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Whether you are a first-time homebuyer or have had coverage for decades, choosing the best homeowners insurance company means finding coverage that matches your needs, without overpaying for it. Price is important, but company’s customer service gives you peace of mind should you have to file a claim.
Those are key markers to show a person’s satisfaction with their company and coverage. To help identify the best homeowners insurance companies, Insure.com conducts an annual survey with real consumers like you to rank 15 major carriers across different customer service metrics. This guide will help you make a fair decision, also know what policyholders say about these companies in our 10th annual survey.
What are the 10 best home insurance companies?
State Farm
American Family
Liberty Mutual
Allstate
AIG (American International Group)
Safeco
Erie
Auto-Owners
Travelers
Nationwide
Our team of experts, with more than 35 years of combined industry experience, also identified who has the best home insurance for various homeowner profiles and those looking for specific customer service features.
Who are the top 5 home insurance companies for features and service?
- Best home insurance company overall: State Farm
- Best home insurance company for customer satisfaction: American Family
- Best homeowners insurance company for price: Travelers
- Best homeowners insurance discounts: Farmers
- Best homeowners insurance for auto insurance bundles: Nationwide
- Best homeowners insurance for military: USAA
Best homeowners insurance company overall: State Farm
State Farm- Wide network of agents but also a customer-friendly website and apps.
- Website provides robust educational tools and financial calculators.
- State Farm had the highest percentage that would renew a policy (97%).
- Limited discounts.
State Farm received a four-star InsureScore for claims handling and customer service, has industry-best educational resources and tools and a host of specialized coverage options.
Found in 1922, by Illinois farmer G.J. Mecherle, State Farm started small with a focus on good service and great value.
The original mission was to treat its customers fairly and to do right by them. By remaining in the communities 100 years later, that mission still seems to hold true, and even has a presence in its business tagline: Like a good neighbor, State Farm is there.
Its commitment to safety education is apparent with his community programs aimed at reducing injury and loss, as well as teaching safety, especially to young drivers.
Today, the company handles 84 million policies.
In addition to standard home coverage, State Farm has an increased replacement cost coverage feature that automatically boosts your replacement cost coverage up to 20% as long as you’ve insured your home at least up to its estimated replacement cost. Another add-on you can buy will help pay the extra cost replace broken heating or cooling systems with energy efficient ones. State Farm also has a benefit that pays to replace large appliances. You can also buy coverage to help for expenses if you need to move or repair your home due to building laws. It also sells earthquake insurance.
- “Good customer service and rates. Easy to do business with.”–Ohio, age 67
- “The customer service reps really go above and beyond, and the prices are among the lowest.”–Mississippi, age 49
- “Great company, reasonable prices and excellent customer service.” –Indiana, age 38
- “When I had a problem with my roofing and needed to replace it, I called an agent and they took the time to solve my claim and the inspector came to see the house and in this same day they provided me with a check.” –Arizona, age 41
- “I have been with them for over 20 years and they always do a good job for us.” –Kansas, age 70
Best home insurance company for customer satisfaction: American Family
American Family- Ninety-four percent of surveyed customers said they’d renew a policy.
- A lot of special coverages and discounts.
- Availability is somewhat limited as American Family only operates in 19 states.
American Family earned a four-star InsureScore for both claims and customer service and has a very low amount of complaints filed with state regulators.
In 1927, Herman Wittwer launched Farmers Mutual Automobile Insurance Company on October 3rd in Madison, WI.
By 1948, State Farm Mutual of Madison renamed Farmers Mutual Insurance Company of Wisconsin and in 1957 Farmers Mutual introduced sickness and accident insurance.
In 1958, the company got into homeowners insurance and opened the highly successful American Family Life Insurance Company. They quickly expanded to ten states.
American Family Mutual Insurance Company, S.I. is born in 1963 when they made the final name change to the company and in 1975 – American Family launched their Commercial Lines and became the fifth-largest mutual auto insurer in the country.
By 1977, American Family celebrated its 50th birthday with 2.3 million policies and 2,360 agents and by 1981, American Family had assets surpassing $1 billion.
2017 was American Family’s 90th year in business and they are now Wisconsin’s fourth-largest company with revenue of $8.8 billion.
