Best Home Insurance in Chicago, Illinois

Allstate offers the region's cheapest rates, $120 a month, but Country Financial ranks higher for customer service.

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State Farm offers the cheapest homeowners insurance in the greater Chicago area, with rates averaging $120 a month.

Price is important, but you also need your insurance company to provide coverage that matches your needs and responsive customer service, especially if you have to file a claim. With this in mind, here’s our guide to the best home insurance companies in Chicago.

In this article

How much is home insurance in Chicago?

The average cost of home insurance in the greater Chicago area is $134 a month, based on our review of quotes for a typical home in every ZIP code in the seven-county region. This is slightly lower than Illinois’s statewide average of $142 a month.

Prices are slightly higher within Chicago’s city limits, where the average price of home insurance is $156 a month.

Chicago-area home insurance rates
Location Annual rate Monthly rate
Greater Chicago (seven counties) $1,606 $134
Illinois state average $1,708 $142
City of Chicago $1,869 $156
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Insurance companies evaluate a number of factors to determine your rate. The most common include:

  • The age, location and construction features of your home
  • The estimated cost of rebuilding your home
  • Your neighborhood’s weather risks and crime rates
  • Your credit and insurance history
  • Any discounts you may be eligible to receive

Since each company weighs these factors differently and offers different discounts, you may qualify for a significantly lower rate with one company than you do with others. This is why it’s best to compare quotes from multiple companies when you shop.

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Who offers the cheapest home insurance in Chicago?

State Farm’s rate of $120 a month is the cheapest for home insurance in the Chicago metro area, followed by Allstate and Country Financial, which both charge about $126 a month.

USAA’s average rate of $104 a month is actually lowest among all the home insurance companies in our analysis. However, USAA is only available to current and former members of the military and their families.

Cheapest home insurance in Greater Chicago
Company Annual rate Monthly rate
State Farm $1,442 $120
Allstate $1,509 $126
Country Financial $1,514 $126
Metro average $1,606 $134
American Family $1,856 $155
Farmers $2,073 $173
USAA* $1,244 $104
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

Chicago’s best home insurance companies

State Farm, USAA and Country Financial have the best customer service ratings in our analysis, Allstate has the best loyalty discounts, and Country Financial is best for flexibility.

Best customer service: USAA, State Farm and Country Financial

Our review of key customer service metrics shows that USAA and State Farm have the highest overall satisfaction scores from J.D. Power, while Country Financial has the lowest complaint rate with the National Association of Insurance Commissioners (NAIC).

J.D. Power’s Overall Customer Satisfaction Index Rankings are based on customer reviews rating insurance companies on interaction, policy offerings, price, billing process, policy information and claims.

USAA’s ranking of 882, on a 1,000-point scale, leads all insurance companies nationwide. Among the Chicago home insurance companies in our analysis, State Farm has the next-best score, 835, followed by American Family, 831, Country Financial, 830, and Allstate, 829.

Customer satisfaction scores for Chicago home insurance companies
Company Customer satisfaction index ranking
USAA 882
State Farm 835
American Family 831
Country Financial 830
Allstate 829
Segment average 825
Farmers 813
Source: J.D. Power 2021 U.S. Home Insurance Study.

The NAIC Complaint Index compares insurance companies based on the number of confirmed complaints they receive, relative to their size. A confirmed complaint is one that leads to a finding of fault.

The national Complaint Index is 1.0. A company with a 2.0 Complaint Index rating has twice as many confirmed complaints as expected its size, while a 0.5 rating reflects half as many.

Country Financial’s 0.09 Complaint Index rating is lowest among the companies in our analysis. The companies with the next-best ratings include American Family, 0.12, and USAA, 0.2.

Complaint Index ratings for Chicago insurance companies
Company Complaint Index
Country Financial 0.09
American Family 0.12
USAA 0.2
Farmers 0.21
State Farm 0.32
Allstate 0.35
National Complaint Index 1.0
Source: National Association of Insurance Commissioners, 2021 data.

