insurance policy

How Much Does Homeowners Insurance Cost? A Price Guide

VWB Blog 2 years ago 19

With well over 115 million homes in the United States, getting the right home insurance policy is becoming more and more important. Protecting your home in case of an emergency or disaster remains a key priority for many Americans.

But how much does homeowners insurance cost? Which factors affect your overall homeowners’ insurance price?

That’s what we’re here to look at today. Read on to find out more about buying homeowners insurance and how much it’ll cost you down the line.

So How Much Does Homeowners Insurance Cost?

The average cost of homeowners insurance has hovered around the $1,200 per household range for the past few years. This is, of course, an average of millions of different premiums that fluctuate from home to home.

The state in which you live heavily affects your homeowners’ insurance premiums. In fact, the cost of insurance is variable to the point where you should read up on what your state’s averages are.

What Affects Homeowners Insurance Cost?

There are plenty of reasons why homeowners insurance is so variable, such as geography. Some parts of the country are more susceptible to different types of disasters.

For example, a home in Florida experiences more rainstorms and monsoons than a home in Arizona. A Wisconsin home probably experiences more snow-related climate events than other homes in a more Southern region.

There are also factors outside of geography that bring homeowners insurance premiums up or down. If a house was built a long time ago, for instance, it might have a higher premium due to lasting issues.

The state of a house’s roof plays another big part in homeowners insurance costs. Whether your home’s roof can withstand rain or other precipitation is a big determining factor for insurance prices.

If you’re wondering whether roof damage affects your insurance policy, click that link to find out more.

Other Factors for Homeowners Insurance

There are factors other than the location or the state of the home itself that affects your end price. For instance, a higher deductible can help you secure a lower premium and vice versa.

Insurance companies also match the risk that you or your area represents. If you’ve filed multiple claims in the past or if homes in your area often file claims, that can affect your homeowners’ insurance costs.

Your credit history often affects homeowners insurance prices. A higher credit score obviously gets you cheaper or more appropriate premiums. A lower credit score makes companies less likely to give you a favorable price.

How to Save on Homeowners Insurance

A great way to save on your homeowners’ insurance costs is by controlling your credit score. This means borrowing less money and avoiding taking on more credit. Paying off your loans on time also helps.

Adding safety features and renovating your home also improves your chances of getting a lower premium through discounts. Companies often provide rebates for adding these features to your home.

Raising your deductible also provides opportunities for lower premiums. Don’t forget about bundling your homeowners and auto insurance policies if that offers a chance for lower costs.

Finding the Best Homeowners Insurance Prices

So how much does homeowners insurance cost? It depends on where you live as well as your overall situation. Use this guide to help you answer that question on your own terms and get the right insurance policy today!

For more informative articles on insurance and finance, check out the rest of our site!

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