Fact CheckedKey takeaways from our analysis
State Farm, Progressive and USAA are the cheapest large homeowners insurance companies.
In many states, the best rates come from smaller regional insurers.
Progressive and USAA offer the cheapest home insurance for homeowners with poor credit.
USAA and State Farm have the cheapest home insurance for homeowners with a recent claim.
To save money, shop around each year and bundle your home and auto policies with the same company.
With home insurance prices soaring, many homeowners are looking for more affordable options. NerdWallet analyzed pricing data from more than 100 insurers to find the cheapest homeowners insurance companies in the U.S.
While we’ve identified the lowest-priced national insurers, keep in mind that smaller regional insurers may offer even better options in your area. To help you find them, we’ve identified the cheapest home insurer in every state.
Our sample policy was for a 40-year-old homeowner with good credit, $400,000 in dwelling coverage, $300,000 in liability coverage and a $1,000 deductible. Your own rates will be different.
Jump to the cheapest home insurance in each category:
Get home insurance quotes in minutes
Answer a few questions to see custom quotes and find the right policy for you.Cheapest homeowners insurance companies overall
NerdWallet looked at average rates from some of the largest companies across the U.S. to find out which ones have the cheapest home insurance.
Use the table below to see average annual rates for the five cheapest large companies, along with NerdWallet’s star rating.
Company | Average annual rate | NerdWallet star rating |
|---|---|---|
$2,415 | ||
$2,580 | ||
$2,710 | ||
$2,715 | ||
USAA* | $1,940 | |
*USAA membership is open only to active military, veterans, some federal employees and their families. | ||
Below are more details about the cheapest large companies to help you decide if they're right for you.
State Farm
- User-friendly website.
- Agents offer personalized service.
- Policies generally include extra coverage for your home’s structure.
- Below average for claim satisfaction in a recent J.D. Power study.
Overview: State Farm is the biggest home insurer in the U.S., with thousands of local agents. It offers some nice perks for homeowners, including a free Ting smart device to monitor your electrical system for problems. (This perk isn’t available in all states.)
We also like that State Farm doesn’t ask what breed of dog you have when you apply for insurance. Some other companies refuse to provide liability coverage for certain breeds such as pit bulls.
Discounts: Bundling home and auto policies, home security, impact-resistant roof, wind or wildfire mitigation.
Sample rates: Below are average State Farm rates for various dwelling coverage amounts. (Dwelling coverage is the part of your policy that covers the structure of your home.)
Coverage amount
Average annual rate
Average monthly rate
$200,000
$1,630
$136
$300,000
$2,050
$171
$400,000
$2,415
$201
$500,000
$2,890
$241
$600,000
$3,290
$274
$700,000
$3,570
$298
$800,000
$4,030
$336
Progressive
- Auto discount available for Progressive car insurance customers.
- Can choose which insurance company you purchase from — uncommon for an insurer selling affiliate policies.
- Potential to pay a single deductible if you have both car and home insurance from Progressive.
- Must file claims through the company that underwrites your policy.
Overview: Progressive sells both its own homeowners insurance policies and those of third-party insurers. When you go to Progressive’s website to get a home insurance quote, the company will look for offers from multiple providers.
The coverage options available to you will depend on which insurer you choose. For example, you may be able to add coverage for water and sump pump backup. Another option is personal injury liability, which can defend you in court from charges like slander and libel.
Discounts: Bundling home and auto policies, receiving documents electronically, new home, advance quote, safety and alarm systems.
Sample rates: Below are average Progressive rates for various dwelling coverage amounts.
Coverage amount
Average annual rate
Average monthly rate
$200,000
$1,845
$154
$300,000
$2,210
$184
$400,000
$2,580
$215
$500,000
$2,895
$241
$600,000
$3,195
$266
$700,000
$3,455
$288
$800,000
$3,790
$316
Travelers
- User-friendly website.
- Coverage and discounts for eco-friendly homeowners.
- Ranked below average in recent J.D. Power consumer satisfaction studies.
Overview: Travelers makes it easy to manage your policy online, including filing claims and making payments. But if you need more help, you can also contact a local insurance agent.
You can customize a standard policy with extra insurance for your personal belongings. You may also want to add water backup coverage in case a drain sends water back into your home.
Discounts: Bundling multiple policies, claims-free, being a recent homebuyer, select smart-home devices, having a LEED-certified green home.
Sample rates: Below are average Travelers rates for various dwelling coverage amounts.
Coverage amount
Average annual rate
Average monthly rate
$200,000
$1,625
$135
$300,000
$2,215
$185
$400,000
$2,710
$226
$500,000
$3,285
$274
$600,000
$3,945
$329
$700,000
$4,445
$370
$800,000
$4,920
$410
Allstate
- Lots of discounts to help you save.
