Best renters insurance companies of 2024

Best renters insurance companies

Most insurance companies offer renters policies, making the process of choosing overwhelming. To simplify the process, we reviewed dozens of carriers looking for cheap renters insurance rates along with a good reputation. Here are the top renters insurance companies based on rates, customer service and financial stability.

*USAA is only available to military members, veterans and their families and is therefore not ranked

Top renters insurance companies

Get the details on our five top renters insurance companies here.

State Farm

State Farm is the largest insurer in the country and one of the oldest. In addition, the carrier consistently ranks well with customers and has the strongest financial strength rating of A++.

Pros:

• Low rates
• Several ways to file a claim (in-person, over the phone, online, through the app)
• Offices and agents available nationwide

Cons:

• You are required to have an agent, even if you prefer to handle things online
• Wasn't the top company in J.D. Power's survey

State Farm’s renters policies can vary from one state to another, largely due to state regulations.

Discounts available include:

• Auto and renters bundle
• Home safety devices

Erie

Erie is highly rated by J.D. Power and offers affordable renters insurance rates with all of the standard coverage you expect.

Pros:

• Low rates
• Excellent J.D. Power rating
• Several discounts

Cons:

• No online quoting
• Not available in all states

Erie renters insurance discounts include:

• Auto and renters bundling
• Multi-policy discount with other policy types
• Home safety devices
• Advance quote
• Age of insured

Progressive

Progressive has been at the forefront of insurance technology for decades and continues to combine good prices with easy access. Progressive also offers a single deductible if you bundle your home and auto; if a single event damages both, you only pay one deductible.

Pros:

• Solid mobile app and online access
• Low rates
• Lots of discounts

Cons:

• Lower J.D. Power score
• Not all renters policies are directly underwritten; you may be referred to a different company

Progressive renters insurance discounts:

• Auto and renters bundling
• Advance quoting
• Paperless
• Pay in full

Nationwide

Nationwide ranked in the number one spot for customer satisfaction on J.D. Power's 2022 renters insurance survey. With various policies available, Nationwide is a one-stop shop for customers, which may add to their overall satisfaction with the company.

Pros:

• Available in most locations
• No. 1 for customer satisfaction with J.D. Power
• Brand New Belongings replacement cost coverage available

Cons:

• Rates are higher than competitors
• Few discounts

Nationwide renters insurance discounts:

• Auto and renters bundling
• Home safety devices
• Claims-free

Allstate

Allstate has the cheapest renters' insurance rates of the companies we surveyed outside of USAA, which is only open to military families.

Pros:

• Cheap rates
• Available nationwide
• Easy online quoting

Cons:

• Lower J.D. Power rating
• You're required to have an agent, even if you prefer to handle things online

Allstate renters insurance discounts:

• Auto and renters bundling
• 55+ and retired
• Easy pay plan
• Windstorm mitigation (in some areas)

Best renters insurance for military families: USAA

USAA consistently scores highest in the J.D. Power renters insurance study every year based on what policyholders have to say. It’s also the cheapest overall, with an average rate of $188 a year.

Although USAA scores high with customers and provides comprehensive renters insurance for a low price, it doesn’t win the award for best renters insurance based on one important factor — USAA isn’t available to everyone. Only military members, veterans and their families can get coverage.

How to compare renters insurance companies

Not sure how to choose the best renters insurance company? Comparing renters insurance companies takes just a few simple steps.

• Request quotes from three to five companies, ensuring the coverage level is the same on each policy.
• Review the coverage and check for any extras or exclusions that differentiate them.
• Compare the rates.
• Look at each company's reputation using J.D. Power, AM Best and any other third-party ratings to ensure the company is reputable.

How much does renters insurance cost?

Insurance.com found that the average cost of renters insurance is $347 per year, which is only $29 per month. However, your premiums may be lower based on where you live, the level of coverage you get and the carrier you choose.

Why do I need renters insurance?

Without renters insurance, there is no coverage for your personal property. Many renters think that they don't own anything of a high value, so they don't need coverage. But imagine what would happen if the home you rent were to burn to the ground. How much would it cost to replace everything you own?

That includes all of your furniture, clothes, dishes, electronics and everything else in your home. It's easy to underestimate the value of all of your belongings. You don't have to own fancy jewelry or expensive home theater equipment to make renters insurance a worthwhile investment.

Most carriers will pay for damages caused if your water heater fails or a pipe leaks. However, they are not typically covered if your belongings are lost due to flooding from heavy rainstorms or a hurricane. Renters can purchase flood insurance if they live in high-risk areas.