The Best Homeowners Insurance in Illinois for 2021

Homeowners in the Land of Lincoln can expect to pay a little less than the national average for their insurance.
Doug SiborSep 22, 2021

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If you're a homeowner in Illinois, you'll typically pay a little less than the national average for your home insurance. At an average of $1,481 per year, home insurance in Illinois costs about $100 less than the national average of $1,585.

NerdWallet looked at 10 different insurers in the state to determine the best homeowners insurance in Illinois. The rates in this analysis are estimates based on many factors, so your rate may differ.

Best homeowners insurance companies in Illinois

Several of NerdWallet's best home insurance companies of 2021 offer policies in Illinois. Here they are, along with their average annual premiums:

Company

NerdWallet rating

Average annual premium

Chubb

5.0

NerdWallet rating 

$1,950

Country Financial

4.5

NerdWallet rating 

$2,136

State Farm

4.5

NerdWallet rating 

$914

USAA*

4.5

NerdWallet rating 

$1,305

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

You can customize your homeowners policy with numerous add-ons, but below are the types of coverage that generally come standard:

Type of coverage

What it does

Dwelling

Pays to repair or rebuild the structure of your home.

Other structures

Covers damage to unattached structures such as a shed or fence.

Personal property

Pays to repair or replace personal belongings such as furniture or clothing.

Additional living expenses

Pays for hotel stays, restaurant meals or other expenses if you have to live elsewhere while your home undergoes covered repairs.

Liability

Covers legal expenses and damages if you're responsible for injuries to other people or their property.

Medical payments

Covers injuries to guests in your home, regardless of fault.

Here's a little bit more about each company and the extras they offer.

Chubb

Although Chubb is one of the most expensive insurers in the state, its standard policy includes coverage options for which others often charge extra. For example, homeowners who buy Chubb's Masterpiece policy can receive the full amount it costs to replace damaged or destroyed personal items rather than the items' depreciated value.

Country Financial

Country Financial offers three different levels of homeowners insurance. Its Premier level includes coverage that's unique to Country Financial, like paying to repair damage caused by household accidents such as countertop burns or paint spills. Country Financial also offers a sizable number of add-ons like coverage for earthquake damage and expenses associated with identity theft.

State Farm

State Farm's standard "increased dwelling limit" coverage may appeal to homeowners because of the financial cushion it provides if you need to rebuild your home. As long as the home is insured for the amount State Farm estimates it'll cost to replace it, State Farm provides up to an additional 20% of that amount should costs go up while rebuilding.

USAA

If you're an active military member or a veteran, or if you're a family member of one, USAA offers several benefits that normally cost extra from other insurers. For example, policyholders in most states are eligible for identity theft coverage and replacement cost for damaged or stolen personal items.

Cheapest homeowners insurance rates in Illinois

NerdWallet looked at the rates from each insurer in all 1,419 ZIP codes in Illinois to find the lowest home insurance premiums in the state. We found a statewide average annual premium of $1,481, but your rate may vary depending on where you live. The difference between the cheapest and most expensive rates in Illinois was over $1,000 per year.

Here are the five cheapest homeowners insurance rates in Illinois:

Company

Average annual premium

State Farm

$914

MetLife

$953

Allstate

$1,209

USAA

$1,305

Hastings Mutual

$1,362

And here's a look at all the available rates:

What to know about homeowners insurance in Illinois

Here are a few things you'll want to keep in mind as you evaluate your options for home insurance in Illinois:

  • You should consider flood insurance. Flood damage is not typically covered by homeowners insurance, so you'll likely need a separate flood insurance policy in order to be covered. A flood insurance policy can be a good idea — especially if you live in an area prone to flooding. FEMA's flood maps can help tell you the flood risk at your address.

  • Tornadoes might be a threat. Illinois averages more than 50 tornadoes per year, with most occurring in the late spring and early summer. A standard homeowners insurance policy typically covers damage caused by a tornado, along with any additional living expenses you might have if you're temporarily displaced from your home because of tornado damage.

  • Your rate will vary depending on where you live. Generally, the farther south you live in Illinois, the higher your average annual home insurance premium. To see the average rate where you live, here's the county-by-county breakdown:

Methodology

NerdWallet averaged rates for 40-year-old men and women from a variety of insurance companies in every ZIP code across the state. Sample homeowners were nonsmokers with good credit living in a single-family, two-story home built in 1983. They had a $1,000 deductible and the following coverage limits:

  • $300,000 in dwelling coverage.

  • $30,000 in other structures coverage.

  • $150,000 in personal property coverage.

  • $60,000 in loss of use coverage.

  • $300,000 in liability coverage.

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

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