Top 10 most and least expensive states for homeowners insurance in 2025

The states with the most expensive homeowners insurance rates 

Florida, Louisiana and Kansas have the highest homeowners insurance rates in the U.S. when compared to the national average premium of $2,543 annually. 

1. Florida: $7,136. Florida experiences numerous extreme weather-related events, including hurricanes, tornadoes and floods, which have caused many insurers to withdraw coverage and increase rates in the past few years.
2. Louisiana: $5,986. Louisiana experiences severe weather, such as hurricanes, and has seen insurers leave the state or go out of business in recent years. 
3. Kansas: $5,260. Kansas routinely experiences severe weather, such as tornadoes, high winds and hail, which drives up the cost of homeowners insurance. 

Below, we’ve listed the 10 most expensive states for homeowners insurance and the cheapest insurer in each state. 

Florida 

Homeowners insurance rates in Florida average $7,136, which is $4,593 higher than the national average.  

• State Farm offers the cheapest average rates at $4,654 a year. 
• Coastal areas of Florida have much higher home insurance costs than homes farther inland. 
• Many Florida homeowners insurance policies include a special hurricane deductible in order to offer coverage for hurricane damage. 

Louisiana 

Louisiana homeowners insurance rates average $5,986 annually, $3,443 above the national average.  

• Farmers offers the cheapest home insurance rates in Louisiana, averaging $2,635 annually.
• Louisiana rates are more expensive near the Gulf Coast due to the risk of hurricanes. 

Kansas 

Homeowners insurance in Kansas averages $5,260 per year, which is $2,717 more than the national average. 

• Allstate has the cheapest average rates for Kansas homeowners insurance at $3,864 annually. 
• The frequency of tornadoes and other severe weather drives up the cost of home insurance in Kansas. 

Oklahoma 

Oklahoma homeowners insurance averages $5,010 annually, $2,467 more than the national average.  

• Allstate has the lowest average homeowners rates in Oklahoma, averaging $3,736 per year. 
• Oklahoma experiences a variety of severe weather events that impact rates. 

Colorado 

Home insurance in Colorado averages $4,963 a year, $2,420 more than the national average.  

• Allstate offers the most affordable Colorado homeowners insurance on average at $2,517 annually.
• The increasing risk of wildfires is impacting the cost of home insurance in Colorado. 

Nebraska 

Nebraska homeowners insurance averages $4,553 a year, which is $2,010 higher than the national average.  

• Farmers has the cheapest Nebraska home insurance, with average rates of $4,137 a year. 
• Nebraska experiences a range of weather conditions, from tornadoes to major storms, which raises the cost of insurance. 

Texas 

Homeowners insurance in Texas averages $4,085 per year, $1,542 above the national average.  

• Farmers offers the most affordable Texas homeowners insurance, with an average annual cost of $4,069. 
• Texas faces risks including hurricanes, tornadoes and other major storms, which results in higher insurance rates. 

Kentucky 

Kentucky homeowners insurance averages $4,042 annually, which is $1,499 more than the national average. State Farm offers the most affordable Kentucky home insurance rates, averaging $2,796 per year. 

Missouri 

Homeowners insurance in Missouri averages $3,979 a year, about $1,436 higher than the national average.  

• Allstate offers the most affordable Missouri homeowners insurance with rates averaging $2,849 a year. 
• A location in “Tornado Alley” and rising costs for materials are factors contributing to Missouri’s high insurance rates. 

South Dakota 

South Dakota homeowners insurance rates average $3,760 per year, which is $1,217 higher than the national average.  

• Allstate offers the most affordable home insurance in South Dakota, with rates averaging $2,694 annually. 
• South Dakota experiences both severe winter weather and significant wind and hail storms, increasing costs. 

States with the lowest homeowners insurance rates  

Hawaii, Vermont and New Hampshire have the lowest average homeowners insurance premiums compared to the national average. 

1. Hawaii: $659. Hawaii’s low homeowners insurance rates are mainly due to the coverage offered. Home insurance doesn’t include coverage for hurricanes.
2. Vermont: $1,063. Vermont doesn’t experience major weather-related events that can significantly increase the cost of homeowners insurance, keeping rates low.  
3. New Hampshire: $1,300. In addition to few weather-related events, New Hampshire has many insurers writing policies and competing for homeowners insurance policies. These keep rates low for New Hampshire residents. 

The ten states with the lowest homeowners insurance rates are listed below, along with the most affordable insurer in each state. 

Hawaii 

Hawaii’s homeowners insurance rates average $659 a year, which is $1,884 less than the national average.  

