Average Home Insurance Cost in 2022: All You Need to Know

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The annual average home insurance cost in the U.S is $1383 in 2022 for a dwelling coverage of $250,000, according to Bankrate. Factors like your location, your state, the type and amount of coverage you choose, your credit score and many others can affect this amount. 

In this blog

How Much Does Average Home Insurance Cost 
How Much Is Home Insurance In Different States
Typical Home Insurance Cost Factors
Conclusion
Frequently Asked Questions (FAQs)

How Much Is Home Insurance in Different States

Here is an approximate estimation of the yearly premium you may have to pay according to the state you live in: 

State  
Average home insurance cost (annual)  

Alabama  
$1,597 

Alaska  
$1,001 

Arizona  
$1,216  

Arkansas  
$2,104  

California  
$1,000  

Colorado  
$1,690  

Connecticut  
$1,284  

Delaware  
$770  

Florida  
$1,358  

Georgia  
$1,400  

Hawaii  
$400  

Idaho  
$890  

Illinois  
$1,422  

Indiana  
$1,100  

Iowa  
$1,390  

Kansas  
$2,767  

Kentucky  
$1,850  

Louisiana  
$1,813  

Maine  
$956  

Maryland  
$1,130  

Massachusetts  
$1,307  

Michigan  
$1,120  

Minnesota  
$1,785  

Mississippi  
$1,773  

Missouri  
$1,572  

Montana  
$1,878  

Nebraska  
$2,900  

Nevada  
$822  

New Hampshire  
$794  

New Jersey  
$751  

New Mexico  
$2,024  

New York  
$987  

North Carolina  
$1,297  

North Dakota  
$1,941  

Ohio  
$1,116  

Oklahoma  
$3,518  

Oregon  
$712  

Pennsylvania  
$736  

Rhode Island  
$1,193  

South Carolina  
$1,142  

South Dakota  
$1,997  

Tennessee  
$1,695  

Texas  
$1,883  

Utah  
$646  

Vermont  
$686  

Virginia  
$1,017  

Washington  
$900  

Washington, D.C.  
$909  

West Virginia  
$1,127  

Wisconsin  
$990  

Wyoming  
$805  

Source: Bankrate 

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Typical Home Insurance Cost Factors

When calculating an average home insurance cost, insurers consider many factors. Some of these factors are: 

Replacement Cost

The more your home costs to replace, the more you will likely pay in coverage. This is because replacement cost takes a lot of variables into consideration. It changes depending on square footage and local construction costs as well as its unique features and architecture.

However, you can get an approximated estimate by basic calculation. Contacting your insurance agent or insurance provider will help! 

Credit Score for Home Insurance

Insurers use credit scores as a factor in determining the likelihood of timely premium payment. Credit is often used to measure risk which helps with determining the rate of home insurance. Poor credit scores may lead insurers to see you as someone who is more likely to file claims in comparison to those who have very good credit. 

Your personal credit score can highly affect the premium rates thus changing the average home insurance cost for you. A good credit score could lead to being perceived as a lower risk which will help you get a reduced rate. 

Claims History 

When it comes to determining the average home insurance cost, a history of filing claims might indicate an even greater risk for the homeowner’s insurance company. 

When you make your first claim on your homeowners’ policy you are likely to do so because something unexpected happened that may have left you financially responsible or worse: without a way out of the difficult situation. 

Insurance companies often base decisions like this on data patterns. However, claimants who have filed multiple times before may be considered higher risk than those with just one previous claim.  

Personal Demographics

A person’s demographics, i.e., their age, marital status, and gender make a big difference in determining the cost of a home insurance premium. 

According to Bankrate, insurance companies are likely to charge lower rates to married couples because of the common assumption of them being in a lower risk category. 

There are many insurance companies that tend to capitalize on their senior clients. According to Quote Wizard, if you are someone who is over the age of 55, you might be eligible for a senior citizen discount when buying home insurance. 

Deductibles

The homeowner’s insurance deductible is the amount that a homeowner will pay out of pocket before they can receive compensation for repairs to their property. It also sets how much you’ll save on your monthly premium.

If you set your deductible higher, then it could decrease the premium amount every month. However, if there is a claim in an accident that happens to be very costly then it might cost more than what was saved on premiums. 

Conclusion

Home insurance is extremely important for your home to be well protected from many kinds of uncertainties. With knowledge about average home insurance cost and how you can get a lower premium, we are sure you will be able to insure your home without any trouble. 

If you have any additional queries about home insurance, feel free to reach out to us. Connect to a local insurance agent today! 

Was this article helpful? Let us know in the comments below! 

Average Home Insurance Cost from MayaFontenot

Frequently Asked Questions (FAQs)

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What Are Some Common Exclusions From Home Insurance?

Homeowners should be aware that there are some common exclusions from a typical homeowner’s policy. The types of damage not covered by insurance typically include earthquake, flood, war-caused property damage, and wear and tear. Damage caused by mold or termites is also excluded in many cases. 

Is Home Insurance Policy For Condo Different?

Technically, yes. Although a condo is a category of home too, the insurance policy differs. Condo insurance (an HO-6 policy) covers the important areas of personal property and liability. It also provides coverage for some situations specific to condominium unit owners, such as their walls in which means covering their personal liability, property inside a condo unit including its interior – essentially anything excluded from the association’s policy.

Multiple coverage options on your fingertips.

Choose from various options and select the policy
that best suits your requirement.

Connect Today

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