When it comes to protecting your home, finding cheapest homeowners insurance is a top priority. With rising costs and fluctuating rates, it’s essential to compare options and secure the best deal. Based on extensive research, USAA and Auto-Owners stand out as the cheapest homeowners insurance providers in the US for March 2025. However, eligibility and availability vary, so we’ve also included other top contenders like Erie, Nationwide, Allstate, and American Family to help you make an informed decision.
Whether you’re looking for Erie home insurance, home insurance quotes in Progressive 39532, or the cheapest homeowners insurance in Little Rock, California, this guide has you covered. Let’s dive into the details!
Top 6 Cheapest Homeowners Insurance Companies in 2025
Here’s a breakdown of the most affordable home insurance providers, their average premiums, and standout features:
1. USAA: Best for Military Members
- Avg. Monthly Premium: $104
- Avg. Annual Premium: $1,242
- Savings vs. National Avg.: $1,000
- Coverage: Available to active-duty military, veterans, and their families.
- Pros:
- Cheapest rates nationwide.
- Exceptional customer service.
- A++ financial strength rating (AM Best).
- Cons: Limited to military-affiliated individuals.
Standout Discounts: Connected home, protective devices, loyalty savings.
2. Auto-Owners: Best Budget Option
- Avg. Monthly Premium: $156
- Avg. Annual Premium: $1,868
- Savings vs. National Avg.: $374
- Coverage: Available in 26 states.
- Pros:
- Flexible policy options (e.g., guaranteed home replacement).
- A++ financial strength rating.
- Cons: Limited availability and fewer digital tools.
Standout Discounts: Multi-policy, paid-in-full, water shut-off system.
3. Erie: Best for Customer Service
- Avg. Monthly Premium: $144
- Avg. Annual Premium: $1,728
- Savings vs. National Avg.: $514
- Coverage: Available in 12 states.
- Pros:
- High customer satisfaction scores.
- Affordable rates with add-ons like extended water coverage.
- Cons: Limited endorsements and state availability.
Standout Discounts: Advanced quote, fire/burglar alarms, multi-policy.
4. Nationwide: Best for Bundling
- Avg. Monthly Premium: $157
- Avg. Annual Premium: $1,881
- Savings vs. National Avg.: $361
- Coverage: Nationwide availability.
- Pros:
- Offers bundling options for home and auto insurance.
- Diverse financial products (e.g., retirement plans).
- Cons: Limited mobile app functionality.
Standout Discounts: Gated community, home renovation, smart home.
5. Allstate: Best for First-Time Homeowners
- Avg. Monthly Premium: $185
- Avg. Annual Premium: $2,225
- Savings vs. National Avg.: $17
- Coverage: Nationwide availability.
- Pros:
- 24/7 customer service and a wide network of agents.
- Extensive add-ons (e.g., landscaping, eco-friendly upgrades).
- Cons: Higher premiums compared to competitors.
Standout Discounts: Responsible payment, early signing, easy pay plan.
6. American Family: Best Digital Experience
- Avg. Monthly Premium: $160
- Avg. Annual Premium: $1,925
- Savings vs. National Avg.: $317
- Coverage: Available in 19 states.
- Pros:
- Strong digital tools and online experience.
- Specialized coverage options (e.g., flash flood, hidden water damage).
- Cons: Limited state availability.
Standout Discounts: Generational discount, renovated home, smart home.
Cheapest Homeowners Insurance by State
Home insurance rates vary significantly by state due to factors like natural disaster risks and building costs. Here are the cheapest providers in key states:
| State | Cheapest Provider | Avg. Annual Premium |
|---|---|---|
| California | Progressive | $1,435 |
| Texas | Armed Forces | $2,079 |
| Florida | State Farm | $5,340 |
| Ohio | Buckeye State Mutual | $719 |
| Oklahoma | Farmers | $1,631 |
| Maryland | State Farm | $1,200 |
| Wisconsin | Auto-Owners | $1,400 |
| West Virginia | Erie | $1,100 |
How to Save on Cheapest Homeowners Insurance
- Bundle Policies: Combine home and auto insurance for significant discounts.
- Install Smart Home Devices: Smart locks and alarms can lower premiums.
- Improve Your Credit Score: Better credit often means lower rates (except in CA, MD, and MA).
- Shop Early: Secure quotes 7-10 days before your policy expires for early bird discounts.
- Review Coverage: Adjust your policy to reflect current needs and avoid overpaying.
FAQs on Cheapest Homeowners Insurance
Q: What is the cheapest state for home insurance?
A: Vermont, with an average annual premium of $837 for $300,000 in dwelling coverage.
Q: Will my premium increase if I file a claim?
A: Yes, filing a claim can lead to higher premiums due to increased risk assessment.
Q: Does my credit score affect my home insurance rate?
A: In most states, yes. Improving your credit can lower your premiums.
Q: What does home insurance cover?
A: Standard policies cover the home’s structure, personal property, liability, and additional living expenses. Floods and earthquakes typically require separate coverage.
Final Thoughts
Finding the cheapest homeowners insurance doesn’t mean sacrificing quality. Companies like USAA, Erie, and Auto-Owners offer affordable rates without compromising on coverage or customer service. Whether you’re in Oklahoma, Wisconsin, or Maryland, comparing quotes and leveraging discounts can help you save significantly.
For personalized quotes, visit providers like State Farm, Progressive, or USAA today. Protect your home without breaking the bank!
For more expert insights and other insurances, stay tuned to our blog!
