8 Cheapest Home Insurance Companies in the U.S

When Travelers sold its first policy, President Lincoln was in office. In the 157 years since, the company has grown to become one of the most reputable names in the insurance industry. Even better, Travelers has evolved with the times, increasing its insurance options and developing novel ways to provide home insurance discounts. For example, its green home discount provides 5% off policies for LEED-certified “green” homes.

Pros

• Full range of coverage options
• Innovative discounts (including green home coverage)
• Financial security
• Competitive homeowners insurance rates in most states

Cons

• Less-than-satisfactory customer service
• Discounts vary by state

• Multi-policy discount
• Home buyer discount
• Loss-free discount
• Green home discount

Nationwide includes benefits that would normally be considered add-ons, such as credit card coverage, as part of their standard homeowners policy. The greatest cheap house insurance is not usually the most affordable. It is sometimes the policy that provides the most coverage at the lowest cost. Complimentary add-ons are a great place to begin.

Pros

• Offers ordinance coverage that allows for rebuilding to current building codes
• Credit card coverage that pays for unauthorized transactions
• Ample discount opportunities
• Huge network of more than 26,000 agents

Cons

• Below-average customer satisfaction ratings
• Limited customer service hours for sales and service

• Multi-policy discounts
• Protective device discounts
• Claims-free discount
• Home renovation discount
• Roof discount
• Home purchase discount
• Gated community discount

Erie is difficult to beat when it comes to affordable rates. Erie, a small but powerful company, relies mainly on independent agents – almost 13,000 of them. The only snag is that Erie is only available in 12 states along the East Coast.

Pros

• AM Best rating of A+
• J.D. Power customer satisfaction rating of 839 out of 1,000 — one of the highest ratings in the industry
• Customizable policies
• Upgraded basic insurance policy
• Price bundling
• Easy to achieve discounts
• Some of the lowest homeowners insurance rates in the industry

Cons

• Not available in most states
• Not as tech-savvy as some insurers

• Multi-policy discount
• Advanced quote discount

Allstate not only provides some of the industry’s most substantial discounts, but it also has a large network of agents and a high J.D. Power customer satisfaction rating.

Pros

• Customizable coverage options
• Many discounts available
• High customer satisfaction
• Large Allstate agent network

Cons

• Premiums can be costlier than some competitors

• Multi-policy discount
• Responsible pay discount
• Claims-free discount
• Welcome/loyalty discount of 10%
• New home buyer discount
• Automatic payment discount
• Protective device discount
• Early signing discount

Lemonade is a popular choice for people looking for low-cost house insurance, with monthly prices as low as $25. The organization simplifies insurance shopping by providing an all-online application process and rapid responses.

Pros

• Unused premiums are donated to charity
• Many claims are paid instantly
• Easy online application process

Cons

• Coverage isn’t available in all states
• There are limited options for bundling coverage
• No in-person support

• Protective device discount
• Bundling discount
• Annual-pay discount

Most insurance firms provide a policy benefit or two. Farmers, for example, offers free claims forgiveness to clients who have not filed a homes insurance claim in the previous five years. While free claims forgiveness is quite prevalent among vehicle insurance companies, it is rarely applicable to homes policies.

Pros

• Unique money-saving opportunities
• Eco-rebuild coverage
• Wide variety of home insurance discounts

Cons

• Average customer satisfaction ratings
• Can’t buy your policy online

• Multiline discount
• ePolicy discount
• UL-approved roofing materials discount
• New home discount
• Protective devices discount
• Home safety discount
• Green certifications discount
• Claims free discount
• Connected home discount
• Rent-to-own discount
• Preferred payment discount
• Good payer discount

Although Progressive does not underwrite homeowners insurance, it does make it available through linked third parties. Progressive customers who already have auto insurance can save money on home insurance by bundling their services when they buy a homes policy through one of Progressive’s affiliates.

Pros

• Multi-policy discounts for Progressive customers
• Multiple affiliate partners can result in lower premiums
• Large network of more than 35,000 agents

Cons

• Progressive does not underwrite policies
• Inconsistent reputation for claims handling

• Bundled home and car insurance discounts
• Safety and alarm discounts
• Quote in advance discount
• New purchase discount
• Email documents discount
• New home construction discount
• Pay-in-full discount

Liberty Mutual has been in business for 109 years and is one of the industry’s most trusted names. The corporation is noted for two things: its AM Best grade of A, which indicates great financial resources, and its strong humanitarian initiatives, which include helping the homeless, increasing accessibility for persons with disabilities, and supporting education in underserved places.

Pros

• One of the least expensive providers in our ratings
• Multiple discounts, including 10% of purchasing online (in most states)
• Optional coverage for water back-up

Cons

• An above-average number of customer complaints
• Dog breed restrictions

• Multi-policy discount
• Claims-free discount
• Protective devices discount
• Newly purchased home discount
• Safe homeowner program discount
• Early shopper discount
• Insured-to-Value discount
• New/renovated home discount
• Preferred payment discount
• Military discount
• New roof discount
• Paperless policy discount