How much is home insurance on average

If we went off an average of what homeowners in the United States paid for home insurance it would roughly be $1,585 annually. Please keep in mind homeowners insurance rates will vary from state to state and city to city. The cost of home insurance will also differ from homeowners insurance company to homeowners insurance company.

The amount you end up paying for home insurance will depend on a few different factors such as the size of your home, security features installed, the zip code you’re in, how much home insurance you need, special features on the property, the value of the contents of the home and more. 

How much is average cost of homeowners insurance in California?

The average cost for homeowners insurance in the Golden State is roughly $1,280 annually. Despite the fairly high cost of living, California is well below the national average. Keep in mind each city will have different home insurance rates. The state of California is very big and has many different risks. There are earthquakes, flooding and wildfires. Earthquakes and flooding are not included in your standard home insurance policy. In addition, wildfires are getting the point where some homeowners insurance companies will not even offer coverage to some zip codes.

If you are having trouble finding home insurance in a high brush area you have options. At Eugene C Yates Insurance Agency we have been successful in getting our clients coverage with the California FAIR Plan and Difference in Conditions policies. Please reach out to us if you have found it difficult to get home insurance. 

Homeowners insurance 6 coverage areas

There are 6 standard coverage areas within your home insurance policy. The following are what should be included in your homeowners insurance rate:

Dwelling:

Dwelling coverage will help to pay for damage to your home if a covered peril were to take place. Covered perils may be windstorms, fire & smoke, vandalism, theft and more.

Personal property:

Personal property coverage helps to pay for the contents of your home such as furniture, clothing, electronics, jewelry and more, if they are stolen or damaged. 

Other structures:

Other structures coverage will help to cover the detached structures on your property such as gazebos, fences, sheds and more. 

Loss of use:

Loss of use coverage better known as additional living expenses (ALE), will help to cover expenses that may occur if you’re unable to live in your home. It can cover meals out, hotel stays, loss of rental income and more. 

Personal liability:

Personal liability coverage helps to cover you if someone is hurt or injured on your property. 

Medical payments:

Medical payments coverage will help to cover your others medical bills if someone is injured on your property. 

What factors affect the average cost of homeowners insurance?

Homeowners insurance providers will use a variety of factors to determine your homeowners insurance rates. Below are some of the most common:

The age and size of your home:

Typically newer homes have less issues due to having new roofs and appliances, therefor they usually will get a lower home insurance rate than an older home. Other factors that may come into play will be the cost to rebuild the home, the overall cost of the building materials. If you have a very large home there is probably more risk involved. More risk usually means higher rates.

The zip code you live in:

The area you live in plays a major role in determining your rate. You may live in an area prone to wildfires, earthquakes or flooding. If so you may want to expect a higher home insurance rate. If the crime level is high in your neighborhood you may also see an increase due to that. 

Special features:

Items such as swimming pools, trampoline, and other things that pose additional risk can create a hike in your home insurance premium. 

Coverage limits:

If you have higher coverage limits than your neighbor, you more than likely will have a higher home insurance rate. 

Home insurance deductible:

Your homeowners insurance deductible will play a major factor in determining your rate. Keep in mind, the higher your deductible is, the lower your home insurance rate will be. The lower your deductible is, the higher your homeowners insurance rate will be. 

Claims history:

If you have a history of making a lot of claims, more than likely you will have to deal with higher home insurance rates. 

Homeowners insurance quote

If you would like a custom homeowners insurance quote, please give us a call today at 916 313 6100