A home insurance policy protects the property and your belongings against damage or loss. Insurance plans also cover homeowners if someone else is injured while on the property. The annual premiums, deductibles and coverage details of each policy are subject to the value, location and features of a home. If a mortgage was used to purchase the property, a home insurance policy may be automatically included.
Cheap home insurance is not always available to applicants looking for affordable coverage. Costs vary between companies and can leave some owners with hefty fees. It is important to compare home insurance quotes to find the best deal for your property and location. While there are no federal requirements to issue veterans or government workers with discounted policies, certain companies choose to offer reduced rates to select groups.
What do home insurance quotes cover?
Home insurance policies cover a variety of events caused by damage, injury or loss. The following items may be covered under a standard insurance policy:
- Damage to the building, garage or approved structure within the property border
- Loss of personal items due to theft
- Expenses for temporary relocation due to repairs made on the home
- Injuries sustained on the property as a result of negligence
The type of structure may affect what policy is available to you. For example, modular and mobile home insurance policies must be purchased for manufactured structures built in a factory. However, certain policies, such as Geico’s home insurance may require you to purchase standard plans for modular properties.
How cheap is home insurance?
The best home insurance companies are not always the cheapest. Average policy rates vary between states and are subject to availability. A 2019 study conducted by the Lending Tree showed that today’s average annual home insurance premium is $1,083. The average premium in Florida is $2,055 per year, while Oregon recorded an average of just $574. J.D. Power’s annual study on home insurance companies rated the following businesses on price:
- USAA Home Insurance: 5/5
- Allstate Home Insurance: 3/5
- State Farm Home Insurance: 3/5
Progressive home insurance policies are not featured on the list but that does not mean they should be removed from your search. Different companies may specialize in particular types of insurance, offering more variety in choice and better value for money. In some cases, companies may outsource certain types of insurance to third-party insurers, handing over responsibility for any claims made under that policy. These subtle differences between company policy and state-averages may affect the overall cost of your home insurance.
How to Get Cheap Home Insurance
There are simple ways to lower home insurance costs without sacrificing coverage. The following tips may help you reduce premium totals while keeping you and your family covered.
- Avoid insuring the land under your property if possible. This additional form of coverage may be automatically added to your policy. By removing it, you may be able to lower the overall cost of your plan.
- Do not purchase earthquake or flood insurance if you do not live in areas subject to disasters.
- Install safety features in your home. The following items can help lower home insurance quotes by reducing the risk of property damage and loss:
- Fire alarms
- Smoke detectors
- Security cameras
- Deadbolt locks
- Storm shutters
- Reinforced roofs
- Compare home insurance quotes to find the best deals in your area. By shopping around for different policies, you may find options that include the coverage you need at more competitive prices.
- Increase your deductible. The higher your home insurance deductible, the lower your annual premium will be. However, it is worth noting that higher deductibles may leave you with exorbitant out-of-pocket costs if a claim were to be filed.
- Apply for veteran or government employee discounts if applicable. Only select companies offer these plans and they are subject to the terms and conditions of the insurer.