How much is homeowners insurance on a $300,000 house?

What is the average cost of homeowners insurance for a $300k house?

The national average rate for homeowners insurance on a $300,000 house is $2,543 a year, based on $300,000 in dwelling coverage and liability with a $1,000 deductible. Your cost could be much higher or lower depending on key factors.

Average annual and monthly homeowners insurance cost for a $300k dwelling
Coverage	Average annual premium	Average monthly premium
$300k dwelling, $300k liability, $1,000 deductible	$2,543	$212

Read our methodology

One of the biggest factors is your ZIP code. Insurance companies look at the weather and claims trends in your part of the country.

If your deductible is higher, your rates will be slightly lower. A lower deductible means slightly higher rates. The inverse applies to your liability coverage limits: lower liability limits come with lower rates, and vice versa.

Unfortunately, a poor credit score means you will pay significantly more for home insurance – upwards of 50% to 90% more, depending on the state and the carrier you choose.

The only way to get an accurate idea of the cost of home insurance on your $300,000 home is to calculate your home’s replacement cost and request quotes. Remember that your quotes should reflect that replacement cost, not your home’s market value. You can utilize an online calculator to get estimates using your ZIP and coverage amounts.

State-by-state cost of homeowners insurance for a $300k house

Homeowners insurance for $300,000 in dwelling coverage varies from state to state due to weather patterns and other factors.

Florida is the most expensive state for insurance on a $300,000 house at an average of $7,136 a year
Hawaii is the cheapest state to insure a $300,000 home at an average of $659 a year (note that Hawaii home insurance policies don't cover hurricanes)

Take a look at the table below for average annual rates by state. Hurricane deductibles apply in 19 states and Washington, D.C.

Homeowners insurance rates by state for $300,000 coverage
State	Annual premium for a $300K house	Monthly premium for a $300K house	Hurricane deductible
Alabama	$3,633	$303	2%
Alaska	$1,397	$116	None
Arizona	$2,344	$195	None
Arkansas	$3,733	$311	None
California	$1,616	$135	None
Colorado	$4,963	$414	None
Connecticut	$1,905	$159	2%
Delaware	$1,374	$115	2%
Florida*	$7,136	$595	2%
Georgia	$2,323	$194	2%
Hawaii*	$659	$55	None
Idaho	$2,240	$187	None
Illinois	$2,643	$220	None
Indiana	$2,887	$241	None
Iowa	$2,902	$242	None
Kansas	$5,260	$438	None
Kentucky	$4,042	$337	None
Louisiana	$5,986	$499	2%
Maine	$1,335	$111	2%
Maryland	$1,918	$160	2%
Massachusetts	$1,483	$124	2%
Michigan	$2,924	$244	None
Minnesota	$2,729	$227	None
Mississippi	$2,529	$211	2%
Missouri	$3,979	$332	None
Montana	$3,215	$268	None
Nebraska	$4,553	$379	None
Nevada	$1,774	$148	None
New Hampshire	$1,300	$108	2%
New Jersey	$1,421	$118	2%
New Mexico	$2,869	$239	None
New York	$1,683	$140	2%
North Carolina	$3,124	$260	2%
North Dakota	$2,982	$248	None
Ohio	$2,118	$177	None
Oklahoma	$5,010	$417	None
Oregon	$1,572	$131	None
Pennsylvania	$1,529	$127	2%
Rhode Island	$2,445	$204	2%
South Carolina	$2,974	$248	2%
South Dakota	$3,760	$313	None
Tennessee	$2,958	$247	None
Texas	$4,085	$340	2%
Utah	$1,814	$151	None
Vermont	$1,063	$89	None
Virginia	$2,074	$173	2%
Washington	$1,753	$146	None
Washington, D.C.	$1,656	$138	None
West Virginia	$1,860	$155	None
Wisconsin	$1,812	$151	None
Wyoming	$2,075	$173	None

Read our methodology

*Standard homeowners insurance in Hawaii doesn't include hurricane coverage

Estimate your premium for a $300k home: Use our calculator

To use the calculator:

Enter your ZIP code
Select your dwelling coverage amount (remember that's not the market value, it's the replacement cost of your home)
Select your liability coverage (Experts recommend $300,000, which costs only about $20 more annually than the standard $100,000)
Choose your deductible (A higher deductible will mean lower rates)

Example: You paid $250,000 for your house. However, the calculated replacement cost of your home is actually $300,000. You would choose the $300,000 dwelling coverage value for your insurance estimate.