• Universal Insurance Company offers the most affordable home insurance rates in Hawaii, with an average annual rate of $421. 
• A standard Hawaii home insurance policy typically excludes coverage for hurricanes, which can significantly lower rates. 

Vermont 

Homeowners insurance in Vermont averages $1,063 annually, $1,480 below the national average.  

• Vermont Mutual has the most affordable homeowners rates in Vermont, with average annual rates of $773. 
• Vermont doesn’t face many significant weather risks and has a low population density, which translates to lower rates. 

New Hampshire 

New Hampshire homeowners insurance premiums average $1,300 annually, which is $1,243 below the national average.  

• Amica offers the most affordable home insurance premiums in New Hampshire, averaging $815 per year. 
• Like Vermont, New Hampshire’s low risk of major natural disasters and smaller population keep rates low. 

Maine 

Maine’s average homeowners insurance rates are $1,335 per year, which is $1,208 less than the national average.  

• Vermont Mutual offers the lowest homeowners insurance rates in Maine, averaging $767 a year. 
• Although Maine is at risk of coastal storms, its rates remain lower due to a smaller population and lower rebuilding costs. 

Delaware 

Homeowners insurance rates in Delaware average $1,374 annually, which is $1,169 below the national average.  

• Cumberland Insurance offers the cheapest home insurance in Delaware, averaging $1,014 per year.
• Much like other small states, Delaware’s low population density helps to keep rates low. 

Alaska 

Alaska homeowners insurance averages $1,397 per year, which is $1,146 less than the national average.  

• Western National Insurance offers the most affordable home insurance rates in Alaska, averaging $1,135 per year.
• Although rebuilding costs can be high in remote locations, Alaska has little risk of major natural disasters that would affect home insurance rates. 

New Jersey 

Homeowners insurance in New Jersey averages $1,421 annually, which is $1,122 below the national average.  

• National General offers the cheapest New Jersey home insurance, with average annual rates of $1,036.
• New Jersey has a relatively low risk of major natural disasters. 

Massachusetts 

Massachusetts homeowners insurance premiums average $1,483 per year, which is $1,060 below the national average.  

• Heritage Insurance Holdings offers the cheapest home insurance in Massachusetts, with average annual rates of $990. 
• Massachusetts, like other northeastern states, has a lower risk of disasters like wildfires and tornadoes. 

Pennsylvania 

Homeowners insurance in Pennsylvania averages $1,529 annually, which is $1,014 less than the national average.  

• Allstate offers the cheapest Pennsylvania home insurance with average annual rates of $1,218. 
• Pennsylvania has a low risk of wildfires, major storms and other major disasters. 

Oregon 

Oregon homeowners insurance averages $1,572 per year, which is $971 below the national average.  

• State Farm offers the most affordable home insurance in Oregon, with average annual rates of $1,029. 
• Most of Oregon’s population lives in areas away from both the coast and wildfire-prone regions, which keeps average rates lower. 

The factors that explain why homeowners insurance rates vary by state  

Several factors influence the cost of homeowners insurance in each state, including: 

• Weather patterns. Weather-related events, such as hurricanes, tornadoes, and wildfires, are among the most significant factors affecting home insurance premiums. Areas that experience frequent natural disasters have significantly higher insurance costs because insurers pay hefty claims. 
• Labor and material costs. Premiums can increase in areas that lack enough skilled labor to repair homes or where it is difficult to get materials for repairs. 
• State-specific regulations. Building regulations and laws in each state can lead to increased insurance rates. Areas with increased or challenging regulations can make it difficult for builders to make repairs or build new homes. 
• How rate increases are regulated. Some states have little oversight or limits on insurance company rate increases, while others restrict increases heavily. 

State-by-state homeowners insurance rate averages 

The map below shows the average cost of homeowners insurance in each state based on $300,000 in liability coverage with a $1,000 deductible. 

Expert tips for lowering your homeowners insurance premiums 

Although homeowners insurance can be expensive, there are ways to get the lowest rates available. They include: 

• Bundling policies. Most insurers offer a bundling discount on both auto and home when you buy them together. 
• Increasing your deductible. The deductible is the amount you pay before your insurance coverage kicks in. A higher deductible means less that your insurer has to pay on a claim.
• Adding safety features. You may qualify for discounts if you install safety features in your home, such as a security alarm or fire suppression system. 
• Completing home improvements. Improvements, such as a new roof, wiring, or plumbing, can decrease rates and may qualify for additional discounts, as you are less likely to file a claim. 
• Shopping around. Every insurer calculates insurance rates differently and offers different discounts. Compare rates and discounts from multiple companies to find the best deal. 

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