Average homeowners insurance cost in Minnesota

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Homeowners in Minnesota pay an average of $2,697 per year for a standard home insurance policy.

The coverage limit you choose for your dwelling has a major impact on your premium. More protection generally means a higher cost. Higher coverage means higher premiums. Auto Club Group – ACG (AAA) offers some of the lowest rates in the state, making it a good starting point when comparing your options.

Don’t settle for the first quote – reach out to several insurers and dig into available discounts. Since rates hinge on details like your location, the age and construction of your home, your roof’s condition, and your claims history, the prices you’re offered can swing a lot. Getting address-specific quotes from a handful of companies puts you in the best position to land a great rate.

Key Takeaways

Homeowners insurance costs an average of $2,697 a year, based on our data.
Of all the ZIP codes in Minnesota, 55706 has the most affordable home insurance rates at around $2,242 annually.
In Minnesota, Auto Club Group – ACG (AAA) provides the most affordable home insurance at an average annual premium of $2,070.

What is the average cost of homeowners insurance in Minnesota?

The average homeowners insurance premium in Minnesota is $2,697 per year. That figure is based on a policy with $300,000 in dwelling coverage, $100,000 in liability protection, and a $1,000 deductible.

How much is home insurance in Minnesota? Cost by coverage level

Homeowners insurance in Minnesota costs $2,697 per year on average, based on a policy with $300,000 in dwelling coverage, $100,000 in liability, and a $1,000 deductible.

However, if you increase the dwelling coverage limit from $300,000 to $400,000, you will pay $3,432 per year for homeowners insurance in Minnesota for $100,000 in liability protection and a $1,000 deductible.

The table below shows average homeowners insurance costs in Minnesota for dwelling coverage from $200,000 to $1 million.

Coverage	Average annual rate	Average monthly rate
$200,000 with $1,000 Deductible and $200,000 Liability and None Hurricane	$1,962	$163
$200,000 with $1,000 Deductible and $300,000 Liability and None Hurricane	$1,992	$166
$300,000 with $1,000 Deductible and $200,000 Liability and None Hurricane	$2,697	$225
$300,000 with $1,000 Deductible and $300,000 Liability and None Hurricane	$2,729	$227
$400,000 with $1,000 Deductible and $200,000 Liability and None Hurricane	$3,432	$286
$400,000 with $1,000 Deductible and $300,000 Liability and None Hurricane	$3,472	$289
$600,000 with $1,000 Deductible and $200,000 Liability and None Hurricane	$4,924	$410
$600,000 with $1,000 Deductible and $300,000 Liability and None Hurricane	$4,966	$414
$1,000,000 with $2,500 Deductible and $200,000 Liability and None Hurricane	$7,087	$591
$1,000,000 with $2,500 Deductible and $300,000 Liability and None Hurricane	$7,125	$594

Average home insurance cost in Minnesota by insurer

The most affordable homeowners insurance in Minnesota comes from Auto Club Group – ACG (AAA), which averages $2,070 per year. West Bend Insurance Company and North Star Mutual are also worth considering.

Shopping around can save you hundreds, or more, each year.

Below are average annual and monthly premiums for Minnesota homeowners, based on a policy with $300,000 in dwelling coverage, $100,000 in liability protection, and a $1,000 deductible.

Company	Average annual rate	Average monthly rate
Auto Club Group – ACG (AAA)	$2,070	$173
West Bend Insurance Company	$2,177	$181
North Star Mutual	$2,274	$190
Farmers	$2,590	$216
Auto-Owners	$3,006	$250
State Farm	$3,201	$267
American Family	$3,587	$299
Country Financial	$6,357	$530

How to lower your home insurance rate

Shop around. The first quote you receive is rarely the best one. Getting estimates from at least three or four insurers gives you a clearer picture of what’s available in Minnesota.
Bundle your policies. Combining home and auto insurance, or renters and auto, with the same provider is one of the most common ways to unlock multi-policy discounts.
Ask about smart home discounts. Security systems, smoke detectors, and leak sensors are the kinds of upgrades that can bring your premium down.
Check for other savings. Loyalty discounts, claims-free rewards, and home improvements like fire-resistant roofing are worth asking about at renewal.

How does your ZIP code affect home insurance rates in Minnesota?

Your ZIP code is one of the biggest factors in your home insurance rate, because it tells the insurer how much risk comes with your location. Areas with higher crime rates, frequent natural disasters, or high rebuilding costs are treated as higher-risk-and that pushes premiums up.

Below are the most affordable and most expensive ZIP codes for home insurance in Minnesota

Most affordable ZIP codes for home insurance in Minnesota

The lowest rates in Minnesota are found in 55706, where homeowners pay an average of $2,242 per year.

Where you live in Minnesota has a real impact on what you’ll pay for home insurance – and your ZIP code is one of the largest drivers of that difference.

Below are average homeowners insurance rates for some of the most affordable ZIP codes in Minnesota.

