Home insurance is a type of property insurance that protects your home and personal belongings from damage or loss caused by natural disasters, theft, vandalism, fire, and other perils. It also provides liability coverage if someone gets injured on your property or sues you for damages.
Home insurance can vary in cost depending on many factors, such as the location, size, age, and condition of your home, the coverage limits and deductibles you choose, the discounts you qualify for, and the company you buy from.
To help you find the best deal on home insurance, we have analyzed the average premiums, customer ratings, and discounts of some of the largest home insurance companies in the U.S. Based on our research, here are the cheapest home insurance companies of 2024:
1- Erie
Erie is the cheapest home insurance company in our analysis, with an average annual premium of $895 for $350,000 dwelling coverage. Based on Erie home insurance reviews, it is also one of the highest-rated home insurance companies, scoring 839 out of 1,000 points on J.D. Power’s customer satisfaction survey and having a low complaint ratio with the National Association of Insurance Commissioners (NAIC).
Erie offers homeowners a range of coverage options and discounts, such as:
- Guaranteed replacement cost: This covers the full cost of rebuilding your home after a covered loss, regardless of the policy limit or depreciation.
- Identity theft recovery: This covers the expenses related to restoring your identity if it is stolen or compromised.
- Service line protection: This covers the repair or replacement of damaged underground service lines, such as water, sewer, gas, or electric lines.
- Multi-policy discount: This applies if you bundle your home and auto insurance with Erie.
- Safety device discount: This applies if you have smoke detectors, fire alarms, sprinkler systems, or security systems in your home.
- Advance quote discount: This applies if you get a quote from Erie at least seven days before your policy effective date.
Erie is available in 12 states and Washington, D.C.
2- Nationwide
Nationwide is the second-cheapest home insurance company in our analysis, with an average annual premium of $1,227 for $350,000 dwelling coverage. Nationwide also has a good reputation for customer service and claims handling, scoring 812 out of 1,000 points on J.D. Power’s customer satisfaction survey and having a low complaint ratio with the NAIC.
Nationwide offers homeowners a variety of coverage enhancements and discounts, such as:
- Brand New Belongings: This covers the replacement cost of your personal property after a covered loss, without deducting for depreciation.
- Better Roof Replacement: This covers replacing your roof with stronger and safer materials after a covered loss.
- Water backup: This covers the damage caused by water backing up from drains or sewers.
- Earthquake: This covers the damage caused by earthquakes or earth movements.
- Flood: This covers the damage caused by floods or surface water.
- Multi-policy discount: This applies if you bundle your home and auto insurance with Nationwide.
- Home purchase discount: This applies if you buy a new home or switch to Nationwide from another insurer.
- Claims-free discount: This applies if you have no claims or few claims in the past.
- Protective device discount: This applies if you have smoke detectors, fire alarms, sprinkler systems, or security systems in your home.
Nationwide is available in all 50 states and Washington, D.C.
3- State Farm
State Farm is the third-cheapest home insurance company in our analysis, with an average annual premium of $1,510 for $350,000 dwelling coverage. State Farm also has a solid reputation for customer service. It claims to handle, scoring 814 out of 1,000 points on J.D. Power’s customer satisfaction survey and having a low complaint ratio with the NAIC.
State Farm offers homeowners a range of coverage options and discounts, such as:
- Personal articles policy: This covers the loss or damage of your valuable items, such as jewelry, art, or collectibles.
- Home alert protection: This covers the cost of repairing or replacing your smart home devices, such as security cameras, thermostats, or smoke detectors.
- Identity restoration: This covers the expenses related to restoring your identity if it is stolen or compromised.
- Multi-policy discount: This applies if you bundle your home and auto insurance with State Farm.
- Home security discount: This applies if you have smoke detectors, fire alarms, sprinkler systems, or security systems in your home.
- Roofing discount: This applies if you have impact-resistant roofing materials that can withstand hail and wind damage.
State Farm is available in all 50 states and Washington, D.C.
4- Allstate
Allstate is our analysis’s fourth-cheapest home insurance company, with an average annual premium of $1,800 for $350,000 dwelling coverage. Allstate also has a solid reputation for customer service. It claims to handle, scoring 814 out of 1,000 points on J.D. Power’s customer satisfaction survey and having a low complaint ratio with the NAIC.
Allstate offers homeowners a range of coverage options and discounts, such as:
- HostAdvantage: This covers the loss or damage of your personal property when renting out your home on platforms like Airbnb or VRBO.
- Green improvement reimbursement: This covers the extra cost of repairing or replacing your home with energy-efficient materials after a covered loss.
- Identity theft restoration: This covers the expenses related to restoring your identity if it is stolen or compromised.
- Multi-policy discount: This applies if you bundle your home and auto insurance with Allstate.
- Welcome and loyalty discount: This applies if you are a new customer or renew your policy with Allstate.
- Claims-free discount: This applies if you have no claims or few claims in the past.
- Home buyer discount: This applies if you buy a new or newly renovated home.
- Protective device discount: This applies if you have smoke detectors, fire alarms, sprinkler systems, or security systems in your home.
Allstate is available in all 50 states and Washington, D.C.
5- USAA
USAA is the fifth cheapest home insurance company in our analysis, with an average annual premium of $1,943 for $350,000 dwelling coverage. USAA is also the highest-rated home insurance company, scoring 889 out of 1,000 points on J.D. Power’s customer satisfaction survey and having a low complaint ratio with the NAIC.
USAA offers homeowners comprehensive coverage and discounts, such as:
- Replacement cost coverage: This covers the full cost of rebuilding your home and replacing your personal property after a covered loss, without deducting for depreciation or policy limit.
- Military uniform coverage: This covers the loss or damage of your military uniform while on active duty or deployed.
- Identity theft coverage: This covers the expenses related to restoring your identity if it is stolen or compromised.
- Multi-policy discount: This applies if you bundle your home and auto insurance with USAA.
- Claims-free discount: This applies if you have no claims or few claims in the past.
- Protective device discount: This applies if you have smoke detectors, fire alarms, sprinkler systems, or security systems in your home.
USAA is available in all 50 states and Washington, D.C., but only for members of the U.S. military and their families.