- Home-sharing coverage available.
- Many ways to customize your coverage.
- Ranked below average for consumer satisfaction in recent J.D. Power studies.
Overview: Allstate sells homeowners insurance in most states and offers a long list of potential discounts. Depending on where you live, you may be able to add Claim RateGuard to your policy. With this feature, your rates won’t go up if you file a claim.
You may also be able to add Deductible Rewards, which cuts your deductible by $100 each year you don’t file a claim. The maximum reduction is $500. (A homeowners insurance deductible is the amount the insurance company subtracts from your claim payout.)
Discounts: Bundling multiple policies, claims-free, pay in full, autopay, theft or fire prevention devices, loyalty, buying a new home.
Sample rates: Below are average Allstate rates for various dwelling coverage amounts.
Coverage amount
Average annual rate
Average monthly rate
$200,000
$1,630
$136
$300,000
$2,130
$178
$400,000
$2,715
$226
$500,000
$3,260
$272
$600,000
$3,770
$314
$700,000
$4,315
$360
$800,000
$4,780
$398
USAA
- Policies include standard coverage that often costs extra elsewhere.
- Fewer customer complaints to state regulators than expected for a company of its size.
- Perks for military homeowners.
- Available only to active military members, veterans, some federal employees and their families.
Overview: This company sells home insurance only to active military, veterans, some federal workers and their families. USAA generally covers your belongings on a replacement cost basis. That means if your items are stolen or destroyed, the company will pay enough for you to buy brand-new replacements. Some companies offer a smaller payout for items that have lost value over time
USAA covers military uniforms with no deductible. It also won't charge a deductible if your belongings are damaged or destroyed in a war.
Discounts: Smart-home devices, loyalty, claims-free, bundling multiple USAA policies.
Sample rates: Below are average USAA rates for various dwelling coverage amounts.
Coverage amount
Average annual rate
Average monthly rate
$200,000
$1,240
$103
$300,000
$1,610
$134
$400,000
$1,940
$162
$500,000
$2,255
$188
$600,000
$2,550
$213
$700,000
$2,835
$236
$800,000
$3,110
$259
» MORE: USAA homeowners insurance review
Looking for the highest-rated home insurance, regardless of price? Check out our list of the Best Homeowners Insurance Companies.
Cheapest home insurance in each state
Where you live often has a big impact on the cost of homeowners insurance.
Hover over the map below to see the cheapest home insurance company in your state, as well as the insurer's average annual rate in that state.
The table below also shows the most affordable home insurance company in each state and its average annual rate.
State | Cheapest company | Average annual rate |
|---|---|---|
Centauri | $2,525 | |
Umialik | $1,285 | |
$1,745 | ||
$3,700 | ||
Pacific Specialty | $1,130 | |
Grange Insurance Association | $2,180 | |
$585 | ||
$1,075 | ||
People's Trust | $1,715 | |
$2,520 | ||
DB Insurance | $415 | |
$1,635 | ||
$2,260 | ||
Buckeye | $1,050 | |
Integrity | $2,655 | |
$2,665 | ||
$2,925 | ||
Centauri | $1,275 | |
Vermont Mutual | $975 | |
$1,595 | ||
N&D Group | $750 | |
$1,415 | ||
Western National | $2,160 | |
$2,995 | ||
Auto Club of SoCal (AAA) | $2,465 | |
$3,035 | ||
$5,015 | ||
CIG | $980 | |
Vermont Mutual | $900 | |
Cumberland Mutual | $1,030 | |
$2,095 | ||
Preferred Mutual | $920 | |
Lititz Mutual | $1,535 | |
North Star | $2,490 | |
Buckeye | $885 | |
$4,610 | ||
Grange Insurance Association | $1,130 | |
Selective | $960 | |
NLC Insurance | $1,195 | |
$2,160 | ||
$3,020 | ||
$2,365 | ||
$1,905 | ||
$1,115 | ||
Vermont Mutual | $720 | |
$1,095 | ||
Grange Insurance Association | $1,330 | |
$1,535 | ||
$1,910 | ||
$1,420 | ||
$1,765 |
Note: USAA offered the cheapest homeowners insurance in Alaska, Arkansas, Connecticut, Illinois, Mississippi, Oklahoma, Tennessee, West Virginia and Washington, D.C., on average. We didn’t include it in the map or table above because its policies are available only to active military, veterans, some federal employees and their families. Learn more about homeowners insurance for veterans and military.
Be a smart insurance shopper
Is the cheapest insurer in your state a company you’ve never heard of? Here are a few ways to evaluate whether it’s right for you:
Check its financial strength rating from AM Best.
Look up reviews from sources like the Better Business Bureau.
Ask your friends and family if they have any experience with the company.
Work with a local independent agent who can offer insights on the strongest regional insurers in your area.