$300k homeowners insurance calculator

Average home insurance rates on 300K house in Texas

Most & least expensive ZIP codes for homeowners insurance in Texas

Most expensive
Least expensive

ZIP code	City	Highest rate
77550	Galveston	$10,164
77586	El Lago	$9,906
77551	Galveston	$9,536
77554	Galveston	$9,358

ZIP code	City	Lowest rate
78559	Iglesia Antigua	$1,956
78593	Santa Rosa	$1,999
79915	El Paso	$2,008
79905	El Paso	$2,009

Read our methodology

What are the best homeowners insurance companies for a $300k house?

Amica comes out on top as the best home insurance company for a $300,000 home. That’s based on Insurance.com’s analysis of a combination of rates, National Association of Insurance Commissioners (NAIC) complaint index and AM Best Financial strength ratings.

Amica has the lowest rates and the lowest complaint ratio, earning it the top spot in our ranking. Amica is also a national company, available in most states, which makes it accessible to more people.

See how major insurance companies ranked below.

Top-ranked homeowners insurance companies with annual premiums
Company	AM Best	NAIC	Average annual premium	Insurance.com rating
Amica	A+	0.37	$1,510	4.51
Travelers	A++	0.91	$2,235	4.30
Allstate	A+	1.26	$2,049	4.23
State Farm	A+	1.15	$2,448	4.12
Farmers	A	0.89	$2,820	4.00
Nationwide	A	1.34	$2,983	3.83
Progressive	A+	1.50	$4,227	3.42
USAA	A++	0.46	$2,401	4.49

Read our methodology

Tip: Shop around: Rates vary by carrier, so the more quotes you get, the more likely you are to get a better deal.

How does the deductible affect the cost of homeowners insurance on a $300,000 house?

Choosing a higher deductible reduces your rates. Company-specific examples include:

Savings of $422 for going from a $500 deductible to $2,000 with State Farm
Savings of more than $1,000 a year for going from a $500 deductible to a $5,000 deductible with Progressive
You'll save $355 going from a $500 deductible to a $2,000 deductible with Erie Insurance

The most significant decrease with most companies comes with the jump from $500 to $2,000 or $2,500, so in some cases, it's not worth going much higher.

Not every company offers each of these deductibles, so you may note no change in premium. That's because there is no data to adjust for that deductible correctly. Furthermore, in some cases rates may appear higher for a higher deductible (American Family, for example); this is due to fluctuations in available deductibles by state.

Annual premium for a $300k home by deductible amount for major insurers
Company	$500 deductible	$2,000 deductible	$2,500 deductible	$3,000 deductible	$4,000 deductible	$5,000 deductible
Allstate	$2,916	$2,160	$2,134	$2,094	$1,965	$1,963
American Family	$1,958	$2,937	$2,906	$2,892	$2,705	$2,705
Auto-Owners	$3,297	$2,842	$2,801	$2,801	$2,644	$2,644
Erie Insurance	$3,325	$2,970	$2,872	$2,805	$2,681	$2,562
Farmers	$4,145	$3,557	$3,544	$3,509	$3,078	$3,076
Nationwide	$3,244	$2,605	$2,574	$3,022	$2,661	$2,641
Progressive	$5,129	$4,224	$4,224	$4,189	$3,934	$3,934
State Farm	$2,701	$2,279	$2,219	$2,168	$2,062	$2,128
Travelers	$7,860	$7,130	$6,872	$6,893	$5,990	$5,972
USAA	$2,468	$2,000	$1,994	$1,877	$1,691	$1,685

Read our methodology

Reminder: Ensure you can afford the out-of-pocket amount before choosing a high deductible.

Homeowners insurance on a $300,000 house by liability level

A standard policy comes with $100,000 in liability coverage, but the average difference in cost between $100,000 and $300,000 is only $30 a year. Most experts recommend increasing your limits.

