7 Best Homeowners Insurance Companies of May 2024 (2024)

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Allstate

Our pick for extended coverage

MONTHLY COST$201.20

Allstate sells many extended coverage options to help customers create policies that fit their needs. The company lets policyholders upgrade their policies with up to nine riders, which helps it stand out among its competitors. Aside from its extensive add-ons list, the insurer offers many discounts to help lower your premiums.

Its additional coverage options include identity theft protection, electronic data recovery, green improvement reimbursem*nt, sports equipment, musical instruments and scheduled personal property coverage.

Allstate’s average annual premium is $96.88cheaper than the average annual premium in the United States. Sample rates are for illustrative purposes only. Your rates may vary.

*All quotes are based on $350,000 in dwelling coverage for 2023.

Allstate discounts include:

• Claim-free
• Early signing
• Easy pay plan
• Home buyer
• Multi-policy
• Protective device
• Responsible payment
• Welcome and loyalty

Allstate is the second-largest home insurer in the U.S. according to Triple-Iand has served homeowners across the country since 1931. It’s an established provider in the insurance industry with an A+ (Superior) rating by AM Best, which is AM Best’s second-highest rating for financial stability.

We also tracked Allstate’s rating in the J.D. Power US Claims Satisfaction Study from 2013 to 2024. The provider ranks close to average in every year we analyzed.

We surveyed thousands of home insurance policyholders on their experiences shopping for a plan and filing a claim to better understand the strengths and pain points of various providers. Our most recent survey on home insurance claims, consisting of 1,000 participants nationwide, found that 137 had a policy through Allstate.

Water damage was the most common claim filed by Allstate policyholders, with 31% of these claims valued between $5,000 and $10,000. Ninety-five percent of these claims were approved, with half of the 5% of denials due to the homeowner not meeting the filing deadline.

When asked what their biggest frustration was during the claims process, many participants noted it was long and cumbersome, with the online documentation approval process taking longer than expected. However, most respondents with an Allstate policy reported no frustrations and satisfaction with the process.

Our team reached out to Allstate for comment on its claim process but did not receive a response.

State Farm

Our pick for new homeowners

MONTHLY COST$173.74

State Farm is a suitable option for new homeowners due to its user-friendly website and straightforward quote process. It generally takes between 15 and 20 minutes to get a quote and while you wait, you can read online explainers about coverage types.

In addition to an easy application process, State Farm offers many coverage options and discounts to help you lower your premiums and select a policy that fits your needs.

State Farm’s average annual premium is $426.35 cheaper than the average homeowners insurance rates in the United States. Sample rates are for illustrative purposes only. Your rates may vary.

*All quotes are based on $350,000 in dwelling coverage for 2023.

State Farm discounts include:

• Bundling
• Claim-free
• Home security insurance
• Roofing
• Higher deductibles
• Automatic sprinkler

State Farm is the largest writer of home insurance in the U.S. by direct written premiums, according to Triple-I, with $22.1 billion in 2021. Coupled with the best possible AM Best credit rating, A++, policyholders can rest assured that State Farm is financially ready for any disaster.

State Farm has 24/7 customer service for claims filing, making it easy for policyholders to initiate a claim. After a covered loss, you can initiate the claims process by calling your agent, calling State Farm’s dedicated claims number or filing online. State Farm consistently ranks average or above average in J.D. Power’s US Property Claims Satisfaction Study.

We surveyed thousands of homeowners regarding their experiences shopping for home insurance and filing claims to pinpoint provider strengths and weaknesses. Our most recent survey on home insurance claims, consisting of 1,000 participants, found that 136 had a policy with State Farm.

Like Allstate, water damage was the most common claim filed by State Farm policyholders, with 32% of these claims valued between $1,000 and $5,000. Notably, 95% percent of these claims were approved, with most denials primarily attributed to damage being considered normal wear and tear or negligence.

When asked what their biggest frustration was during the claims process, most respondents with a policy from State Farm reported no frustrations and general satisfaction with the process. However, experiences may vary —the second most common response was among policyholders frustrated with an overall slow process. Other respondents were pleased about the convenience of filing a claim through State Farm’s mobile app, while some appreciated how the process was more straightforward than they anticipated.

State Farm provided our team with the following response regarding its claims process:

“As an organization, we take pride in our customer service and are committed to paying what we owe, promptly, courteously and efficiently,” said Roszell Gadson, a company spokesperson. “State Farm values the relationships we have with our customers. If they have questions, we encourage them to reach out through their agent, online at StateFarm.com, or by calling 1-800-STATE-FARM.”

Farmers

Our pick for customizable coverage

MONTHLY COST$236.31

Farmers homeowners insurance policies are all about customization. You can choose from standard, enhanced or premiere packages, which differ by coverage limits, features and cost.

The insurer’s standard policy includes personal property, temporary living expenses, medical payments and dwelling coverages. Some of its available endorsem*nts include identity theft, replacement cost, building ordinance or law and scheduled personal articles coverages.

Farmers’ average annual premium is $2,835.72, which is higher than the average annual premium of $2,511.25. Your rate may vary.

