Best Homeowners Insurance in Indiana (2024)
- Expertise: Auto insurance, home insurance and renters insurance
- Education: University of California-Berkeley (BA in History)
Rob Bhatt is a licensed insurance agent and joined the staff of Lending Tree in 2021. Previously, he spent more than 20 years writing for and editing regional publications in California, Nevada and Washington. Rob enjoys helping readers understand how different coverages work so they can make informed purchasing decisions, and he specializes in producing research-backed content for LendingTree about auto, home and renters insurance. His work has been cited by ABC, Business Insider, MSN and Yahoo.
Erie’s cheap rates and high satisfaction score make it the best homeowners insurance company in Indiana. A policy costs an average of $1,453 a year — 45% less than the state average.
Cheapest home insurance in Indiana
Erie offers the cheapest home insurance quotes in Indiana, at $1,453 a year ($121 a month) on average, followed by Allstate and Cincinnati, respectively.
Since home insurance rates vary by customer, you should compare quotes from multiple companies to make sure you are getting the best price.
| Company | Annual rate |
|---|---|
| Erie | $1,453 |
| Allstate | $1,582 |
| Cincinnati | $1,682 |
| Westfield | $1,806 |
| State Farm | $2,338 |
| ASI Progressive | $2,880 |
| Nationwide | $3,139 |
| Indiana Farm Bureau | $3,343 |
| Grange | $3,345 |
| American Family | $3,580 |
| Farmers | $4,290 |
| USAA* | $2,281 |
Best homeowners insurance in Indiana
Erie is the best overall homeowners insurance company in Indiana, while Allstate has the best policy features.
Westfield also stands out as the best small homeowners insurance company, while USAA is generally best for military families.
| Company | Annual rate | Satisfaction score | Complaint rating |
|---|---|---|---|
| Best overall: Erie | $1,453 | 856 (Excellent) | 0.38 (Excellent) |
| Best policy features: Allstate | $1,582 | 809 (Below Average) | 0.9 (Average) |
| Best small company: Westfield | $1,806 | Not available | 0.08 (Excellent) |
| Best for military families: USAA | $2,281 | 881 (Excellent) | 0.36 (Excellent) |
The satisfaction scores are from J.D. Power’s 2023 U.S. Home Insurance Study. The segment average for home insurers is 819.
The complaint ratings are based on confirmed complaints (those that lead to a finding of fault), as tracked by the National Association of Insurance Commissioners.
A 2.0 complaint rating indicates a company has twice as many confirmed complaints as expected for its size. A 0.5 score indicates half as many.
Best overall home insurance company in Indiana: Erie
In addition to the lowest average home insurance rate in Indiana, Erie also has a higher satisfaction score than every company, except for USAA, which is only available to the military community.
Pros
Home insurance rate is 45% less than the state average
Satisfaction score and complaint rating are considerably above average
Guaranteed replacement cost coverage at no extra charge
Extended water damage endorsement covers basement floods.
Cons
Home insurance quotes are not available online.
Extended water endorsement provides less coverage than flood insurance
Best policy features: Allstate
In addition to costing 40% less than the state average for home insurance, Allstate also offers policy features that may save you additional money down the line.
Pros
Claim RateGuard feature protects you from a rate increase after your first claim
Deductible Rewards reduces your deductible if you avoid claims
Discounts available for bundling, buying a newer home or being a recent homebuyer
Cons
Satisfaction score is below the segment average
Complaint rating is just average
Indiana’s best small homeowners insurance company: Westfield
Although Westfield does not crack the top 10 in Indiana for size, it competes well with larger Indiana home insurers on price and ratings.
Pros
It has the best (lowest) complaint rating among Indiana home insurers
Rates are 32% less than the state average
An A rating for financial strength from A.M. Best
Extra coverage features when you bundle your home and auto policies
Cons
Limited policy information provided on the company’s website
Online quotes are not available
Best for military families: USAA
USAA has the highest customer satisfaction score among Indiana home insurance companies. It also rewards customers with valuable perks.
Pros
Home insurance rates 14% less than the state average
Replacement cost coverage for your belongings is a standard feature.
Discounts on home security products and services, plus access to USAA’s banking and financial services
Coverage for military equipment and uniforms included for active-duty service members.
Cons
You usually get a different representative each time you call for assistance
Only available to current and former service members and their families
How much is homeowners insurance in Indiana?
The average cost of homeowners insurance in Indiana is $2,643 a year, or $220 a month.
The actual price you pay depends on factors such as:
- The amount of coverage you need
- Where you lived
- Your credit and insurance history
- Any discounts you may be eligible to receive
You can often save money by shopping around because each home insurance company weighs these factors differently.
Home insurance rates by coverage amounts
An insurance policy that covers your home or dwelling for $400,000 costs an average of 11% more in Indiana than a $350,000 policy.
| Dwelling amount | Annual rate |
|---|---|
| $350,000 | $2,386 |
| $400,000 | $2,643 |
| $450,000 | $2,915 |
For a new mortgage, lenders typically require you to insure your home at its replacement value, or the estimated cost of rebuilding it.
You can insure your home for a lower amount if you have a low loan balance or if you own your home outright. But this puts you at risk of not getting enough insurance money to rebuild after a disaster.
Most insurance companies use a software program to estimate your home’s replacement value, based on its specifications. Make sure that the information the insurance company has about your home is accurate.
Indiana homeowners insurance rates by city
The cheapest Indiana cities for home insurance are Fort Wayne and Lafayette. The average price of home insurance in both is $2,389 a year.
Home insurance costs an average of $3,126 a year in Gary, making it Indiana’s most expensive city to insure a home.
Rates average $3,010 a year in Indianapolis, the state’s second most expensive city for home insurance.
| City | Annual rate |
|---|---|
| Bloomington | $2,543 |
| Carmel | $2,590 |
| Evansville | $2,698 |
| Fishers | $2,609 |
| Fort Wayne | $2,389 |
| Gary | $3,126 |
| Greenwood | $2,780 |
| Hammond | $2,706 |
| Indianapolis | $3,010 |
| Kokomo | $2,501 |
| Lafayette | $2,389 |
| Muncie | $2,581 |
| Noblesville | $2,631 |
| South Bend | $2,531 |
| Terre Haute | $2,865 |
How much is flood insurance in Indiana?
The average price of flood insurance in Indiana is $895 a year, or $75 a month, for policies from the National Flood Insurance Program (NFIP).
Standard home insurance does not cover flood damage.
If you have a mortgage in a high-risk flood zone, your lender will usually insist you get flood insurance. Flood insurance is often also worth considering if you own your home outright, or even in a low- or moderate-risk area.
Most flood insurance is purchased through the NFIP, which is managed by the Federal Emergency Management Agency (FEMA). However, several private companies also offer flood insurance in Indiana.
Methodology
The rates shown in this article are based on an analysis of non-binding quotes obtained from Quadrant Information Services for homes in every ZIP code in Indiana. Unless otherwise noted, standard home insurance 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
*USAA is only available to current and former members of the military and their families.
Frequently asked questions
Standard home insurance costs an average of $2,643 a year in Indiana and covers most damage from tornadoes. Wind and hail are among the normal perils that home insurance covers.
However, home insurance does not cover flooding that may accompany a tornado.
Insurance companies typically require you to insure your home at 80% of its estimated replacement value to receive a full payment for covered repairs.
If you insure your home for less than this amount, your insurance company may reduce your claims payment.
Erie Insurance is the highest-rated home insurance company for claims satisfaction by J.D. Power. USAA, Amica and Nationwide have the next highest rankings, in that order.