies will consider you low-risk, and you’ll see fewer increases at your next policy renewal.
Best Homeowners Insurance Companies
State Farm and Erie are the best homeowners insurance companies for automatically providing replacement cost at a competitive price. Allstate may cost more, but it offers the biggest discounts for home security, multi-policy, and getting early quotes.
Wildfires can happen quickly. Get tips on safety, evacuation, go bags, and ways to help protect your home. https://t.co/wYi0GKdHOM
— State Farm (@StateFarm) July 29, 2024
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Frequently Asked Questions
Which insurance company is best for home insurance?
State Farm is the best homeowners insurance company for customer service, national availability, and comprehensive coverage.
Who is the top home insurance company in America?
State Farm is the most popular U.S. insurance provider with almost 17% of the market share. Read our State Farm insurance review.
What is the best alternative to State Farm?
Erie is the best home insurance company in 12 states. Enter your ZIP code to find coverage near you. If Erie, isn’t available, compare Allstate insurance quotes for competitive discounts.
Which homeowners insurance company has the highest customer satisfaction?
Erie and Amica are the top two home insurance companies for customer service.
What insurance company is most reliable?
Amica and Erie are the most reliable homeowners insurance companies when it comes to processing claims and handling customer requests.
Which insurance company has the most complaints?
Allstate has more than 2.5 times more complaints than other national homeowners insurance companies. Read our Allstate review to find out why.
Which insurance company has the fewest complaints?
Amica, American Family, and The Hartford all have fewer home insurance complaints on average.
What is the average deductible for home insurance?
Most homeowners choose an insurance deductible between $1,000-$2,000.
What is the 80% rule in homeowners insurance?
You must insure your home for at least 80% of its replacement cost to buy a policy. Your mortgage lender may require higher limits. Find out how much homeowners insurance you need.
What insurance is the most commonly purchased homeowners insurance?
Broad-form HO-3 policies are the most common type of homeowners insurance since they cover a long list of perils and only exclude damages clearly listed in the policy.
Are home insurance rates going up?
Homeowners insurance rates are increasing in many states due to inflation and the high costs of lumber and other building supplies.
Is replacement cost home insurance worth it?
Replacement cost coverage will pay you the true value of your property if you ever need to file a claim or total loss, and it’s in your best interest to have it since the best homeowners insurance companies offer replacement coverage standard at no additional cost per month.
Enter your zip code below to view companies that have cheap insurance rates.
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Jeff Root
Licensed Insurance Agent
Jeff is a well-known speaker and expert in life insurance and financial planning. He has spoken at top insurance conferences around the U.S., including the InsuranceNewsNet Super Conference, the 8% Nation Insurance Wealth Conference, and the Digital Life Insurance Agent Mastermind. He has been featured and quoted in Nerdwallet, Bloomberg, Forbes, U.S. News & Money, USA Today, and other leading...
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything legal and insurance related. We update our site regularly, and all content is reviewed by experts.