ZIP code	Average annual rate	Average monthly rate
55706	$2,242	$187
55796	$2,248	$187
55731	$2,251	$188
55771	$2,262	$189
55772	$2,276	$190
55782	$2,281	$190
55750	$2,282	$190
55725	$2,287	$191
56668	$2,290	$191
55603	$2,293	$191

Most expensive ZIP codes for home insurance in Minnesota

At the other end of the spectrum, 55430 has the highest average rates in Minnesota at $3,357 per year.

Higher premiums in certain ZIP codes typically reflect greater exposure to crime, natural disasters, and elevated living and rebuilding costs.

Below are some of the most expensive ZIP codes for home insurance in Minnesota.

ZIP code	Average annual rate	Average monthly rate
55430	$3,357	$280
55412	$3,354	$279
55416	$3,351	$279
55411	$3,349	$279
55405	$3,347	$279
55418	$3,346	$279
55410	$3,343	$279
55408	$3,342	$279
55403	$3,341	$278
55407	$3,339	$278

Home insurance rates vary from one city to another. But with Insure.com, finding the right home insurance policy is easy. Learn more about homeowners insurance costs for different cities below.

Home insurance rates in Minnesota by city

See rates in your city

How has home insurance pricing shifted in Minnesota?

From 2023 to 2025, home insurance rates in Minnesota increase by 29%, mirroring the broader direction of the state’s insurance market over that period.

Here’s how rates have moved year over year since 2022:

2022 rates	2023 rates	2025 rates
$2,059	$2,093	$2,697

What are the best homeowners insurance companies in Minnesota?

Based on our data, North Star Mutual stands out as the top choice in Minnesota. It earns an AM Best rating of A+ and holds one of the lowest NAIC complaint scores statewide-a strong sign of both reliability and customer satisfaction.

To pinpoint the most trustworthy insurers, we measured each company against two benchmarks:

AM Best Ratings gauge a company’s financial strength and its ability to pay claims when you need it most.
NAIC Complaint Scores compare how often a company is the subject of complaints relative to its size, with lower scores pointing to fewer problems.

Looked at together, these benchmarks give a dependable picture of an insurer’s financial footing and the experience you can expect as a customer. The table below ranks the leading companies in Minnesota by annual premium, financial rating, and complaint history.

Company	Average annual premium	Am Best Rating	NAIC Complaint Index	Overall score
North Star Mutual	$2,274	A+	0.18	4.64
West Bend Insurance Company	$2,177	A	0.43	4.54
Auto Club Group – ACG (AAA)	$2,070	A	0.89	4.53
Auto-Owners	$3,006	A+	0.39	4.53
Farmers	$2,590	A	0.89	4.46
State Farm	$3,201	A+	1.15	4.46
American Family	$3,587	A	1.07	4.31
Country Financial	$6,357	A+	0.23	4.08

How to understand insurer ratings and complaint data

A good insurer answers two questions well: Can it pay your claim, and does it keep its customers happy? Independent rating agencies measure both, giving you an evidence-based way to compare your options.

The two ratings referenced here:

AM Best, which assesses an insurer’s financial strength and capacity to pay claims. Higher ratings indicate greater financial stability.
NAIC Complaint Index, compiled by the National Association of Insurance Commissioners from consumer complaint data. The baseline is 1.00 – a lower score means fewer complaints than expected for the insurer’s size, and a higher score means more.

What factors affect your home insurance rate?

Home insurance rates come down to how much risk you represent to the insurer. The main factors they weigh:

Where you live. Local crime, weather risk, and how often neighbors file claims.
Your claims history. Past claims usually raise your rate.
Your credit-based insurance score. Weaker credit can mean a higher premium (restricted in some states, like California and Massachusetts).
Your coverage limits and deductible. More coverage or a lower deductible costs more.

Rates have also been climbing across the board. Home insurance premiums for owner-occupied homes rose more than 11% nationwide in 2023, according to S&P Global Market Intelligence’s RateWatch application.

Resources and Methodology

Sources:

S&P Global. “US homeowners insurance rates jump by double digits in 2023.” Accessed August 2026.

Methodology

Insure.com worked with Quadrant Information Services to compile homeowners insurance data, analyzing 37,973,840 quotes from 75 company groups (134 companies) across 34,595 ZIP codes in all 51 states.

Rates are based on a sample homeowner profile with good credit and the following coverage:

$300,000 dwelling coverage
$100,000 liability protection
$1,000 deductible

The national average annual premium (non-hurricane deductible) is $2,543.

Company rankings factor in:

AM Best rating: 30%
NAIC score: 35%
Annual premium: 35%

All quoted rates are for comparison purposes and individual premiums may vary.

Alisha Ambre

Alisha Ambre holds a Bachelor of Arts with honours in English Literature and Media Studies. She focuses on crafting clear, engaging content that makes complex information feel practical and approachable for everyday readers. When she’s not writing, she’s likely on the volleyball court or immersed in a good video game.