The table below shows what a few national carriers charge for different liability limits.

Home insurance premiums with $100k vs. $300k liability: By carrier
Company	$300,000 with $1,000 deductible and $100,000 liability	$300,000 with $1,000 deductible and $300,000 liability
Allstate	$2,020	$2,049
American Family	$2,743	$2,759
Auto-Owners	$2,824	$2,840
Erie Insurance	$2,770	$2,783
Farmers	$2,781	$2,820
Nationwide	$2,968	$2,983
Progressive	$4,186	$4,227
State Farm	$2,336	$2,448
Travelers	$2,218	$2,235
USAA	$2,400	$2,401

Read our methodology

How much is homeowners insurance on a $300,000 house with bad credit?

A homeowner with a poor credit score pays about $3,300 more per year for home insurance than someone with an excellent credit score. Why? Statistics show that people with poor credit are more likely to file a claim.

Recent data from the Consumer Federation of America show that home insurers put more weight on credit than on natural disaster risk when it comes to rate calculations. They charge twice as much for having a lower credit score.

California, Maryland and Massachusetts prohibit the use of credit scores for insurance rating.

Take a look at the table below to see the homeowners insurance rates for different credit score profiles at different liability coverage limits.

Home insurance rates by credit tier and liability coverage for a $300,000 house
Credit tier	$300,000 with a $1,000 deductible $100,000 liability	$300,000 with $1,000 deductible and $300,000 liability
Excellent	$2,177	$2,198
Good	$2,620	$2,649
Fair	$3,228	$3,270
Poor	$5,453	$5,512

Read our methodology

Reminder: Maintaining good credit is one of the most effective ways to lower your home insurance cost.

How can you save on homeowners insurance for a $300k home?

Get lower insurance rates with the following six tips.

Raise your deductible. Experts recommend choosing the highest deductible you can afford. Raising your deductible from $500 to $2,000 can save $400 to $1,000 or more a year, depending on your carrier.
Bundle with auto insurance. An auto home bundle can save you as much as 25%.
Improve your credit score. Better credit means better home insurance rates.
Upgrade your home. Upgrades to your roof, siding and systems like plumbing and electrical will all reduce your rates. So will safety upgrades like a security system.
Shop around. Rates vary widely from company to company, so shop around regularly for a better deal.
Ask about discounts. You might not automatically get all the discounts you're eligible for, so be sure to ask.

How much coverage do you need to insure a $300k home?

You need enough coverage to rebuild your home from the ground up at today's cost.

“You need replacement cost coverage, which is enough insurance to rebuild the home the way it was,” says Brenda Wells, the Robert F. Bird Distinguished Professor of Risk and Insurance at East Carolina University. “Replacement cost coverage is how you determine the dwelling coverage limits of your home insurance, Coverage Section A of your policy. This is the overall structure of your home. One easy way to calculate replacement cost is to take the square footage of your home and multiply it by the average cost of building materials and labor in your part of the country. However, your insurance agent or representative can provide a more detailed calculation.”

Remember that if you paid $300,000 for your home, that doesn’t mean you need $300,000 in dwelling coverage. The correct amount may be more or less, based on the actual cost to rebuild your home at today’s prices. It’s important to get the replacement cost calculation right.

“I personally feel that you should have your insurer help you estimate the replacement cost of the house,” Wells says. “They have tools to do that. If you are going to make an error, err on the side of over-insurance rather than under-insuring. In the event of a loss, you’ll be glad you had more insurance than needed.”

EXPERT TIP: Flooding is not covered by a standard homeowners insurance policy. You'll need to purchase a separate flood insurance policy to be covered for overland flooding.

You’ll also want to review the other coverage sections of your policy carefully to ensure you choose the right limits for your situation. These sections are:

Other Structures. Coverage B on your policy, which protects detached fences, garages, sheds, etc. It’s usually about 10% of your dwelling coverage.
Personal Property. Coverage C, which protects all your “stuff” inside the home, all your belongings.
Additional Living Expenses/Loss of Use. Coverage D, which pays for a place to live if your house is being repaired and is uninhabitable.
Liability. Coverage E, which protects you from costs associated with injuries or damage to others for which you are liable. Experts recommend $300,000 to $500,000.

