Cheapest Homeowners Insurance Companies of July 2024

New homeowners may prioritize home insurance on a budget as they take on new expenses associated with such a major purchase. State Farm is the cheapest home insurance provider on our list, with policies averaging $174 per month, so we named it our pick for new homeowners.

The company offers opportunities for homeowners insurance policyholders to save on costs by bundling their coverage with auto insurance, claiming customers can save an average of $1,073 annually by doing so, according to our research. The insurer also offers a discount for installing home security features and using impact-resistant roofing products.

Depending on your location, you can also qualify for a discount if your property has features that protect it against wind damage. In addition, its website, national network of agents and online resources may help new homeowners navigate the insurance buying process for the first time.

State Farm charges an average of $2,084 annually for a homeowners policy, which is about $174 per month — $427 less than the national average of $2,511. It’s the cheapest option for a policy in Rhode Island, Delaware, North Carolina, New Jersey, Maine and Massachusetts, based on our review.

The insurer may lower your premium if you qualify for the following discounts:

• Multi-policy bundling
• Home security
• Roofing
• Wind mitigation

We surveyed thousands of homeowners on their experiences shopping for insurance plans to understand each provider’s strengths and weaknesses. Our most recent survey on home insurance claims, consisting of 1,000 participants, found that 70 had a policy with State Farm.

Sixty-four percent of homeowners who went with State Farm as their policy provider stated that cost, an easy claims process and brand trust were their key considerations when shopping. In addition, the majority of participants who chose State Farm chose the company because it offered the best coverage for their needs.

Our research team went through the process of obtaining a quote with State Farm to share what you can expect during the process, and found that the company requires you to speak with an agent to purchase a policy. We filled out a form with our name, address, contact information, and desired type of insurance before getting directed to a screen that said an agent would reach out to us soon.

If you’d like to buy cheap homeowners insurance fully online, we found that Allstate allows you to check out directly on its website, with coverage starting immediately.

We named Auto-Owners our pick for customer service because the company offers easy online policy management through a mobile app. While each company on our list provides discounts to help lower costs, Auto-Owners has the most options with nearly a dozen ways to save, our research found. For instance, it offers a discount if customers make timely payments over a certain period, enroll in paperless billing and online payments, have an approved whole-water shut-off system or bundle other qualifying insurance policies. You can also lower your premium by choosing a policy with a higher deductible — although, this means you will have to pay more out-of-pocket if you file a claim.

The average annual cost of a homeowners policy with Auto-Owners is $2,236, which is $186 per month. This is $275 less than the national average of $2,511. Auto-Owners is the most affordable provider in Minnesota, Iowa, Georgia, Colorado, South Dakota, Kentucky and Michigan, based on our review.

You may qualify for the following discounts with an Auto-Owners homeowners policy:

• Multi-policy bundling
• Payment history
• Green discount
• Protective devices discount
• Automatic backup generator discount
• Wind mitigation discount
• Favorable loss history
• Mortgage-free discount
• Water shut-off system discount
• Advance quote
• Paid-in-full

We surveyed thousands of policyholders nationwide to learn more about home insurance providers. In our most recent survey on home insurance claims, which consisted of 1,000 participants, none of the respondents had a home insurance policy with Auto-Owners. Therefore, we gathered insight into the service the company provides by reading reviews on the Better Business Bureau (BBB).

Finding positive reviews regarding Auto-Owners’ home insurance policies was difficult. We found one review within the last six months voicing frustration around the company, as it asked the reviewer to replace their roof or it would cancel their policy. However, finding positive reviews for the company’s car insurance offerings was easier.

Our team reached out to Auto-Owners for comment on its negative online reviews but did not receive a response.

Our research team went through the process of obtaining a quote with Auto-Owners to share what you can expect during the process. We found that you’ll need to speak with an agent to purchase a policy. In our experience, Auto-Owners’ website will direct you to enter your ZIP code to find agents in your area, which will produce a list of agencies in your area with phone numbers, email addresses and other forms of contact.

Erie scored highly on the 2023 J.D. Power customer satisfaction study with a score of 856 out of 1,000, earning it our pick for best service. Depending on your location, Erie can also provide savings on homeowners insurance policies with a discount of up to 25% when you purchase more than one type of policy, according to our research. You can also earn a discount by installing a safety and security system, and by obtaining a quote seven to 60 days before your existing policy is renewed.

The average cost of a homeowners policy with Erie is $2,326 per year or about $194 per month. The insurer charges about $185 less than the national average of $2,511. Erie is the cheapest home insurance provider in Silver Spring and Rockville Maryland with policies that cost around $1,700 annually. Erie also has one of the strongest auto bundle discounts with an average savings of 24% on the total policy cost.

