Compare Homeowners Insurance In Indiana
The average cost of homeowners insurance in Indiana is $955 a year. This is $260 below the national average of $1,215. In order to help you get your best rate and the right coverage, we studied the home insurance market in Indiana to compare provider rates, company policy offerings and customer satisfaction levels. Here's what we found:
- Best overall value: Erie Insurance
- Cheapest rates: Allstate
- Best for home and auto bundle: American Family
- Best for veterans: USAA
How much is home insurance in Indiana?
Homeowners insurance premiums in Indiana have jumped around over the last few years. Indiana homeowners will currently pay an average $955 per year, or $79 a month in home insurance premiums. This is down from $983 in 2015, and further down from $1,003 in 2016.
| Today | 2016 | 2015 | |
|---|---|---|---|
| Indiana annual average | $955 | $1,003 | $983 |
| Indiana price per month | $79 | $83 | $81 |
| U.S. annual average | $1,215 | $1,192 | $1,173 |
| U.S. cost per month | $101 | $99 | $98 |
| Note: Average rates for today are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. Data from 2015-2016 sourced from NAIC. | |||
Home insurance rates may vary between home insurance providers, which is why you should compare rates before you buy home insurance. Below you will find how rates from the biggest companies in Indiana compare.
Average yearly cost of homeowners insurance in Indiana
Best home insurance companies in Indiana
Erie, Indiana Farm Mutual, American Family and USAA stood out as the four best homeowners insurance companies in Indiana in our study. Here's why:
Erie: best value
Erie’s home insurance rates are well below the Indiana state average. Plus, the company offers superior customer service and maintains a firm financial backing.
Erie has the third lowest home insurance premiums in Indiana. At $804 a month on average, the company provides an excellent value.
You’re not sacrificing quality coverage and customer satisfaction for those cheaper rates. Erie came in second only to Amica Mutual for overall customer service satisfaction in J.D. Power’s 2019 U.S. home insurance study. J.D. Power gave them 917 on a 1,000 point scale for customer satisfaction ‒ 65 points above the industry average of 852.
Erie financial strength is a good indicator of their claim payment capability. A.M. Best, a credit rating agency that focuses on the insurance industry, gave Erie Insurance its top A+ rating for financial backing. Indiana policyholders can rest assured that that Erie has the power to back up their policies.
Allstate: cheapest rates
Allstate rates in Indiana average about $627 yearly. This is hundreds of dollars under the yearly state home insurance average of $955.
These low rates do come with slight drawbacks. J.D. Power gave Allstate a three out of five stars for overall customer service satisfaction, claim servicing and claim settlement. Despite average-level customer satisfaction and claim handling, Indiana homeowners do enjoy Allstate's low rates. They have the third highest number of written policies in the state, as well as 8.1% of the home insurance market there.
The company’s financial strength is formidable on multiple fronts. A.M. Best gave Allstate an A+ for financial backing. S&P Global Ratings, another industry analysis and rating organization, gave Allstate an AA- rating, the fourth highest of 22 categories. Moody's Investors Service gave Allstate a financial strength rating of Aa3, the fourth highest of their 21 ratings.
American Family: best home and auto bundling
When you bundle insurance policies together, you can save a lot of money on both of them. American Family received our best of bundling rating in Indiana due to positive rankings of their home and auto insurance policies, premiums and their discounts after bundling.
According to the NAIC, American Family is the seventh biggest underwriter of homeowners insurance and the ninth for auto insurance in the country. These rankings show a consistent popularity on both insurance fronts
American Family's home insurance rates are some of the lowest in Indiana. Their average home insurance premium in Indiana is $884. This is over 3% less than the current state average of $955 and 27% under the national average of $1,215. These premium rates get better with bundling. With bundling, you can save up to 20% on your home insurance and 29% on your auto insurance with American Family.