In addition to standard coverage, American Family offers some specialized add-ons. You can buy coverage for matching siding, which will pay to replace undamaged siding so that it matches the siding of the damaged area. You can also add coverage for family members living in nursing homes or assisted living homes. The relative’s personal possessions are covered under your policy. Under this benefit, your relative is also covered if he or she causes accidental injuries to others or damages to others’ property. (Injuries to personnel of the nursing home or assisted living facility are not covered by this additional coverage.)
American Family now offers a diminishing deductible you can buy that reduces our deductible over time. Your deductible will be cut by $100 yearly at renewal, up to your policy’s maximum limit. Discounts beyond the typical kind include those for smart homes and a generational discount. If you have a smart-home security system equipped with sensors that detect smoke, fire and water, you can snag a discount. American Family also has a generational discount – if you’re between the ages of 18 to 30 and your parents have an active home or auto policy with American Family, you could save more with on your home policy.
- “They helped me extremely well after damage to my property after a recent hurricane. I was amazed how quickly an agent was sent to my home to assess my problems. Before the week was out, I had been reimbursed for the cost of restoring my property.” –Connecticut, age 73
- “Travelers is an outstanding insurance company. I have never had a claim experience that was negative from this provider. They really are there for you when you need them to be. Customer Service is outstanding and the rates are extremely competitive for the coverage you receive.” –Georgia, age 65
- “They gave me a reasonable price on a rental property I own. They allowed a wood stove and no pet restrictions on my policy with tenants.” –Maine, age 53
- “We submitted a claim and it was accepted and paid very quickly with little effort on our part.” –Massachusetts, age 76
Best homeowners insurance for price: Travelers
Why we recommend it: Travelers had the lowest rates for coverage among carriers surveyed, and also a low level of complaints filed with state regulators.
Editors’ pros and cons
Pros:
- Travelers received a four-star InsureScore for claims and for customer service.
Cons:
- Discounts are fairly standard.
- Home and auto bundle discount is, on average, lower than some major carriers.
Travelers offers “green home coverage,” which pays for green materials when rebuilding or repairing your home. If you become a victim of identity fraud, Travelers’ identity fraud expense reimbursement coverage pays up to $25,000 for costs incurred to restore your identity. You can also manage your policy from an Alexa. Travelers also sells flood insurance.
Feedback from surveyed customers:
- “They helped me extremely well after damage to my property after a recent hurricane. I was amazed how quickly an agent was sent to my home to assess my problems. Before the week was out, I had been reimbursed for the cost of restoring my property.” –Connecticut, age 73
- “Travelers is an outstanding insurance company. I have never had a claim experience that was negative from this provider. They really are there for you when you need them to be. Customer Service is outstanding and the rates are extremely competitive for the coverage you receive.” –Georgia, age 65
- “They gave me a reasonable price on a rental property I own. They allowed a wood stove and no pet restrictions on my policy with tenants.” –Maine, age 53
- “We submitted a claim and it was accepted and paid very quickly with little effort on our part.” –Massachusetts, age 76
Read the full Travelers review
Best for homeowners insurance discounts: Farmers
Why we recommend it: Farmers had the most home insurance discounts among carriers surveyed – 17 price breaks, with five of those available only in some states, and flexible coverage plans for three homeowner profiles.
Editors’ pros and cons
Pros:
- Farmers’ Smart Home Plan policies offer standard, enhanced and premiere policies, each designed to meet the needs of homeowners in different life stages. Within each of these packages you can raise or lower coverage limits, and add or change coverage.
- Discounts beyond the standard include those for green-certified homes, connected homes, those with a Farmers renters policy who switch to homeowner coverage.
Cons:
- Average scores for claims, price and customer service.
Depending on which policy you have, benefits include a vanishing deductible, being able to file a claim without a rate increase if you’ve had no claims in five years as a policyholder and having cosmetic damage paid for when you file a claim for functional damage. You can also get price breaks on an ADT Security system, which partners with Farmers to provide two types of systems.
Feedback from surveyed customers:
- “Choose this company because they are offering decent coverage at a decent price even with increases in California due to the fires.” –California, age 56
- “Excellent customer service and they will fit a policy to your needs.” –Texas, age 67
- “Very professional, reliable, the best claims department, reasonable rates.” –Georgia, age 60
Read the full Farmers review for details and availability
Best for auto and homeowners insurance bundle: Nationwide
Why we recommend it: Nationwide’s average bundle rate saved customers 25% on their coverage, more than other major carriers surveyed in a rate analysis.