Homeowners choosing Erie may also qualify for these discounts:

• Fire, burglary alarm or sprinkler system credit
• Advanced quote discount
• Multi-policy discount

We surveyed thousands of homeowners with home insurance policies to gain insight into their experiences shopping for plans. However, in our most recent survey on home insurance claims, which consisted of 1,000 participants, only one respondent reported having a policy with Erie. To gather better insight into the service Erie provides home insurance policyholders, we read reviews through Trustpilot for the company.

Erie has 2.2 out of 5 stars on Trustpilot but very few reviews. We found one review specifically about home insurance within the last six months, where the customer voiced frustration with how the company handled their elderly parent’s claim. However, we feel it’s worth noting that finding positive reviews for Erie’s car insurance offerings was easier.

Our team reached out to Erie for comment on its negative customer reviews and received the following response:

“Since 1925, Erie Insurance has been fulfilling its promise of providing auto, home, business and life insurance rooted in the principles of honesty, decency, service and affordability,” said Matthew Cummings, a company spokesperson. “Erie Insurance is consistently ranked highest in J.D. Power customer satisfaction surveys and maintains one of the strongest customer retention rates in the insurance industry — from year to year, more than 91% of our policyholders stay with Erie due to our promise of being above all in service.”

As with most other providers on our cheapest homeowners insurance list, Erie doesn’t offer online quotes. When you go to request a quote through the company’s website, it will direct you to enter your ZIP code and then provide a list of local agents to contact.

USAA provides homeowners insurance coverage at an affordable cost and offers policyholders several additional opportunities to save, based on our review. For instance, you can save up to 15% on your policy if you have not filed any claims for the past five years. Also available is USAA’s bundling discount, which can lower your premium by up to 10% if you purchase more than one type of insurance policy — such as auto and homeowners coverage. However, coverage is only available to active-duty military members, veterans and their families, making it our pick for military members.

The average annual cost of a USAA homeowners insurance policy is $2,409, which is around $200 per month. The company charges around $221 less than the national average of $2,511. Based on our review of national premiums, USAA is the most affordable insurer in Arizona, the District of Columbia, Illinois, Connecticut, Tennessee and Arkansas.

USAA policyholders may also qualify for these discounts:

• Multi-policy bundling
• Protective devices
• Connected home
• Loyalty
• Claims-free history

We surveyed thousands of people with home insurance policies on their experiences shopping for plans to understand more about USAA. With our most recent survey on home insurance claims, 108 out of 1,000 participants reported having a home insurance policy with USAA.

Over 46% of homeowners who went with USAA as their provider reported that an easy claims process, coverage for valuable items and cost were key considerations when shopping for a policy. In addition, over 50% of participants who chose USAA said it offered the best coverage for their needs or the brand seemed the most trustworthy.

Our research team attempted to obtain a quote from USAA to share what you can expect during the process. However, we only got so far because coverage from USAA is exclusively available to military members, veterans and their families. If you’re not already a member, you will get directed to a questionnaire that will determine your eligibility.

In addition to offering nearly a dozen endorsements to customize and enhance coverage, our research found that Allstate offers up to 25% off premiums for customers who bundle home and auto insurance. Plus, the company makes it easy to sign up for a bundled policy, based on our review. You can also earn a discount by paying your premiums on time, opting for full policy payment or signing up for automatic payments.

On average, you might pay around $2,414 per year for an Allstate homeowners policy, which is $201 monthly. This average cost is $97, less than the national average of $2,511. Based on our review, Allstate is the cheapest option for homeowners insurance in Washington, Hawaii, Vermont, Pennsylvania, Virginia, California, Indiana, South Carolina, Mississippi and Nebraska.

Policyholders can also benefit from the following discounts:

• Multi-policy bundling
• Responsible payment
• Claim-free history
• Welcome and loyalty
• Homebuyer
• Easy pay plan
• Protective device
• Early signing

We surveyed thousands of homeowners nationwide to learn more about their experiences shopping for insurance coverage. We aimed to understand the strengths and pain points of home insurance providers such as Allstate. In our most recent survey on home insurance claims, 179 out of 1,000 participants reported having a home insurance policy with Allstate.

Over half of homeowners who chose Allstate as their provider stated that cost was a key consideration when shopping, with coverage for valuable items and high-risk areas ranking closely behind. In addition, almost 47% of participants who chose Allstate liked the company because it offered the best coverage for their needs.

Our research team went through the process of obtaining a quote with Allstate to give you an idea of what to expect. Based on our experience, Allstate is the only provider in our ranking of cheapest home insurance companies that allows you to check out directly from the website without speaking with an agent or customer service representative.

To start, you will need to provide information such as your name, address, date of birth and details about your home. You can also choose to bundle your home insurance with other coverages, such as auto, motorcycle, term life and more. If you plan on bundling an Allstate home insurance plan with an auto plan, prepare to provide your driver’s license information.