Best for Veterans: USAA
With over 455,000 veterans currently living in Indiana, they make up over 14% of the state's population. USAA stands as our top recommendation for veterans in Indiana not only for their focus on members of the military and their families, but for their low rates and superior customer satisfaction.
The average USAA home insurance rate in Indiana is $942, which is slightly higher than the state average but still 22% under the national average. This is an excellent value for veterans when combined with the fact that USAA earned one of J.D. Powers' three 5/5 overall satisfaction ratings in their 2019 home insurance survey. They also have a score of 0.14 in the NAIC's complaint index, which is much better than average. This standing puts them as the lowest in the state's complaint index, indicating a well above-average level of customer satisfaction.
USAA provides for the insurance needs of both standing members and veterans of the Armed Services. They offer home insurance coverage specific to members of the military, like personal property coverage in war zones, which is usually excluded from other home insurance policies.
Summary: biggest home insurance companies in Indiana
| Company | Market Share | Average annual premium | 2019 J.D. Power overall satisfaction rating | NAIC Complaint Index (the lower, the better) |
|---|---|---|---|---|
| Allstate | 8.05% | $627 | 3/5 | 0.29 |
| Erie | 5.59% | $804 | 5/5 | 0.20 |
| American Family | 6.65% | $884 | 3/5 | 0.32 |
| State Farm | 25.26% | $949 | 4/5 | 0.20 |
| Travelers | 2.36% | $1,229 | 2/5 | 0.08 |
Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary.
For our national rankings, see our best home insurance companies.
Home insurance rates in Indiana by city
Rates in Indiana may vary from city to city. For example, Fort Wayne, IN has an average home insurance rate of $744 a year, while Gary, IN has an average rate of $1,197.
| City | Average annual home insurance cost |
|---|---|
| Anderson | $976 |
| Bloomington | $962 |
| Carmel | $922 |
| Columbus | $965 |
| Elkhart | $787 |
| Evansville | $991 |
| Fishers | $937 |
| Fort Wayne | $802 |
| Gary | $1,255 |
| Greenwood | $1,004 |
| Hammond | $1,060 |
| Indianapolis | $1,049 |
| Jeffersonville | $1,054 |
| Kokomo | $859 |
| Lafayette | $836 |
| Lawrence | $1,006 |
| Merrillville | $923 |
| Mishawaka | $858 |
| Muncie | $918 |
| New Albany | $1,027 |
| Noblesville | $927 |
| Portage | $919 |
| South Bend | $902 |
| Terre Haute | $1,024 |
| Westfield | $921 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Homes insurance rates in Indiana by county
Here’s how home insurance rates across counties in Indiana compare:
| City | Average annual home insurance cost |
|---|---|
| Adams | $823 |
| Allen | $808 |
| Bartholomew | $967 |
| Benton | $906 |
| Blackford | $962 |
| Boone | $938 |
| Brown | $1,011 |
| Carroll | $920 |
| Cass | $868 |
| Clark | $1,043 |
| Clay | $1,067 |
| Clinton | $966 |
| Crawford | $1,103 |
| Daviess | $1,063 |
| Dearborn | $950 |
| Decatur | $977 |
| DeKalb | $815 |
| Delaware | $934 |
| Dubois | $997 |
| Elkhart | $789 |
| Fayette | $919 |
| Floyd | $1,048 |
| Fountain | $990 |
| Franklin | $936 |
| Fulton | $880 |
| Gibson | $1,090 |
| Grant | $966 |
| Greene | $1,037 |
| Hamilton | $941 |
| Hancock | $1,019 |
| Harrison | $1,066 |
| Hendricks | $1,013 |
| Henry | $1,002 |
| Howard | $879 |
| Huntington | $839 |
| Jackson | $1,029 |