Editors’ pros and cons
Pros:
- Easy to get quotes and file claims online.
- Includes a benefit in standard coverage that pays to rebuild your home at current building code requirements.
Cons:
- Average ratings for claims handling and customer service.
- Though 85% of customers surveyed said they’d renew, it was among the lowest percentages compared to other carriers.
When filing a roof claim, the Better Roof Replacement add-on will replace your roof with a higher quality one than you had before. If you need to rebuild your home, Nationwide’s “replacement cost plus” coverage pays up to an additional 20% more than your policy limit if it costs more to rebuild your house. It also sells earthquake and flood insurance.
Feedback from surveyed customers:
- “They are very responsive and professional and go out of their way to truly know their customers.” –Vermont, age 64
- “I haven’t had many claims but when I have, they were very quick at assessing the damage and then cutting a check that was sufficient to repair the damage. In one case, the repair went higher than the estimate and they sent a supplemental check right away.” West Virginia, age 68
- “They have been very easy to work with when we’ve had to add riders to our policy.” –Ohio, age 55
Read the full Nationwide review
Best homeowners insurance for military: USAA
Why we recommend it: USAA has historically placed at the top, and often at No. 1, overall for home and car insurance, as it offers industry-best customer service and pricing. But due to its limited membership, it’s not included in the overall rankings.
Editors’ pros and cons
Pros:
- USAA received the highest scores in all categories, earning an InsureScore of 4.5 stars for customer service, claims, price and website/apps.
Cons:
- Not available to general public– it’s only available to active and retired military members and their immediate families.
USAA includes replacement cost coverage for your personal belongings as the default, which means you don’t pay extra to have your house and items replaced at today’s value, with no depreciation factored in. USAA also offers insurance for those who rent out their home through services such as AirBnB. If military uniforms are damaged and you file a claim, you won’t pay a deductible to replace them if active duty or deployed. Another benefit is that up to $5,000 in protection for identity theft is included in your policy. USAA also sells earthquake insurance.
Feedback from surveyed customers:
- “Very satisfied with the policies they offer and feel like they are always available to answer any questions or help in any way.” –Arizona, age 56
- “I have had a superior experience with USAA. Best customer service, best policy options for coverage and great prices. An excellent value!”” –California, age 47
- “They went after the manufacturer for a 13 year old fridge when my kitchen flooded and got me my deductible back.” –Texas, age 34
Read the full USAA review
Compare All Home Insurance Companies
State Farm
American Family
Liberty Mutual
Allstate
American General (AIG)
Safeco
Erie
Auto-Owners
Travelers
Nationwide
Progressive
Farmers
Hartford
Chubb
USAA
How do I choose the best home insurance company?
When deciding which company is best for you, take into account how well the policy offerings and discounts match your homeowner profile, in addition to how a company rates for customer service. You can find details on most of the topics below by clicking on the company review button in the chart above.
Here’s how to find the best home insurance company for you:
- Research their record on customer service and claims handling — You want to be sure the company has a reputation for being responsive to customer needs, as well as for prompt and no-hassle claims handling.
- Review policy offerings – If you want to get specialized coverages for your particular situation, say you want wildfire protection, rent your home through Airbnb, need extended coverage for your small home-based business or own a historic home, make sure the companies on your list can meet those needs.
- Assess discounts – When it comes to discounts, what matters most is not how many are available but rather how many match your particular situation. For instance, if you qualify for discounts for roofing with resistant materials, or have installed a high-tech security and monitoring system, or replaced your plumbing, heating or electrical systems, you’d want to choose a company that offers discounts for those.
- Consider their financial strength ratings – Be sure the company has a healthy financial portfolio by checking A.M. Best ratings so you can be confident they have the resources to pay claims. Most major carriers will pass muster, but smaller, regional companies may not, so be sure to check.
- Check complaints to state regulators – You can see how many complaints were filed to state overseers for companies you’re considering by visiting the company review pages at Insure.com or the National Association of Insurance Commissioner’s website.
