The Best Home Insurance in Iowa for 2023

We analyzed the cheapest rates and top companies for home insurance in Iowa.
Sarah Schlichter
Kayda Norman
By Kayda Norman and  Sarah Schlichter 
Published
Edited by Caitlin Constantine

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The average cost of homeowners insurance in Iowa is $1,790 per year, or about $149 per month, according to a NerdWallet analysis. That’s slightly less than the national average of $1,820 per year.

We’ve analyzed rates and companies across the state to find the best homeowners insurance in Iowa.

Note: Some insurance companies included in this article may have made changes in their underwriting practices and no longer issue new policies in your state. Even if an insurer serves your state, it may not write policies for all homes in all areas.

Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our writing and data analyses. You can trust the prices we show you because our data analysts take rigorous measures to eliminate inaccuracies in pricing data and may update rates for accuracy as new information becomes available.

We include rates from every locale in the country where coverage is offered and data is available. When comparing rates for different coverage amounts and backgrounds, we change only one variable at a time, so you can easily see how each factor affects pricing.

Our sample homeowner had good credit, $300,000 of dwelling coverage, $300,000 of liability coverage and a $1,000 deductible.

The best homeowners insurance in Iowa

If you’re looking to buy homeowners insurance from a well-rated national brand, consider one of these insurers from NerdWallet’s list of the Best Homeowners Insurance Companies.

Company

NerdWallet star rating

Average annual rate

5.0

NerdWallet rating 

$1,630

5.0

NerdWallet rating 

$1,960

4.5

NerdWallet rating 

$1,985

4.5

NerdWallet rating 

$2,390

5.0

NerdWallet rating 

$2,110

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

More about the best home insurance companies in Iowa

See more details about each company to help you decide which one is best for you.

insurance-product-card-logo

State Farm

5.0

NerdWallet rating 
Well-established insurer with a lengthy list of coverage options.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Fewer than expected
insurance-product-card-logo

State Farm

5.0

NerdWallet rating 
Well-established insurer with a lengthy list of coverage options.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Fewer than expected

State Farm is a great choice for homeowners who like to work directly with a representative, as the company sells policies through a wide network of agents. Its attention to customer service has paid off; the company has fewer customer complaints to state regulators than expected for a company of its size.

State Farm offers a free Ting device as a perk for home insurance policyholders. Ting is a smart plug that monitors your home’s electrical network to help prevent fires.


insurance-product-card-logo

Farmers

5.0

NerdWallet rating 
Those seeking benefits like diminishing deductibles and claims forgiveness may want to consider Farmers.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Fewer than expected
insurance-product-card-logo

Farmers

5.0

NerdWallet rating 
Those seeking benefits like diminishing deductibles and claims forgiveness may want to consider Farmers.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Fewer than expected

Homeowners policies from Farmers may include two valuable types of insurance: extended dwelling and replacement cost coverage. Extended dwelling coverage gives you extra insurance for the structure of your house, while replacement cost coverage offers higher reimbursement for stolen or destroyed belongings.

Some Farmers policies also come with perks that can save you money. For example, with claim forgiveness, Farmers won’t raise your rate for a claim as long as you haven’t filed one within the past five years.


insurance-product-card-logo

American Family

4.5

NerdWallet rating 
Comprehensive coverage for homeowners in 19 states, mostly in the West and Midwest.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Fewer than expected
insurance-product-card-logo

American Family

4.5

NerdWallet rating 
Comprehensive coverage for homeowners in 19 states, mostly in the West and Midwest.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Fewer than expected

Founded in Madison, Wisconsin, American Family receives fewer consumer complaints than expected for a company of its size. You may be able to customize your policy with optional add-ons such as identity theft, equipment breakdown or service line coverage, which pays for repairs to water, power or other underground lines that run to your house.

Homeowners may be able to save on their premiums by installing smart-home devices, bundling multiple policies or setting up automatic payments.

Get more information in our American Family homeowners insurance review.


insurance-product-card-logo

Nationwide

5.0

NerdWallet rating 
Nationwide’s wide variety of coverage options and low number of complaints make it a solid choice for many consumers.