Discounts:

• Affinity
• Claims-free
• Connected home
• Good payer
• Green certification
• Home safety
• Multi-policy bundling
• New home
• Nonsmoker
• Paperless policy
• Preferred payment
• Protective device
• Rent-to-own
• UL-approved roofing materials

Farmers have been in the business since 1928. It earned an A rating with independent credit rating agency AM Best, which shows the insurer can meet its financial obligations, including paying customer claims.

Farmers lets policyholders file claims through its claims team, website or mobile app. Based on the chart below, it has historically had high customer satisfaction for property claims.

We surveyed several thousand homeowners to gain insights into their experiences while shopping for a home insurance plan and filing a claim. In our 2024 survey on home insurance claims, none of the participants had an insurance policy with Farmers. However, we gathered insight into the company’s service by reading through and analyzing reviews on Trustpilot.

Some reviewers, such as this one, were disappointed with how Farmers increased their rate year over year despite filing no claims. Others, like this policyholder, felt the company unfairly canceled their policies. We were unable to find any positive reviews specifically about home insurance through Farmers within the last six months.

Our team reached out to Farmers for comment on its rate increases and other customer-reported home insurance issues and did not receive a response.

Nationwide

Our pick for inclusive standard coverage

MONTHLY COST$247.48

Nationwide’s standard homeowners plan includes many coverages that insurers typically offer as add-ons, which makes it ideal for those looking for a comprehensive policy. For instance, it provides ordinance or law insurance, which helps you rebuild your house according to updated building codes after a covered loss.

Nationwide also offers credit card protection that protects you from unauthorized transactions on your debit or credit card. For all of their benefits, Nationwide’s policies are relatively more expensive than its competitors.

Nationwide’s average annual premium is $458.46 more expensive than the average annual premium in the United States. Sample rates are for illustrative purposes only. Your rates may vary.

*All quotes are based on $350,000 in dwelling coverage for 2023.

Nationwide discounts include:

• Claims-free
• Gated community
• Home purchase
• Home renovation credit
• Multi-policy
• Prior insurance
• Protective device
• Roof rating
• Smart home

Strong third-party ratings are indicative of Nationwide’s financial strength and customer satisfaction. The provider has an A+ rating with AM Best and has ranked above average in the 10 most recent J.D. Power US Claims Satisfaction Study reports.

We surveyed several thousand homeowners with home insurance policies to gain insights into their experiences while shopping for a plan and filing a claim. In our most recent survey on home insurance claims, 136 out of 1,000 participants had an insurance policy with Nationwide.

Wind damage was the most common claim filed by Nationwide policyholders, with over 28% of these claims valued between $5,000 and $10,000. Our respondents reported 90% of their claims as approved, with the most common reason for denial provided by Nationwide being damage considered normal wear and tear or negligence.

When asked what their biggest frustration was during the claims process, most Nationwide policyholders reported no frustrations and general satisfaction. However, other respondents noted a slow claims process and difficulty gathering and submitting claim information. Out of all participants with a policy from Nationwide, over 56% said they would recommend the company to their friends or colleagues.

Our team reached out to Nationwide for comment on its claims process and received the following response:

“Nationwide takes pride in providing extraordinary care in the investigation, adjustment and resolution of claims based on its own unique facts, policy terms and applicable law,” said Jeff Rommel, the company’s senior vice president of personal lines claims. “We strive to provide the best claims experience possible and are always seeking ways we can continuously improve.”

Erie

Our pick for best service

MONTHLY COST$193.90

Erie gets high marks for its customer service, which is reflected in its customer satisfaction score from J.D. Power. Its standard homeowner policy also offers higher levels of coverage than other insurers. For example, Erie pays up to $500 for a covered loss to birds, fish and many other pets.

In addition, Erie covers your personal property with replacement cost coverage, which means you won’t have to worry about the depreciation in the item’s value over time. However, Erie’s policies are not available in every state.

Erie’s average annual premium is $184.47 cheaper than the average annual premium in the United States. Sample rates are for illustrative purposes only. Your rates may vary.

*All quotes are based on $350,000 in dwelling coverage for 2023.

Erie discounts include:

• Advanced quote
• Fire, burglary alarm, sprinkler system credit
• Multi-policy

Since its inception in 1925, Erie has grown into a Fortune 500 company with more than 6,000 employees and 6 million policies in force. The provider has solid financials, earning an A+ financial strength rating with A.M. Best.

Erie’s founders set out to create an insurance company that “emphasized customer service above all else.” That vision is evident in Erie’s high third-party ratings for customer service and claims satisfaction. It draws fewer than expected complaints filed with state insurance departments and consistently scores above average in J.D. Power’s claims satisfaction study.

File a claim by contacting your local Erie agent or calling a dedicated 24/7 claims line.

To understand home insurance provider strengths and weaknesses, we surveyed thousands of homeowners with home insurance policies on their experiences shopping and filing claims. Our most recent survey on home insurance claims, consisting of 1,000 participants, found that 136 had purchased a policy with Erie.

Fire damage was the most common claim filed by Erie policyholders, with 28% of these claims valued between $10,000 and $20,000. Ninety-two percent of these claims were approved, with most denials due to damage considered normal wear and tear or negligence.