- Compare pricing – Once you’ve vetted companies on all of the above and decided how much coverage you need, compare quotes from at least three companies to see who has the best rates. Some carriers may have huge discounts, but also a higher base rate, so still are more expensive than the others. One may be a bit cheaper and has identical coverage compared to others, in which case you’ll save money by going with that one.
What are the best home insurance companies for coverage options?
Here’s the percent of survey respondents who rated their homeowners insurance company as having outstanding coverage offerings that they are completely satisfied with:
- USAA – 70%
- AIG – 51%
- Allstate – 49%
- State Farm – 49%
- Auto-Owners – 48%
- Erie – 46%
- Safeco – 46%
- American Family – 44%
- Liberty Mutual – 44%
- Nationwide – 42%
- Progressive – 42%
- Hartford – 39%
- Travelers – 37%
- Chubb – 35%
- Farmers – 34%
Top 10 homeowners insurance discounts
Of the discounts Insure.com surveyed, here are the top 10 types of home insurance discounts that save you the most:
- New home construction
- Age of home (five years or less)
- Home and auto bundle
- Series of upgrades (electrical, heating, plumbing)
- Age of home (10 years or less)
- Construction type (fire resistive, superior)
- Roof upgrade
- Advance purchase
- Loyalty (10 years or more)
- Advance purchase
Here are the average annual percent savings you can get for common discounts, based on Insure.com’s rate data analysis.
| Company | Type | Average discount |
|---|---|---|
| New Home | New Construction Recently Purchased | 40% |
| Age of home | 5 Years Old | 26% |
| Bundle | Home And Auto | 18% |
| Upgrades | Electrical, plumbing, heating done at once or over recent short period of time | 13% |
| Age of home | 10 Years Old | 13% |
| Construction type | Fire Resistive | 11% |
| Construction type | Superior | 11% |
| Upgrades | Roof Upgrade | 11% |
| Advance Purchase | 10+ Days Advance Purchase | 9% |
| Advance Purchase | 7 Days Advance Purchase | 8% |
| Loyalty | 10+ Years Renewal | 8% |
| Construction type | Masonry | 7% |
| Construction type | Frame – To 66% Masonry Veneer | 6% |
| Construction type | Frame – Over 66% Masonry Veneer | 6% |
| Paid in Full | Paid in Full | 6% |
| Loyalty | 5 Years Renewal | 6% |
| Sprinklers | Sprinklers | 6% |
| Claims Free | 5 Year Claims Free | 5% |
| Claims Free | 10+ Year Claims Free | 5% |
| Hail Resitant Roof | Hail Resistant Roof | 5% |
| Loyalty | 3 Years Renewal | 5% |
| Construction type | Asbestos/Stucco | 4% |
| Fire Alarm | Central Station | 4% |
| Fire Alarm | Fire Department | 4% |
| Gated Community | With Patrol | 4% |
| Bundle | Home and Umbrella | 4% |
| Bundle | Home and Life | 4% |
| Burglar Alarm | Police Department | 4% |
| Burglar Alarm | Central Station | 4% |
| Age of home | 15 Years Old | 4% |
| Water Safety System | Water Leak Detection – Shut Off And Alarm | 4% |
| Water Safety System | Water Leak Detection – Shut Off | 3% |
| Upgrades | Electrical Upgrade | 3% |
| Gated Community | Without Patrol | 3% |
| Water Safety System | Water Leak Detection – Alarm | 3% |
| Automatic payments | Electronic Fund Transfer | 3% |
| Upgrades | Plumbing Upgrade | 2% |
| Construction type | Frame – To 33% Masonry Veneer | 2% |
| Burglar Alarm | Local | 2% |
| Upgrades | Heating Upgrade | 2% |
| Fire Alarm | Local | 2% |
| Age of home | 20 Years Old | 2% |
| Smoke Detector | Smoke Detector | 2% |
| Fire Extinguisher | Fire Extinguisher | 2% |
| Storm Shutter | Storm Shutters | 1% |
| Deadbolt | Deadbolt | 1% |
Here are some explanations of the discount categories in the chart above:
- Homes are classified by insurers as frame, masonry or superior. You get a bigger discount for a “superior” classification because the floors, roof and exterior walls are made of metal, concrete or other noncombustible material.