Remember that the least expensive option may not always provide the best value. For example, cheap home insurance policies may provide less coverage for your roof or belongings. Make sure you understand exactly what’s covered — and what’s not. Learn more about how to shop for homeowners insurance.
Cheapest homeowners insurance in 20 major cities
Below are the companies offering the most affordable homeowners insurance, on average, in 20 of the largest U.S. cities.
City | Cheapest company | Average annual rate |
|---|---|---|
Austin | $1,705 | |
Charlotte | $1,440 | |
Chicago | $2,650 | |
Columbus | Buckeye | $880 |
Dallas | $1,950 | |
Denver | Grange Insurance Association | $2,180 |
Fort Worth | $1,910 | |
Houston | $2,045 | |
Indianapolis | Buckeye | $1,190 |
Jacksonville | $1,530 | |
Los Angeles | Pacific Specialty | $1,150 |
New York | $2,065 | |
Oklahoma City | $4,545 | |
Philadelphia | Selective | $1,705 |
Phoenix | $1,745 | |
San Antonio | $1,545 | |
San Diego | Pacific Specialty | $885 |
San Francisco | Pacific Specialty | $715 |
San Jose | Pacific Specialty | $705 |
Seattle | Grange Insurance Association | $990 |
Note: USAA offered the cheapest homeowners insurance in Chicago, Oklahoma City and Philadelphia, on average. We didn’t include it in the table above because its policies are available only to active military, veterans, some federal employees and their families.
Cheapest home insurance for different situations
Just because an insurer is affordable in one scenario doesn’t mean that company will always be the best option. For example, one company might offer especially low rates for homeowners with a brand-new house. Another might be the cheapest option for someone with poor credit.
In each scenario, NerdWallet compared rates among companies for which we had data in at least 15 states. We chose the five cheapest options in each category.
Cheapest home insurance for homeowners with poor credit
In our analysis, Progressive was the cheapest company for homeowners with poor credit. Below are the five most affordable options.
Company | Average annual rate | Average monthly rate |
|---|---|---|
$3,920 | $327 | |
$4,790 | $399 | |
$4,990 | $416 | |
$5,105 | $425 | |
USAA* | $4,115 | $343 |
*USAA membership is open only to active military, veterans, some federal employees and their families. | ||
Using credit to set homeowners, renters, condo and mobile home insurance prices is not allowed in California, Maryland and Massachusetts.
Studies have shown a correlation between having poor credit and filing more insurance claims. That's why most insurance companies charge more if you don't have strong credit. Learn more about how your credit score affects homeowners insurance.
Cheapest home insurance for homeowners with a recent claim
Many insurers raise your rates after you file a home insurance claim. USAA and State Farm offered the cheapest home insurance after a claim, according to our analysis. Below, you can see the five cheapest options after a single wind claim.
Company | Average annual rate | Average monthly rate |
|---|---|---|
$2,840 | $237 | |
$2,880 | $240 | |
$2,995 | $250 | |
$3,200 | $267 | |
USAA* | $2,140 | $178 |
*USAA membership is open only to active military, veterans, some federal employees and their families. | ||
Cheapest homeowners insurance for new homes
USAA and Progressive are the most affordable homeowners insurance companies for new homes, according to our analysis. See the full list below, based on policies for a home built in 2025.
Company | Average annual rate | Average monthly rate |
|---|---|---|
$840 | $70 | |
$1,330 | $111 | |
$1,370 | $114 | |
$1,645 | $137 | |
USAA* | $815 | $68 |
*USAA membership is open only to active military, veterans, some federal employees and their families. | ||
It’s usually cheaper to insure new homes than older ones. New houses meet the latest building safety codes, which could make them more resistant to natural disasters. And new plumbing, electrical and other systems have less wear and tear than older ones. That makes them less likely to fail and cause damage.
Cheapest homeowners insurance for high deductibles
If you’re willing to raise your deductible, you’ll generally pay less for your homeowners insurance. USAA and Progressive were the cheapest options for a plan with a $2,500 deductible. See the full list below.
Company | Average annual rate | Average monthly rate |
|---|---|---|
$2,380 | $198 | |
$2,385 | $199 | |
$2,450 | $204 | |
$2,640 | $220 | |
USAA* | $1,740 | $145 |
*USAA membership is open only to active military, veterans, some federal employees and their families. | ||
Get home insurance quotes in minutes
Answer a few questions to see custom quotes and find the right policy for you.More than half of U.S. homeowners (54%) report that their insurance premiums have increased in the past 12 months, according to a 2025 NerdWallet survey of more than 1,300 U.S. homeowners, conducted online by The Harris Poll. According to the survey, 12% of homeowners switched insurance providers in the past 12 months to get a better rate and 10% increased their deductible during this time frame to save money.
