How much is homeowners insurance on a $200,000 house?

How much is homeowners insurance for a $200,000 house?

Typically, homeowners pay an annual average of $2,005 or $167 per month for homeowners insurance on a $200,000 house. Average house insurance cost varies not only based on the replacement cost of the home but also based on other factors like where the house is located; home insurance rates vary by state. 

Below, you’ll find the average cost of home insurance for a $200K house by state. These rates are based on coverage limits of $200,000 for the dwelling $300,000 of liability and a $1,000 deductible.

What are the five cheapest states for homeowners insurance on a $200,000 home?

The five cheapest states to insure a home at $200,000 in dwelling coverage are:

• Hawaii: $461 a year, $1,544 below average
• New Hampshire: $948 a year, $1,057 below average
• Vermont: $974 a year, $1,031 below average
• Maine: $1,021 a year, $984 below average
• California: $1,043 a year, $962 below average

Washington, D.C., although not a state, is also among the cheapest. See each state's average annual premium

It's worth noting that home insurance costs less in these states overall, so homeowners insurance premiums there are generally affordable at any coverage level. That's a large part of why homeowners insurance on a $200k home is cheaper in these states.

How much is home insurance on a $200,000 house per month?

Based on the average annual rate of $2,005, the average cost of insurance per month for a $200K home is $167. 

To figure out your monthly budget, knowing the average home insurance cost per month is helpful. The easiest way to calculate your monthly home insurance cost is to divide the annual costs shown above by 12; however, there may be fees added to your premiums when you pay monthly.

It’s common to pay for your home insurance as part of your monthly mortgage payment. The mortgage company pays it annually from an escrow account and then charges you each month.

Homeowners insurance on a $200,000 home by company

Erie Insurance has the lowest rates at the $200,000 dwelling coverage level at $1,583, but it's not available everywhere. The cheapest national insurance company is State Farm at $1,693 annually. Travelers has the highest average rates at $3,419. These rates will be impacted by where you live and other factors.

Homeowners insurance on a $200,000 home by liability level

The amount of your dwelling coverage impacts on your rates more than how much liability you have, which means increasing your homeowners liability limits is a cheap way to get a lot more coverage. Take a look at the difference in rates with $100,000 or $300,000 in liability.

Homeowners insurance on a $200,000 by credit rating

Homeowners with excellent credit will pay, on average, $1,668 a year, or $2,215 less than those with poor credit. Your credit history affects your home insurance rates in most states. Here’s a look at homeowners insurance premiums for a $200,000 policy for scores ranging from poor to excellent credit.

How to lower home insurance rates for a $200,000 home

To get the best price on your home insurance:

• Shop around. The best way to save is to compare rates from as many companies as you can.
• Ask about homeowners insurance discounts
• Consider a home and auto bundle to reduce your rates.
• Increase your deductible. A higher deductible means lower rates, but make sure you can afford it.

It’s vital when looking for ways to save that you don’t underinsure your home. If something goes wrong, the out-of-pocket costs will be much higher than what you would have paid in premiums.

Helpful home insurance tools and calculators

• Home insurance calculator
• Condo insurance calculator
• Renters insurance calculator
• When to file a home insurance claim