The Best Cheap Renters Insurance

NerdWallet compared rates across the country to find the cheapest renters insurance.

Sarah SchlichterJun 28, 2021
Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.

Renters insurance is one of the most affordable types of insurance — it costs about $168 a year, on average — and if you shop around, you might be able to pay even less. But you shouldn’t have to sacrifice customer service to find a good price: The best cheap renters insurance companies offer both.

NerdWallet analyzed renters insurance rates across the country to find the cheapest companies in each state and in 25 major cities, plus average nationwide rates for seven highly rated companies.

All sample rates below are based on a policy for a 30-year-old tenant with $30,000 in personal property coverage with a $500 deductible and $100,000 in liability coverage. Your own rates will vary based on where you live, how much coverage you choose and other factors.

Cheap renters insurance from the best companies

If you’re looking to buy cheap renters insurance without scrimping on customer service, consider one of NerdWallet’s best renters insurance companies. We compared rates for seven of these companies across various U.S. states and Washington, D.C., to discover which ones were cheapest on average.

Company

NerdWallet rating

Annual premium

4.5

NerdWallet rating 

$128

Auto-Owners

4.0

NerdWallet rating 

$136

American Family

4.0

NerdWallet rating 

$145

4.0

NerdWallet rating 

$150

4.5

NerdWallet rating 

$180

4.0

NerdWallet rating 

$208

USAA*

5.0

NerdWallet rating 

$132

*USAA policies are available only to active military, veterans and their families.

We don't have sufficient pricing data to provide average rates for the remaining companies in NerdWallet’s best renters list, including Amica, Assurant, The Hartford, Homesite, Lemonade, Liberty Mutual and Travelers.

The cheapest renters insurance in every state

In many states, the most affordable renters insurance rates come from small regional carriers rather than the bigger companies listed above. See the table below for the cheapest insurer in your state.

State

Company

Average annual cost

Alabama

Cincinnati Insurance

$141

Alaska

Umialik

$71

Arizona

State Farm

$100

Arkansas

State Farm

$161

California

Auto Club of SoCal (AAA)

$102

Colorado

Auto-Owners

$76

Connecticut

Allstate

$93

Delaware

State Farm

$92

Florida

Florida Farm Bureau

$109

Georgia

Georgia Farm Bureau

$118

Hawaii

State Farm

$105

Idaho

Oregon Mutual

$80

Illinois

Auto Club Group (AAA)

$80

Indiana

Buckeye

$100

Iowa

Encova

$74

Kansas

State Farm

$104

Kentucky

Auto Club Group (AAA)

$122

Louisiana

The Hanover

$150

Maine

MetLife

$98

Maryland

MetLife

$104

Massachusetts

Quincy Mutual

$86

Michigan

Frankenmuth

$102

Minnesota

Auto Club Group (AAA)

$82

Mississippi

Mississippi Farm Bureau

$174

Missouri

Encompass

$116

Montana

State Farm

$105

Nebraska

State Farm

$85

Nevada

Country Financial

$128

New Hampshire

Allstate

$88

New Jersey

Cumberland Mutual

$102

New Mexico

State Farm

$99

New York

NYCM

$61

North Carolina

North Carolina Farm Bureau

$93

North Dakota

MetLife

$74

Ohio

Western Reserve

$71

Oklahoma

State Farm

$148

Oregon

CIG

$93

Pennsylvania

Penn National

$60

Rhode Island

Providence Mutual

$109

South Carolina

Auto-Owners

$104

South Dakota

State Farm

$70

Tennessee

Tennessee Farm Bureau

$114

Texas

Allstate

$108

Utah

Allstate

$89

Vermont

Concord Group

$75

Virginia

Cincinnati Insurance

$75

Washington

Pemco

$78

Washington, D.C.

Allstate

$139

West Virginia

State Farm

$105

Wisconsin

Auto Club Group (AAA)

$71

Wyoming

Nationwide

$87

Note: USAA is excluded from this list because its policies are available to active military, veterans and their families only, not the general public. However, USAA offered the cheapest average renters insurance rates in Indiana, Kentucky, Mississippi, Missouri, Nebraska, New Jersey, Nevada, Tennessee, Texas and Washington, D.C.

Want more options? Select your state below to see the three cheapest companies for renters insurance there.

Cheap renters insurance in 25 major U.S. cities

Those who live in a major city can see the cheapest company for renters insurance in their area in the table below.