- Fire resistive materials are those that don’t allow electrical currents to pass through, so are favored by insurers.
- Burglar and fire alarms are also classified. A system with central monitoring in place is called “central station.” These systems are equipped with central monitoring staff who will take action by alerting the police and fire departments and by calling the homeowner to verify the incident. Fire department/police department systems directly alert police and fire departments. “Local” alarms are systems with audible alarms and other features that only alert the homeowner — there is no auto-response so someone would have to call the police or the fire department.
How do I get cheap homeowners insurance?
Here are the best ways to find affordable coverage without sacrificing coverage:
Compare home insurance quotes: Insure.com surveyed more than 300 homeowners and found that 33% never shop their policy, which means they’re losing out on significant savings, as pricing varies significantly among carriers. Three percent only compare home insurance quotes every 10 years, 13% do so every five years and 28% every few years. Just 23% do so annually. You should shop your policy at least every year upon renewal to be sure you are getting the most affordable rate from a company that fits your homeowner profile.
Don’t file small claims: You have insurance to help repair your home and replace your belongings, so you should use it if calamity strikes. However, filing claims can increase rates, on average, up to 29%, so be mindful of that before you look to your policy for a payout. If, for example, a window is broken and the cost to fix it is relatively low, it’s likely not worth it to file a claim that will hike your rates.
Here are the average annual percent savings you can get for common discounts, based on Insure.com’s rate data analysis.
| Company | Type | Average discount |
|---|---|---|
| New Home | New Construction Recently Purchased | 40% |
| Age of home | 5 Years Old | 26% |
| Bundle | Home And Auto | 18% |
| Upgrades | Electrical, plumbing, heating done at once or over recent short period of time | 13% |
| Age of home | 10 Years Old | 13% |
| Construction type | Fire Resistive | 11% |
| Construction type | Superior | 11% |
| Upgrades | Roof Upgrade | 11% |
| Advance Purchase | 10+ Days Advance Purchase | 9% |
| Advance Purchase | 7 Days Advance Purchase | 8% |
| Loyalty | 10+ Years Renewal | 8% |
| Construction type | Masonry | 7% |
| Construction type | Frame – To 66% Masonry Veneer | 6% |
| Construction type | Frame – Over 66% Masonry Veneer | 6% |
| Paid in Full | Paid in Full | 6% |
| Loyalty | 5 Years Renewal | 6% |
| Sprinklers | Sprinklers | 6% |
| Claims Free | 5 Year Claims Free | 5% |
| Claims Free | 10+ Year Claims Free | 5% |
| Hail Resitant Roof | Hail Resistant Roof | 5% |
| Loyalty | 3 Years Renewal | 5% |
| Construction type | Asbestos/Stucco | 4% |
| Fire Alarm | Central Station | 4% |
| Fire Alarm | Fire Department | 4% |
| Gated Community | With Patrol | 4% |
| Bundle | Home and Umbrella | 4% |
| Bundle | Home and Life | 4% |
| Burglar Alarm | Police Department | 4% |
| Burglar Alarm | Central Station | 4% |
| Age of home | 15 Years Old | 4% |
| Water Safety System | Water Leak Detection – Shut Off And Alarm | 4% |
| Water Safety System | Water Leak Detection – Shut Off | 3% |
| Upgrades | Electrical Upgrade | 3% |
| Gated Community | Without Patrol | 3% |
| Water Safety System | Water Leak Detection – Alarm | 3% |
| Automatic payments | Electronic Fund Transfer | 3% |
| Upgrades | Plumbing Upgrade | 2% |
| Construction type | Frame – To 33% Masonry Veneer | 2% |
| Burglar Alarm | Local | 2% |
| Upgrades | Heating Upgrade | 2% |
| Fire Alarm | Local | 2% |
| Age of home | 20 Years Old | 2% |
| Smoke Detector | Smoke Detector | 2% |
| Fire Extinguisher | Fire Extinguisher | 2% |
| Storm Shutter | Storm Shutters | 1% |
| Deadbolt | Deadbolt | 1% |
Here are some explanations of the discount categories in the chart above:
- Homes are classified by insurers as frame, masonry or superior. You get a bigger discount for a “superior” classification because the floors, roof and exterior walls are made of metal, concrete or other noncombustible material.