Discounts

Great set of discounts

NAIC complaints

Fewer than expected
insurance-product-card-logo

Nationwide

5.0

NerdWallet rating 
Nationwide’s wide variety of coverage options and low number of complaints make it a solid choice for many consumers.

Discounts

Great set of discounts

NAIC complaints

Fewer than expected

Nationwide’s standard homeowners policies include ordinance or law coverage, which pays to bring your home up to the latest building codes after a covered claim. They also include coverage for unauthorized credit or debit transactions. For an extra cost, you may be able to add coverage for things like water backup, identity theft and stronger materials to replace your roof.

The Nationwide website offers plenty of ways to manage your policy, including filing and tracking claims, paying bills and getting quotes.


insurance-product-card-logo

USAA

5.0

NerdWallet rating 
Offers perks for the military community.

Coverage options

Below average

Discounts

Average set of discounts

NAIC complaints

Far fewer than expected
insurance-product-card-logo

USAA

5.0

NerdWallet rating 
Offers perks for the military community.

Coverage options

Below average

Discounts

Average set of discounts

NAIC complaints

Far fewer than expected

USAA sells homeowners insurance to veterans, active military members and their families. If that description fits you, you may want to consider a USAA policy. That’s because the company’s homeowners insurance has certain features that other insurers may charge extra for.

For example, USAA automatically covers your personal belongings on a “replacement cost” basis. Many companies pay out only what your items are worth at the time of the claim, which means you may not get much for older items. USAA pays enough for you to buy brand-new replacements for your stuff.


How much does homeowners insurance cost in Iowa?

The average annual cost of home insurance in Iowa is $1,790. That’s 2% less than the national average of $1,820.

In most U.S. states, including Iowa, many insurers use your credit-based insurance score to help set rates. Your insurance score is similar but not identical to your traditional credit score.

In Iowa, those with poor credit pay an average of $3,575 per year for homeowners insurance, according to NerdWallet’s rate analysis. That’s nearly twice as much as those with good credit.

Average cost of homeowners insurance in Iowa by city

How much you pay for homeowners insurance in Iowa depends on where you live. For instance, the average cost of home insurance in Des Moines is $1,755 per year, while homeowners in Cedar Rapids pay $1,620 per year, on average.

City

Average annual rate

Average monthly rate

Ames

$1,700

$142

Ankeny

$1,620

$135

Bettendorf

$1,585

$132

Cedar Falls

$1,720

$143

Cedar Rapids

$1,620

$135

Council Bluffs

$2,100

$175

Davenport

$1,595

$133

Des Moines

$1,755

$146

Dubuque

$1,550

$129

Fort Dodge

$1,855

$155

Iowa City

$1,600

$133

Marion

$1,645

$137

Marshalltown

$1,765

$147

Mason City

$1,750

$146

Muscatine

$1,660

$138

Ottumwa

$1,705

$142

Sioux City

$1,930

$161

Urbandale

$1,680

$140

Waterloo

$1,730

$144

West Des Moines

$1,660

$138

The cheapest home insurance in Iowa

Here are the insurers we found with average annual rates below the Iowa average of $1,790.

Company

NerdWallet star rating

Average annual rate

West Bend

Not rated

$1,275

4.0

NerdWallet rating 

$1,295

IMT

Not rated

$1,345

4.0

NerdWallet rating 

$1,555

5.0

NerdWallet rating 

$1,630

Foremost

4.0

NerdWallet rating 

$1,740

What to know about Iowa homeowners insurance

Are you shopping for home insurance in Iowa? Make sure to consider the risks your home may face, such as severe wind, seasonal storms and flooding.

Tornadoes and derechos

Iowa has experienced its fair share of tornadoes, averaging 48 yearly over the past four decades. The 2020 Midwest derecho brought wind speeds of over 140 miles per hour to parts of Iowa, causing immense destruction. These severe wind events can mean serious damage for homeowners in Iowa and are a reason to confirm you have adequate coverage.