City

Cheapest company

Average annual cost

Atlanta

Georgia Farm Bureau

$123

Austin

Allstate

$93

Charlotte

North Carolina Farm Bureau

$98

Chicago

State Farm

$107

Columbus

Western Reserve

$71

Dallas

Allstate

$122

Denver

Auto-Owners

$84

El Paso

Allstate

$98

Fort Worth

Allstate

$111

Houston

Allstate

$119

Indianapolis

Buckeye

$100

Jacksonville

Travelers

$104

Las Vegas

Country Financial

$140

Los Angeles

Auto Club of SoCal (AAA)

$127

Louisville

Auto Club Group (AAA)

$119

Memphis

State Farm

$128

New York City

NYCM

$79

Oklahoma City

American National

$150

Philadelphia

Erie

$93

Phoenix

State Farm

$128

San Antonio

Allstate

$110

San Diego

Auto Club of SoCal (AAA)

$79

San Francisco

CIG

$130

San Jose

CSAA (AAA)

$98

Seattle

Pemco

$80

Note: USAA is excluded from this list because its policies are available to active military, veterans and their families only. However, it offered the cheapest renters insurance rates in Chicago, Dallas, El Paso, Fort Worth, Houston, Indianapolis, Las Vegas, Louisville, Phoenix and San Antonio.

Cheap renters insurance for those with poor credit

In most states, insurers use credit-based insurance scores, which are similar but not identical to traditional credit scores, to help set renters insurance rates. Those with poor credit tend to pay more for renters insurance — often significantly more.

Using credit to set homeowners, renters, condo and mobile home insurance prices is not allowed in California, Maryland, Massachusetts or Washington.

Below, see which widely available insurance companies offer the lowest average rates for renters with poor credit.

Company

Average annual cost

Average monthly cost

Allstate

$233

$19

State Farm

$234

$20

American Family

$263

$22

MetLife

$278

$23

Nationwide

$279

$23

Cheap renters insurance for those with claims

Once you have one renters insurance claim on your record, you’ll typically pay more because insurers see you as more likely to file another claim. Below are the cheapest widely available companies for renters who’ve filed two different types of claims.

Cheapest companies for renters with water damage claims

Company

Average annual cost

Average monthly cost

Auto-Owners

$136

$11

State Farm

$141

$12

Allstate

$159

$13

American Family

$170

$14

USAA*

$176

$15

*USAA policies are available only to active military, veterans and their families.

Cheapest companies for renters with theft claims

Company

Average annual cost

Average monthly cost

Auto-Owners

$136

$11

State Farm

$141

$12

Allstate

$170

$14

Nationwide

$227

$19

USAA*

$178

$15

*USAA policies are available only to active military, veterans and their families.

Why is renters insurance so cheap?

Renters insurance is significantly cheaper than homeowners insurance — which costs nearly $1,600 a year on average — because the policy covers the contents of your house or apartment, not the cost of rebuilding the entire structure.

How to get cheap renters insurance

Follow these tips to save money on your renters insurance policy:

  1. Shop around. The cheapest insurer in this analysis might not be the cheapest for you. Get renters insurance quotes from at least three companies, and make sure you’re comparing the same levels of coverage from each.

  2. Bundle your policies. Many insurers offer a bundling discount when you buy more than one policy, such as renters and auto insurance.

  3. Add safety or security devices to your home. Many insurers reduce your premium if your home has smoke detectors, burglar alarms, sprinkler systems or other devices that reduce your risk of fire or theft.

  4. Ask about other discounts. Depending on which insurance company you choose, you might qualify for additional discounts by setting up autopay for your premiums, receiving your bills electronically and being a nonsmoker or a retiree.

  5. Choose a higher deductible. If you’re willing to pay more out of your own pocket before insurance kicks in to cover a property claim, you’ll generally save money on your premium. Just make sure you’ll have access to enough cash to cover the deductible you choose.

Methodology

NerdWallet averaged rates for 30-year-old men and women for multiple insurance companies in every ZIP code across all 50 states and Washington, D.C. We also averaged rates by city. Sample tenants were nonsmokers with good credit living in a two-bedroom apartment. They had a $500 deductible and the following coverage limits:

  • $30,000 in personal property coverage.

  • $100,000 in liability coverage.

  • $10,000 in additional living expenses coverage.

  • $1,000 in medical payments coverage.

We used the same assumptions for all other renter profiles, with the following exceptions:

  • We changed the credit tier from “good” to “poor” as reported to the insurer to see rates for renters with poor credit. In states where credit isn’t taken into account, we used only rates for “good” credit.

  • For renters with a history of claims, we added a single theft or water damage claim to their record.

These are sample rates generated through Quadrant Information Services. Your own rates will be different.

Get more smart money moves – straight to your inbox
Sign up and we’ll send you Nerdy articles about the money topics that matter most to you along with other ways to help you get more from your money.