It’s also a good idea to check with your mortgage company to see what coverage is required.

How to estimate the homeowners insurance premium for a $300k house

To estimate your homeowners insurance premium, you will need to do a few things:

Confirm the replacement cost of the home. Your replacement cost may be higher or lower than the market value of your home; if you paid $300,000 for the house, the replacement cost may be higher or lower. It's important to ensure this number is accurate.
Decide what deductible amount you want. A higher deductible means lower rates, but you should be sure you can afford it.
Use our insurance estimator tool. Enter your ZIP code and coverage requirements into our home insurance calculator, found on this page, to estimate your home insurance cost.

What are the key factors that drive homeowners insurance cost on a $300k home?

There are a few key factors that affect the cost of homeowners insurance on any home, no matter its value. These are:

Your ZIP code. “Location of the home is a big one, because weather can cause a lot of losses,” Wells says. The more severe the weather in your area, the more likely you might sustain damage to your home and need to file a claim. This means you are riskier to insure than someone living in a calm weather area.

The amount of coverage you purchase. The amount of dwelling and liability coverage you choose will greatly affect your costs. Dwelling is the biggest portion of your insurance, as it protects the overall structure of your home. The bigger your home and the more money you would need to rebuild it after damage, the more it will cost you in premiums.

Your deductible. You can choose your deductibles when you set up your policy. Some people prefer a lower deductible, which means you’ll be responsible for less out-of-pocket expense if you file a claim. Lower deductibles can mean higher overall rates, though. A higher deductible usually means a lower premium, but you’ll need to pay more for your share in the event of a claim before the insurance company pays its portion.

Your credit rating. Insurers look at all types of risk when calculating your premiums, and credit score is one of them. “Low credit scores are correlated with losses,” Wells says.

Other factors also apply, such as your personal claims history and even the claims history of the property itself. Filing a claim can raise your rates significantly, and you can request a CLUE (Comprehensive Loss Underwriting Exchange) report, which is a copy of the property's claims history, before you buy the home.

Some things are out of your control, like what’s going on with the insurance market in your state. Shopping around to compare multiple quotes with multiple carriers is your best bet to find a policy that is most suitable and affordable for your needs.

Methodology

We partner with Quadrant Information Services to field home insurance rates in all 50 states and D.C. National and state home insurance averages are based on the following parameters:

$300,000 in dwelling coverage
$300,000 in liability coverage
A $1,000 deductible
A 2% hurricane deductible in applicable states
Good credit

Additionally, we receive rates for dwelling coverages of:

$200,000
$400,000
$600,000
$1,000,000

We also gather data for:

Deductibles ranging from $500 to $5,000
$100,000 in liability coverage
All credit levels

Learn more about our data and methodology.

FAQ: Homeowners insurance for a $300k home

Can I insure my $300k house for less than the replacement cost?

You can, but it’s not recommended. While you can choose to insure for less than the calculated replacement cost, it could affect your settlement in the event of a claim. Insurance companies use the 80% (80/20) rule, where if a home is insured for less than 80% of its replacement cost, claim settlements can be reduced accordingly.

What is dwelling coverage?

Dwelling coverage is the part of your home insurance policy that covers the structure of your home and any attached structures, such as a deck. It reflects the cost to rebuild your home with materials of like kind and quality at today's prices, and is not related to the market value of your home.

Is replacement cost coverage mandatory for a $300k home?

It’s not mandatory, but it's always recommended by experts. ”If you want to rebuild the home after a loss, I cannot think of too many situations that would call for anything other than replacement cost insurance,” Wells says. Always check with your mortgage company – they might require certain coverage limits while the bank still owns your house. Standard home insurance policies include replacement cost coverage for the dwelling.

Why isn't my home insured for market value?

Homes are not insured for market value because that value includes the land (not covered by home insurance) and is affected by factors unrelated to insurance, like being in a highly rated school zone, which can impact your home's market value. While the market value can increase dramatically due to fluctuations in home inventory and a neighborhood's desirability, that doesn't affect your home's replacement cost.

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