The Best Home Insurance in Illinois for 2024

Erie and Openly are among the best home insurance companies in Illinois.
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Written by Sarah Schlichter
Lead Writer
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Assigning Editor
Fact Checked

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The average cost of homeowners insurance in Illinois is $2,060 per year, according to NerdWallet’s rate analysis. For comparison, the national average is $1,915 per year.

NerdWallet analyzed data from numerous insurance companies to help you find the best home insurance in Illinois in the following categories:

The rates in our analysis are estimates based on many factors, so your rate may differ.

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.

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.

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Best affordable home insurance for Illinois: Erie

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Erie

4.5

NerdWallet rating 
Best for homeowners who want to work with an agent.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Fewer than expected

Erie

4.5

NerdWallet rating 
Best for homeowners who want to work with an agent.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Fewer than expected

In Illinois, the average annual premium for Erie is $1,420, which is well below the state average of $2,060.

Erie customers can reduce their rates even further by bundling their home and auto insurance, which can fetch a discount of 16% or more. Discounts are also available for homes with certain safety and security features such as smoke alarms or sprinkler systems.

Even with these lower rates, Erie still provides coverage as standard that many insurers don’t, such as guaranteed replacement cost for the structure of your home. With this coverage, the company will pay to rebuild your home completely after a disaster, even if the amount exceeds your dwelling limit.

For more details, read our Erie home insurance review.


Best home insurance in Illinois for coverage: The Andover Companies, Openly and Erie

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Andover Companies

5.0

NerdWallet rating 
Superior coverage sold through independent agents in select states.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Far fewer than expected

Andover Companies

5.0

NerdWallet rating 
Superior coverage sold through independent agents in select states.

Coverage options

More than average

Discounts

Average set of discounts

NAIC complaints

Far fewer than expected

The Andover Companies’ home insurance policies generally come with broader coverage for your belongings and more coverage for the structure of your home than a standard homeowners policy provides. (Note that most but not all homes qualify for this coverage.)

Most Andover policies also include a generous amount of ordinance or law coverage, which pays to upgrade your home to current building codes during repairs after a covered claim.

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Openly

4.5

NerdWallet rating 
Premium coverage for high-end homes with no dog breed restrictions.

Coverage options

About average

Discounts

Average set of discounts

NAIC complaints

Far fewer than expected

Openly

4.5

NerdWallet rating 
Premium coverage for high-end homes with no dog breed restrictions.

Coverage options

About average

Discounts

Average set of discounts

NAIC complaints

Far fewer than expected

Openly’s default homeowners policy goes significantly beyond those of many other insurers. Most notably, it offers guaranteed replacement cost coverage for the structure of your home. That means if your house is destroyed by a covered disaster, Openly will pay whatever it takes to rebuild it the way it was before, up to $5 million.

Plus, if your things are stolen or destroyed, Openly will pay enough for you to buy brand-new replacements, rather than paying less for older items that have lost value over time. It also covers your belongings on an “open perils” basis, paying for damage from anything except scenarios your policy excludes. Most home insurance policies cover damage only from causes specifically named in your policy.

Learn more with our Openly home insurance review.

As noted above, Erie also offers generous coverage. Like The Andover Companies and Openly, it includes guaranteed replacement coverage for the structure of your home.

For more details, read our Erie home insurance review.


Best homeowners insurance in Illinois for consumer experience: American Family and Nationwide

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American Family

4.5

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

Coverage options

About average

Discounts

Great set of discounts

NAIC complaints

Fewer than expected

American Family

4.5

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

Coverage options

About average

Discounts

Great 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. Its user-friendly website offers features such as bill payments, claim reporting, online quotes and general insurance information.

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.

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Nationwide

4.5

NerdWallet rating 
For shoppers seeking a broad range of coverage options, Nationwide may fit the bill.

Coverage options

About average

Discounts

Great set of discounts

NAIC complaints

Close to expected

Nationwide

4.5

NerdWallet rating 
For shoppers seeking a broad range of coverage options, Nationwide may fit the bill.

Coverage options

About average

Discounts

Great set of discounts

NAIC complaints

Close to expected

Nationwide offers a robust consumer experience for its customers, including a website that makes it easy to manage policies, file and track claims, and set up automatic billing. It also has a highly-rated app for Android and iOS that allows customers to file and track claims, review policy documents, and set up autopay.

In addition, Nationwide’s customers have several ways to get assistance, such as reaching out to their agent or calling the company’s customer service hotline. Outside of business hours, they can use the Nationwide website to get proof of insurance, pay bills and schedule callbacks. A chatbot is also available to answer basic questions.


Full list of the best homeowners insurance in Illinois

NerdWallet analyzed dozens of home insurance companies to find the best home insurance in Illinois. Here are all of the insurers that received a NerdWallet star rating of 4.5 or higher:

Company

NerdWallet star rating

Average annual rate

5.0

NerdWallet rating 

Not available

5.0

NerdWallet rating 

Not available

5.0

NerdWallet rating 

Not available

5.0

NerdWallet rating 

$3,005

4.5

NerdWallet rating 

$2,820

Auto Club Group (AAA)

4.5

NerdWallet rating 

$2,710

4.5

NerdWallet rating 

$1,880

4.5

NerdWallet rating 

Not available

4.5

NerdWallet rating 

$1,420

4.5

NerdWallet rating 

Not available

4.5

NerdWallet rating 

Not available

4.5

NerdWallet rating 

Not available

4.5

NerdWallet rating 

$1,685

4.5

NerdWallet rating 

$1,960

5.0

NerdWallet rating 

$1,775

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


How much does homeowners insurance cost in Illinois?