When asked what their biggest frustration was during the claims process, many participants noted no frustrations and were satisfied with their experience. However, when asked how likely they were to recommend Erie to friends or colleagues, over half of the respondents only voted seven or eight on a scale of one to 10.

We reached out to Erie for comment on the above-mentioned issues with claim denials and received the following response:

“Since 1925, Erie Insurance has been fulfilling its promise of providing auto, home, business and life insurance rooted in the principles of honesty, decency, service and affordability,” said Matthew Cummings, an Erie spokesperson. “Erie Insurance is consistently ranked highest in J.D. Power customer satisfaction surveys and maintains one of the strongest customer retention rates in the insurance industry — from year to year, more than 91% of our policyholders stay with Erie due to our promise of being above all in service.”

USAA

Our pick for military members

MONTHLY COST$200.79

USAA provides many military-specific coverages and discounts, making it ideal for active-duty military members, veterans and their families. With this insurer, you do not have to pay a deductible in case of a covered loss to your military equipment or uniform. It also offers replacement cost coverage as part of its standard policy.

You can save on your USAA policy by taking advantage of discounts for multi-policy bundling, customer loyalty, and protective and connected home devices.

USAA’s average annual premium is $101.83 cheaper than the average annual premium in the United States. Sample rates are for illustrative purposes only. Your rates may vary.

*All quotes are based on $350,000 in dwelling coverage for 2023.

USAA discounts include:

• Bundling
• Claims-free
• Connected home
• Protected home

USAA has an A++ financial strength rating with AM Best, removing any doubt around its claims-paying ability. It also consistently scores higher than the national average and other providers on this list in the J.D. Power US Property Claims Satisfaction Study.

However, although J.D. Power publishes scores for USAA, it notes that USAA is not rank-eligible because of its coverage eligibility restrictions.

Since every provider has strengths and weaknesses, we surveyed thousands of homeowners on their experiences shopping for a plan and filing a claim with top insurers. In our most recent survey, which focused on claims and consisted of 1,000 participants, we found that 136 had a USAA home insurance policy.

Fire damage was the most common claim filed through USAA, with over 26% of these claims valued between $10,000 and $20,000. Over 93% of claims filed by survey participants through USAA were approved, with almost all denials due to damage considered normal wear and tear or negligence.

When asked their biggest frustration when filing a claim, most survey participants with a USAA policy were displeased with an overall slow process. Our team reached out to USAA for comment on its claim process but did not receive a response. However, when asked how likely they were to recommend USAA to friends or colleagues on a scale of one to 10, over half of the respondents voted an eight or above.

Liberty Mutual is our pick for homeowners looking for extra savings opportunities and discounts when signing up for a policy. During our research, we pulled dozens of sample quotes from the provider on homes across the country and found that it consistently offers impressive discounts, such as an online purchase discount and a discount for insuring the home to its replacement cost value. However, these discounts can vary depending on each homeowner’s personal details and location.

Liberty Mutual’s home insurance covers your belongings at replacement cost, meaning it will pay you the cost for a new item rather than the value of your used item minus depreciation. It covers your home for damage caused by perils like wind, hail, fire and hurricanes. Protection for damage caused by water backup and overflow is optional.

We source provider cost data from Quadrant Information Services, the leading source of property and casualty insurance solutions and data. Quadrant is unable to provide sample premiums for this provider.

*All quotes are based on $350,000 in dwelling coverage for 2023.

Liberty Mutual discounts include:

• Claims-free
• Early shopper
• Insured to value
• Multi-policy
• New/renovated home
• New roof
• Newly purchased home
• Preferred payment
• Paperless
• Safe homeowner

Liberty Mutual is a top-rated homeowners insurance company with more than 110 years in business nationwide and an A (Excellent) financial strength rating by AM Best. This isn’t as high as some other providers on this list but is still a positive reflection of the provider’s claims-paying ability. The provider also scored well for receiving fewer than expected complaints, according to the NAIC.

Because we can’t gain first-hand experience with provider claims processes, we rely on customer reviews and the J.D. Power US Property Claims Satisfaction Study to assess the overall consumer sentiment regarding claims. Liberty Mutual scored above average in J.D. Power’s claims study for six of the 10 years we analyzed.

We surveyed thousands of homeowners nationwide to learn more about their experiences shopping for home insurance and filing a claim. In our most recent survey, which focused on claims and consisted of 1,000 participants, we found that 136 had a home insurance policy through Liberty Mutual.

Water damage was the most common claim filed by Liberty Mutual policyholders, with 33% of these claims valued between $1,000 and $5,000. Almost 95% of claims filed by survey participants with a Liberty mutual policy were approved, with the majority of denials due to damage considered normal wear and tear or negligence.

When asked about their biggest frustration when filing a claim, most survey participants with a Liberty Mutual policy were satisfied with their experience overall. However, the most common complaint among other respondents was dissatisfaction with a slow claims process. When asked how likely they were to recommend Liberty Mutual to friends or colleagues on a scale of one to ten, over half of the respondents voted a nine or above.

We reached out to Liberty Mutual to learn more about its claims process but did not receive a response.