Best loyalty discounts: Allstate

Allstate’s Enhanced Package offers interesting ways to save money if you stick with the company for a few years or longer. For example, its Deductible Rewards program knocks $100 off your deductible for every year you manage to avoid a claim. If you do file a claim, the Claim Rateguard feature protects you from a subsequent rate increase.

Most flexible coverage options: Country Financial

In addition to strong customer service ratings, Country Financial offers the most flexible options for home insurance coverage and price. Its Standard policy tier protects against most common home insurance perils at an economical rate. The Premier tier provides a higher level of protection at rates that are often lower than those available for comparable coverage from other companies.

Chicago-area home insurance rates by county

Among the greater Chicago area’s seven counties, home insurance rates range from $122 a month in DuPage County to $143 in Will County. The average cost of homeowners insurance in Cook County is $137 a month.

Home insurance rates in Chicago-area counties
Counties Annual rate Monthly rate
Cook $1,647 $137
DuPage $1,469 $122
Kane $1,524 $127
Kendall $1,530 $128
Lake $1,592 $133
McHenry $1,602 $133
Will $1,717 $143
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.

See home insurance rates from top companies

Home insurance for flood and water damage in Chicago

Standard home insurance excludes floods and only offers limited coverage for other types of water damage, but you can purchase additional insurance to protect your home from these risks.

Flood insurance in Chicago

Most flood insurance is purchased through the government-backed National Flood Insurance Program (NFIP), but certain private companies also offer it in Chicago.

If your home is located in a high-risk flood zone, your lender will require flood insurance for a mortgage. You can also purchase flood insurance on an optional basis if you don’t have a mortgage or if your home is in a low- or moderate-risk area.

The average cost of NFIP flood insurance in Chicago is $1,041 a year, or $87 a month. However, those in low- and moderate-risk areas typically pay less than those in high-risk areas.

If you’re not sure of your home’s flood risk, or the flood risk of a home you want to buy, you can look it up online in the Flood Map Service Center on the Federal Emergency Management Agency (FEMA) website.

FEMA’s extensive mapping system identifies the flood risks in communities across the nation. However, Chicago’s flood risks are unique. Extreme rain events in recent years have overwhelmed storm drains and sewer systems, resulting in floods outside the high-risk zones on FEMA’s maps. This is an important reason to consider flood insurance for a home in a low- or moderate-risk area.

Water- and sewer-backup endorsements

Although standard homeowners insurance typically excludes damage from water and sewer backups, most insurance companies offer an endorsement you can add to your policy to protect against this risk.

A water-backup endorsement typically covers many types of sump-pump failures.

However, water-backup endorsements typically exclude reverse flows and other backups that occur during a flood, which are usually only covered by flood insurance.

Frequently asked questions about home insurance in Chicago

How much is home insurance in Chicago?

The average price of home insurance in the city of Chicago is $156 a month. In the greater Chicago area, which includes seven northeastern Illinois counties, the average price of homeowners insurance is $134 a month.

What is the average cost of flood insurance in Chicago?

The average cost of flood insurance in Chicago is $1,041 a year, or $87 a month, for policies issued through the NFIP. Those in high-risk flood zones are generally charged higher rates than those in low- and moderate-risk areas.

Where can I purchase flood insurance in Chicago?

FEMA authorizes local agents in communities across the nation to sell NFIP flood insurance and also provides a searchable provider directory on its website. Whether you are shopping for an NFIP policy or private flood insurance, make sure your agent has a valid Illinois insurance license.


We obtained quotes for a standard HO-3 homeowners insurance policy on a typical home in every ZIP code in the greater Chicago area, including Cook, DuPage, Kane, Kendall, Lake, McHenry and Will counties. Unless otherwise noted, standard policies include the following limits and deductibles:

  • Dwelling coverage: $275,000
  • Other structures: $27,500
  • Personal property: $137,500
  • Loss of use: $55,000
  • Liability: $100,000
  • Medical payments: $5,000

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