How Much is Home Insurance in 2026?
- Home insurance costs an average of $2,628 a year for a typical house.
- State averages range from $928 a year in Hawaii to $5,533 a year in Oklahoma.
- Your actual rate depends on factors like your location and coverage needs.
For a typical house with $400,000 in dwelling coverage
Home insurance costs by company
State Farm has the cheapest home insurance costs among major companies at $1,761 a year, or $147 a month. AAA, Allstate and USAA also charge less than the national average.
Average home insurance rates
| Company | Annual rate | Monthly average | LendingTree score |
|---|---|---|---|
 | $1,761 | $147 |  4/5 |
 | $1,925 | $160 |  2/5 |
 | $2,352 | $196 | 4/5 |
 | $2,895 | $241 |  3.5/5 |
 | $3,084 | $257 | 3.5/5 |
 | $3,216 | $268 | 3.5/5 |
 | $3,423 | $285 | 4/5 |
 | $3,490 | $291 | 3.5/5 |
 | $3,533 | $294 | 4/5 |
 | $2,418 | $202 | 4/5 |
Each company’s rates vary by customers, so your rate may be different. It’s good to compare home insurance quotes from a few companies to find the best rate.
Average cost of homeowners insurance by state
Oklahoma has the most expensive home insurance costs in the United States, at an average of $5,533 a year. In contrast, homeowners in Hawaii have the lowest costs at $928 a year.
State averages for home insurance
| State | Annual rate | Difference from U.S. average |
|---|---|---|
| Alabama | $3,614 | 38% |
| Alaska | $1,519 | -42% |
| Arizona | $2,455 | -7% |
| Arkansas | $3,902 | 48% |
| California | $1,574 | -40% |
| Colorado | $4,717 | 79% |
| Connecticut | $2,595 | -1% |
| Delaware | $1,320 | -50% |
| Florida | $3,046 | 16% |
| Georgia | $2,939 | 12% |
| Hawaii | $928 | -65% |
| Idaho | $1,975 | -25% |
| Illinois | $2,987 | 14% |
| Indiana | $2,940 | 12% |
| Iowa | $3,492 | 33% |
| Kansas | $4,595 | 75% |
| Kentucky | $3,495 | 33% |
| Louisiana | $2,903 | 10% |
| Maine | $1,433 | -45% |
| Maryland | $2,345 | -11% |
| Massachusetts | $1,836 | -30% |
| Michigan | $2,545 | -3% |
| Minnesota | $3,150 | 20% |
| Mississippi | $3,154 | 20% |
| Missouri | $2,936 | 12% |
| Montana | $3,021 | 15% |
| Nebraska | $5,519 | 110% |
| Nevada | $1,829 | -30% |
| New Hampshire | $1,150 | -56% |
| New Jersey | $1,606 | -39% |
| New Mexico | $3,242 | 23% |
| New York | $1,587 | -40% |
| North Carolina | $2,874 | 9% |
| North Dakota | $2,751 | 5% |
| Ohio | $2,232 | -15% |
| Oklahoma | $5,533 | 111% |
| Oregon | $1,518 | -42% |
| Pennsylvania | $1,893 | -28% |
| Rhode Island | $2,165 | -18% |
| South Carolina | $3,477 | 32% |
| South Dakota | $3,637 | 38% |
| Tennessee | $3,757 | 43% |
| Texas | $4,458 | 70% |
| Utah | $1,858 | -29% |
| Vermont | $1,047 | -60% |
| Virginia | $2,762 | 5% |
| Washington | $1,756 | -33% |
| Washington, D.C. | $1,309 | -50% |
| West Virginia | $2,117 | -19% |
| Wisconsin | $1,897 | -28% |
| Wyoming | $2,396 | -9% |
Most expensive states for homeowners insurance
Hailstorms, tornadoes and other extreme weather make home insurance particularly expensive in Oklahoma, Nebraska and Kansas. Colorado and Texas also have these types of storms as well as other weather-related risks.
- Oklahoma: $5,533
- Nebraska: $5,519
- Colorado: $4,717
- Kansas: $4,595
- Texas: $4,458
Cheapest states for home insurance
Places that don’t regularly experience extreme weather events tend to have cheaper home insurance. This helps keep home insurance costs especially low in Hawaii, Vermont and New Hampshire, where weather disasters are rarer than some in other states with higher-priced insurance.
- Hawaii: $928
- Vermont: $1,047
- New Hampshire: $1,150
- Washington, D.C.: $1,309
- Delaware: $1,320
Homeowners insurance costs by city
Home insurance often costs more in bigger cities than it does in suburbs and rural areas. For example, New York City homeowners pay $2,609 a year, which is 64% higher than the state average.
On the other hand, El Paso homeowners pay $2,359 a year, which is 47% less than the average cost in Texas.