Standard home insurance policies will cover wind damage from tornadoes and derechos. However, your policy may have a separate wind and hail deductible, typically between 1% to 5%. If your house has $250,000 worth of dwelling coverage and a 1% deductible for wind claims, you’d have to pay for the first $2,500 of wind damage yourself.

There also may be limits to how much your insurer will pay for debris removal. Review your policy carefully and reach out to your insurance agent with questions.

Spring storms

Spring in the Midwest brings severe thunderstorms and sizable hail that can damage roofing, siding and windows. Your home insurance will likely cover any damage from spring storms, but read your policy carefully. As with wind damage, you may have a separate deductible for hail claims.

Flooding

Snowmelt and heavy rains can cause flooding across Iowa, resulting in potentially expensive damage to homes. Standard homeowners insurance typically doesn't cover flooding. Homeowners in flood-prone areas may need to purchase separate flood insurance.

To find out your risk, check out the Federal Emergency Management Agency's flood maps and RiskFactor.com, a website from the nonprofit First Street Foundation. Even if your property is deemed low risk, it may be worthwhile to purchase flood insurance for extra peace of mind.

Remember that while you can purchase flood coverage at any time, there’s typically a 30-day waiting period before the insurance takes effect. Here’s more information about flood insurance and waiting periods.

Winter weather

Winter in Iowa means severe storms, freezing temperatures and heavy snow. For homeowners, that weather can cause substantial damage to property. Homeowners insurance generally covers winter storm-related damage, but some types of winter weather damage may require extra coverage. For instance, you’ll typically need a separate flood insurance policy to cover flood damage caused by snowmelt.

Iowa insurance department

The Iowa Insurance Department regulates the insurance industry for the state and provides consumer resources. The department oversees licensing for insurers and is a resource if you have a dispute with your insurer.

If you need to file a complaint, a simple flowchart will direct you to the online complaint form. You can also print the form and file it via email, fax or mail. Questions? Reach out to the Insurance Consumer Advocate at 515-654-6538.

Looking for more insurance in Iowa?

Frequently asked questions

Home insurance is not required by Iowa state law. However, your lender may require you to purchase home insurance. For more information, read Is Homeowners Insurance Required?

Standard home insurance in Iowa should cover the damage caused by derechos. Still, you’ll want to confirm the details in your policy, as you may be responsible for a wind deductible.

Here are some ways to save money on home insurance in Iowa:

  • Shop around to make sure you’re getting the best rate.

  • Choose a higher deductible. In case of any claims, you’ll pay more out of pocket, but your premiums will be lower.

  • Bundle your home and auto insurance for a lower overall rate. See the best home and auto insurance bundles.

  • Ask your insurer if you qualify for any home insurance discounts.

Amanda Shapland contributed to this story.

Methodology

NerdWallet averaged rates for 40-year-old homeowners from various insurance companies in every ZIP code across the state. All rates are rounded to the nearest $5.

Sample homeowners were nonsmokers with good credit living in a single-family, two-story home built in 1984. 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.

  • $1,000 in medical payments coverage.

We made minor changes to the sample policy in cases where rates for the above coverage limits or deductibles weren’t available.

We changed the credit tier from “good” to “poor,” as reported to the insurer, to see rates for homeowners with poor credit.

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

Star rating methodology

NerdWallet’s homeowners insurance ratings reward companies for customer-first features and practices. Ratings are based on weighted averages of scores in several categories, including financial strength, consumer complaints, coverages, discounts and online experience. These ratings are a guide, but we encourage you to shop around and compare several insurance quotes to find the best rate for you. NerdWallet does not receive compensation for any reviews. Read our full homeowners insurance rating methodology.

Complaint methodology

NerdWallet examined complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners in 2019-2021. To assess how insurers compare with one another, the NAIC calculates a complaint index each year for each subsidiary, measuring its share of total complaints relative to its size, or share of total premiums in the industry. To evaluate a company’s complaint history, NerdWallet calculated a similar index for each insurer, weighted by market shares of each subsidiary, over the three-year period. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC. Ratios are determined separately for auto, home (including renters and condo) and life insurance.

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