How to get low-cost homeowners insurance
Some take a little more effort than others, but there are a variety of ways to get affordable home insurance. Below are some of the most common ways to lower your homeowners insurance cost.
Insure your home for the proper amount. Don’t assume you should insure your home for its current market value (that is, how much the home could sell for). Instead, insure it for the amount it would cost to rebuild. Have your home insurance agent or company estimate your home’s replacement cost so you can insure your house for the correct amount. Learn more about how much home insurance you need.
Shop around. We recommend comparing rates from at least three companies to find the best value. Here’s how to get home insurance quotes.
More Nerdy Perspective
The first time I used an independent insurance agent was a game changer. Instead of getting quotes myself online or by phone, I gave all my details to the agent in one call, then sat back while she shopped around for me. She came back with several quotes, and I saved about $600 a year on all my policies (homeowners, auto and umbrella).
The first time I used an independent insurance agent was a game changer. Instead of getting quotes myself online or by phone, I gave all my details to the agent in one call, then sat back while she shopped around for me. She came back with several quotes, and I saved about $600 a year on all my policies (homeowners, auto and umbrella).
Sarah Schlichtersenior writer for insuranceIncrease your deductible. You can lower your premium by choosing a higher deductible. Just make sure you have enough cash to cover it should you need to file a claim.
Avoid filing small claims. Most home insurance companies offer a discount if you haven’t filed a claim in the past three to five years. If you can, pay cash for home repairs and file a claim only when absolutely necessary.
Add safety features to your home. Making your home safer now may save you money on home insurance in the long run. Many insurance companies offer discounts for protecting your home against fire and theft. Fire extinguishers, deadbolts, security systems and more could all help keep costs low.
Certain smart-home technology such as water leak detectors can also earn you a home insurance discount.
Bundle your policies. Many carriers offer a discount if you bundle home and auto insurance to make both policies more affordable. Read more about the best home and auto insurance bundles.
Improve your credit. In most states, poor credit generally translates to higher home insurance costs. While not an overnight fix, you can restore credit by making payments on time and using less than 10% of your total credit card limits.
Why trust NerdWallet
Strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial products that work best for you. See our criteria for evaluating homeowners insurance.
More than 270 million rates analyzed by our team of specialists.
More than 100 insurance companies analyzed in all 50 states and Washington D.C. (See our top picks.)
Frequently asked questions
USAA offers some of the lowest rates among big insurers and is on NerdWallet's list of The Best Homeowners Insurance Companies. However, USAA's policies are available only to active military, veterans, some federal workers and their families. Another highly rated company that offers cheap homeowners insurance is State Farm.
Yes, filing a claim on your homeowners insurance often leads to a rate increase in the future. That's why it may not make financial sense to submit claims for minor damage you can pay for yourself.
Even if you've never filed a claim, your insurance company may raise your rates for other reasons. Inflation and supply chain issues have made it more expensive to rebuild homes. That means it costs more for your insurance company to pay claims. Increasingly frequent disasters such as wildfires and hurricanes have also driven up the cost of insurance. Learn how to protect your home from climate change.
Homeowners insurance rates methodology
To find the cheapest homeowners insurance, NerdWallet calculated the median rates for 40-year-old homeowners from a variety of insurance companies in ZIP codes in all 50 states and Washington, D.C. 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:
$400,000 in dwelling coverage.
$40,000 in other structures coverage.
$200,000 in personal property coverage.
$80,000 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 used the same assumptions for all other homeowner profiles, with the following exceptions:
For homeowners with a claims history, we added a single wind damage claim.
To see the effect of changing your deductible, we raised the deductible from $1,000 to $2,500.
For homeowners with newer homes, we changed the year the house was built to 2025.
We changed the credit tier from “good” to “poor” as reported to the insurer to see rates for homeowners with poor credit. In states where credit isn’t taken into account, we only used rates for “good” credit.
To see the effect of changing your dwelling coverage amount, we changed the limit to $200,000, $300,000, $500,000, $600,000, $700,000 or $800,000. This also changed some of the other coverage limits that were tied to the dwelling coverage amount. For example, the other structures coverage limit is typically 10% of the dwelling coverage amount, so our sample policy with $200,000 of dwelling coverage had $20,000 of other structures coverage.
These are sample rates generated through Quadrant Information Services. Your own rates will be different.
Survey methodology
This survey was conducted online within the United States by The Harris Poll on behalf of NerdWallet from April 10-14, 2025, among 1,337 U.S. adults ages 18 and older who own a home. The sampling precision of Harris online polls is measured by using a Bayesian credible interval. For this study, the sample data is accurate to within +/- 3.2 percentage points using a 95% confidence level. This credible interval will be wider among subsets of the surveyed population of interest. For complete survey methodology, including weighting variables and subgroup sample sizes, please contact press@nerdwallet.com.