Major city insurance rates vs. state averages
| City | Annual rate | Difference from state average |
|---|---|---|
| Austin | $2,904 | -35% |
| Boston | $2,124 | 16% |
| Charlotte | $2,071 | -28% |
| Chicago | $3,436 | 15% |
| Columbus | $2,295 | 3% |
| Dallas | $4,715 | 6% |
| Denver | $5,187 | 10% |
| El Paso | $2,359 | -47% |
| Fort Worth | $4,957 | 11% |
| Houston | $5,714 | 28% |
| Indianapolis | $3,365 | 14% |
| Jacksonville | $2,564 | -16% |
| Las Vegas | $1,918 | 5% |
| Los Angeles | $1,982 | 26% |
| Nashville | $3,620 | -4% |
| New York City | $2,609 | 64% |
| Oklahoma City | $8,366 | 51% |
| Philadelphia | $2,465 | 30% |
| Phoenix | $2,700 | 10% |
| San Antonio | $2,975 | -33% |
| San Diego | $1,495 | -5% |
| San Francisco | $1,567 | 0% |
| San Jose | $1,353 | -14% |
| Seattle | $1,661 | -5% |
| Washington, D.C. | $1,441 | Not applicable |
Average cost of homeowners insurance by dwelling limit
The amount of coverage you need also affects your home insurance costs. For example, it only costs an average of $2,104 a year to insure a home in the United States for $300,000. This is 20% less than the rate for a $400,000 policy.
You usually need to insure your home for its replacement value, or the estimated cost of rebuilding it. In most cases, a home’s replacement value is lower than its market value or purchase price.
Insurance rates by coverage amounts
| Dwelling limit | Annual rate |
|---|---|
| $300,000 | $2,104 |
| $400,000 | $2,628 |
| $550,000 | $3,430 |
| $750,000 | $4,452 |
Most insurance companies use a computer program to calculate the amount of dwelling coverage you need. You just have to provide relevant details about your home. These include its:
- Square footage and number of stories
- Foundation and garage type
- Roofing and siding materials
- Flooring, countertop and cabinet materials
- Heat source
You can find most of these details by looking up your home on your county assessor’s website.
Insurance companies often autofill information about your home into your quote for you. It’s important to ensure any details they add are accurate so your quote is, too.
How are home insurance rates calculated?
Home insurance companies look at various elements to determine your rate. In addition to your location and coverage amounts, these include:
- Age and condition of your home: Home insurance usually costs more for an older home, especially if it has worn or outdated roofing, wiring or plumbing.
- Claims history: A recent insurance claim usually makes your rate go up. This often makes it worth avoiding insurance for minor repairs you can afford on your own.
- Your credit history: Most states allow home insurance companies to factor credit into your rate. Paying bills on time and reducing debts can help you get a better home insurance rate.
-
Deductible amount: Choosing a higher deductible
usually lowers your premium. Make sure to keep money in the bank to cover it if a disaster strikes.A deductible is the amount of money you pay out of your own pocket after you file a claim and before your insurance company pays the rest.
How can I lower my home insurance cost?
Regardless of your location and risk factors, it’s always worth taking steps to lower your home insurance rates. These include:
-
Use home insurance discounts: Most companies give you a generous discount for bundling
your home and auto insurance. It’s good to ask each company about other discounts so none get overlooked.Bundling means getting more than one policy from the same company.
- Upgrade your home: Replacing an old roof, wiring and/or plumbing can often help bring down your insurance rate.
- Shop around: Each insurance company uses a slightly different system to calculate your rate. Comparing quotes helps you find the cheapest rate for your situation.
Frequently asked questions
Insurance companies blame natural disasters and inflation for making home insurance rates go up. Powerful storms and wildfires have forced insurance companies to rebuild more homes than normal. Inflation has made the construction costs to rebuild homes much more expensive. Insurance companies try to keep up with these growing costs by passing on higher rates to their customers.
For a mortgage, you usually need to insure your house at its replacement value. This is the estimated cost of rebuilding it from the ground up. You can insure your house for a lower amount if you’ve paid off your mortgage or have a low loan balance. However, this could leave you short on funds after a major disaster if your rebuilding costs far exceed your dwelling limit.
Your home insurance premium is the amount you pay for your policy. If you have a mortgage, your lender usually adds your insurance costs to your monthly payments and pays your insurance company for you.
Methodology
How we obtain home insurance rates
The rates shown in this article are based on an analysis of nonbinding quotes obtained in February 2026 from Quadrant Information Services for sample homes in every U.S. ZIP code. Unless otherwise noted, policies include:
- Dwelling coverage: $400,000
- Other structures: $40,000
- Personal property: $200,000
- Loss of use: $80,000
- Personal liability: $100,000
- Guest medical payments: $5,000
- Deductible: $1,000
How we create LendingTree ratings
Our team of insurance experts evaluates insurance companies across several categories, including average rates, discounts, coverage options, third-party customer service ratings and app/website experience. We use this information to create LendingTree ratings, which help us identify and recommend the best insurance companies for consumers.
For third-party customer service ratings, we included NAIC’s Complaint Index scores and financial strength ratings from AM Best. NAIC Complaint Index scores show how well companies treat customers over things like claims, while financial strength ratings from AM Best reflect the ability to pay out claims.
See our home insurance ratings methodology and full editorial guidelines for further details.
*USAA is only available to current and former members of the military, spouses and children of USAA members and employees of certain federal agencies.
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