- Fire resistive materials are those that don’t allow electrical currents to pass through, so are favored by insurers.
- Burglar and fire alarms are also classified. A system with central monitoring in place is called “central station.” These systems are equipped with central monitoring staff who will take action by alerting the police and fire departments and by calling the homeowner to verify the incident. Fire department/police department systems directly alert police and fire departments. “Local” alarms are systems with audible alarms and other features that only alert the homeowner — there is no auto-response so someone would have to call the police or the fire department.
What we surveyed to rank the best homeowners insurance companies
We commissioned a survey of top company policyholders. Many of those surveyed had multiple types of policies. The survey collected customer ratings for 20 leading companies in the auto category and 15 leading companies in each of the home, health and life categories. Only current customers of the insurers on our lists were surveyed, and the survey was not open to the general public on the Insure.com website.We asked policyholders about the following categories for ranking purposes:
- Value For Price
- Customer Service
- Claims satisfaction
- Usefulness of website & mobile apps
- Plan To Renew
- Would Recommend
We also asked for feedback and anecdotes to help people who may be looking to purchase a policy with their current insurance provider. And we asked questions that are not rated or ranked on, such as why they first purchased from the company and how they prefer to deal with their insurer, as this may be valuable to you when deciding if the company is the right fit for your needs. To view the extra information, be sure to click on the company logo to view its individual page.
How we ranked the top home insurance companies
Our team of insurance and data experts ranked and identified the best home insurance companies based on what policyholders in our survey have to say about their experiences. This is an independent editorial analysis devoid of affiliations or partnerships of any kind – companies did not pay to be included. The A.M. Best financial ratings represent an assessment of an insurer’s ability to meet its financial obligations to policyholders. These are separate from the editorial ranking.
The expert team reviews and analyzed the survey results to share with consumers because we believe it’s important to view and evaluate real-life feedback when shopping for insurance. Getting more information is always better when researching the best insurance companies, so continue on to see what our surveyed policyholders had to say.
Why you should trust us
We’re not only home insurance experts who enjoy sharing our knowledge. We’re also consumers just like you. As consumers, we want to know what to expect when it comes to a company’s claims service and if the insurer has a decent website and apps. We, too, want a good price, great customer service and to feel comfortable when deciding on a company to purchase an insurance policy. For this reason, we take our Best Home Insurance Company’s survey seriously so that all of us can find the insurance company that fits our needs.
Whether it’s your first-time buying insurance or switching insurance providers or 25th time, our mission is to provide you with a quick and easy way to review and determine which companies will be the best fit for you. Our reviews and rankings are unbiased and based on the earnest ratings and feedback from surveyed policyholders.
Frequently asked questions about home insurance
Who has the cheapest home insurance?
The cheapest home insurance companies among those surveyed by Insure.com are as follows,
- Travelers
- CSAA Exchange (part of AAA)
- Allstate
- State Farm
- Interinsurance Exchange of the Automobile Club (part of AAA)
- Chubb
- Arbella
- Farmers
- Safeco
- Erie
The list above is based on an analysis of average rates for a policy of $300,000 in liability and dwelling, with a $1,000 deductible. What you pay, however, depends on where you live, the materials and age of your home, your credit history and other factors.
How much home insurance do I need?
Your dwelling coverage should equal the cost to repair damage to your home or rebuild it completely at equal quality — at current prices. This is called the replacement cost. You can calculate this number by making a thorough inventory of building materials used for your home, using online calculators, or, you can hire an appraiser to do it for you.
You should get $300,000 worth of liability coverage. Most home insurance policies come with $100,000 in personal liability insurance but this is rarely enough. The cost to defend a lawsuit or to pay for medical expenses for a serious injury can easily exceed that amount.
What is the average cost of home insurance?
The nationwide average cost of homeowners insurance is $2,305. Know more about average home insurance cost for 2021.
What factors affect home insurance premiums?
The key factors that influence how much you pay for home insurance are:
- Location of your home
- Age of your home
- Materials used to build your home
- Claims history of the house
- Your credit history (in most states)
- Proximity to a fire station
- Whether or not you have a security system
- The amount of weather-resistant materials your home has
- The condition of the roof