The average annual cost of home insurance in Illinois is $2,060. That’s 8% more than the national average of $1,915.

In most U.S. states, including Illinois, 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 Illinois, those with poor credit pay an average of $4,100 per year for homeowners insurance, according to NerdWallet’s rate analysis. That’s nearly double the price that those with good credit pay.

Average cost of homeowners insurance in Illinois by city

How much you pay for home insurance in Illinois depends on where you live. For example, the average cost of homeowners insurance in Chicago is $2,665 per year, or about $222 per month. In Aurora, homeowners insurance costs about $1,775 per year or $148 per month, on average.

City

Average annual rate

Average monthly rate

Arlington Heights

$1,815

$151

Aurora

$1,775

$148

Belleville

$2,320

$193

Berwyn

$1,960

$163

Bloomington

$1,940

$162

Bolingbrook

$1,830

$153

Champaign

$2,065

$172

Chicago

$2,665

$222

Cicero

$1,925

$160

Decatur

$1,945

$162

Des Plaines

$1,855

$155

Elgin

$1,735

$145

Evanston

$1,965

$164

Joliet

$1,850

$154

Naperville

$1,680

$140

Orland Park

$1,690

$141

Palatine

$1,880

$157

Peoria

$2,155

$180

Plainfield

$1,805

$150

Rockford

$2,020

$168

Schaumburg

$1,870

$156

Skokie

$1,850

$154

Springfield

$1,945

$162

Tinley Park

$1,695

$141

Waukegan

$2,120

$177

The cheapest home insurance in Illinois

Here are the insurers we found with average annual rates below the Illinois average of $2,060.

Company

NerdWallet star rating

Average annual rate

4.5

NerdWallet rating 

$1,420

4.5

NerdWallet rating 

$1,685

Hastings Mutual

Not rated

$1,730

4.0

NerdWallet rating 

$1,795

4.5

NerdWallet rating 

$1,880

4.5

NerdWallet rating 

$1,960

5.0

NerdWallet rating 

$1,775

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

What to know about Illinois homeowners insurance

When evaluating your options for home insurance in Illinois, make sure you’re adequately covered for these common natural disasters.

Floods

Homeowners insurance generally doesn’t cover flood damage, so if your home is at risk, you may need to buy a separate flood insurance policy.

Most people get this coverage through the federal government’s National Flood Insurance Program, though private flood insurance may also be available in your area.

To check your home’s flood risk, plug your address into the Federal Emergency Management Agency's flood maps or check RiskFactor.com, an online tool from the nonprofit First Street Foundation.

Tornadoes

A standard homeowners insurance policy typically covers damage from a tornado, along with any additional living expenses you might have if the storm leaves your home unlivable.

Winter storms

If a heavy blizzard knocks a tree onto your roof or frigid weather causes a pipe to burst, your homeowners insurance policy will likely cover the damage. Snow and ice are among the “perils,” or causes of damage, that a standard homeowners policy covers.

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Illinois Department of Insurance

Got a complaint about your insurance company? Confused about your rights as a policyholder? The Illinois Department of Insurance may be able to assist. On the agency’s website, you can look up insurance companies, file a complaint or chat with a virtual assistant in English or Spanish. For personalized help, you can call the agency’s customer hotline at 866-445-5364.

The agency also provides information on your rights as a homeowner in Illinois. For example, your insurance company must give you at least 30 days’ notice if it’s canceling your homeowners policy for any reason other than nonpayment. If at least three companies refuse to cover your home, you may be eligible for a policy from the Illinois FAIR Plan, the state’s insurer of last resort.

A previous version of this article incorrectly stated that homeowners insurance in Illinois is more expensive than the national average. This article has been corrected.

Frequently asked questions

Homeowners insurance isn’t legally required in Illinois, but if you have a mortgage, your lender will likely require you to have it. For more information, read Is Homeowners Insurance Required?

In Illinois and any other state, an insurance company may deny a homeowners claim for a variety of reasons. For instance, the damage may have been caused by something the policy doesn’t cover. (Most homeowners policies specifically exclude coverage for things like flood or earthquake damage.) Your claim may also be denied if you’ve failed to pay your premiums or you can’t provide enough evidence of the damage.

The Illinois Department of Insurance oversees the state’s insurance market, including homeowners insurance companies. The agency is responsible for evaluating consumer complaints about insurance carriers and making sure companies operating in the state are financially solvent.

The average cost of homeowners insurance in Chicago is $2,665 a year, according to NerdWallet’s rate analysis. Your own premium may differ depending on the size of your home and the amount of coverage you need. To save on your premium, ask your insurer if you qualify for any home insurance discounts.

A 2023 law states that homeowners insurers in Illinois can't deny you coverage or charge you a higher rate based on your dog's breed. However, they can take these actions if your dog has a history of aggression.

Methodology

NerdWallet calculated median 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 2020-2022. 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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