| Jasper | $942 |
| Jay | $944 |
| Jefferson | $1,016 |
| Jennings | $1,004 |
| Johnson | $1,012 |
| Knox | $1,048 |
| Kosciusko | $840 |
| LaGrange | $806 |
| Lake | $991 |
| LaPorte | $911 |
| Lawrence | $1,059 |
| Madison | $967 |
| Marion | $1,048 |
| Marshall | $849 |
| Martin | $1,049 |
| Miami | $871 |
| Monroe | $948 |
| Montgomery | $977 |
| Morgan | $999 |
| Newton | $910 |
| Noble | $833 |
| Ohio | $991 |
| Orange | $1,086 |
| Owen | $1,047 |
| Parke | $1,035 |
| Perry | $1,023 |
| Pike | $1,066 |
| Porter | $907 |
| Posey | $1,046 |
| Pulaski | $943 |
| Putman | $1,024 |
| Randolph | $947 |
| Ripley | $969 |
| Rush | $972 |
| Saint Joseph | $890 |
| Scott | $1,044 |
| Shelby | $996 |
| Spencer | $1,056 |
| Starke | $942 |
| Steuben | $827 |
| Sullivan | $1,045 |
| Switzerland | $985 |
| Tippecanoe | $839 |
| Tipton | $900 |
| Union | $942 |
| Vanderburgh | $992 |
| Vermillion | $1,011 |
| Vigo | $1,036 |
| Wabash | $891 |
| Warren | $969 |
| Warrick | $1,100 |
| Washington | $1,095 |
| Wayne | $926 |
| Wells | $858 |
| White | $904 |
| Whitley | $827 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Home insurance perils in Indiana
Indiana homeowners face many risks common to the Midwest. This can affect your rates significantly.
Flooding
Indiana’s high rain levels, snow melt, and amount of wetlands put it at high risk of flooding. Almost 90% of counties in the state were declared disaster areas after the 2008 flooding season, resulting in at least two deaths and about a half a billion dollars in damage in Columbus, IN alone.
Flood damage is not covered by homeowners insurance. For coverage, you’ll need a flood insurance policy. The majority of homeowners get coverage through FEMA's National Flood Insurance Program (NFIP), where the average cost of flood insurance is about $700 a year, or $58 a month.
Between 1996 and 2016, The NFIP paid almost 9,000 insurance claims in Indiana, totalling more than $180 million in payouts.
New research suggests that Indiana flood risk is greater than previously thought, however. First Street Foundation’s flood mapping found 1.67 times or 67% more properties at risk than FEMA’s flood maps. This equates to an additional 113,569 properties at risk of flooding across Indiana. In St. Joseph County, for example, First Street found 8.4 times more properties at risk than FEMA.
First Street's new calculation takes the rise in sea levels, creek floods and additional rainfall into account where FEMA does not. Below is a comparison between the previous FEMA estimate and the current estimate by First Street of the properties at risk of flooding.
| Most Populated Counties | Total properties | Fema: properties at risk | First Street: properties at risk | Additional properties at risk | Magnitude difference |
|---|---|---|---|---|---|
| Indiana | 3,507,643 | 168,977 | 282,546 | 113,569 | 1.67x |
| Marion County | 341,229 | 18,286 | 18,525 | 239 | 1.01x |
| Lake County | 237,448 | 9,991 | 19,302 | 9,311 | 1.93x |
| Allen County | 156,318 | 5,097 | 8,175 | 3,078 | 1.60x |
| Hamilton County | 132,279 | 3,341 | 5,250 | 1,909 | 1.57x |
| St. Joseph County | 118,800 | 1,377 | 11,573 | 10,196 | 8.40x |
| Elkhart County | 88,323 | 3,231 | 7,762 | 4,531 | 2.40x |
| Tippecanoe County | 65,702 | 1,845 | 4,558 | 2,713 | 2.47x |
| Vanderburgh County | 78,692 | 5,183 | 5,423 | 240 | 1.05x |
| Porter County | 79,686 | 1,933 | 4,976 | 3,043 | 2.57x |
| Hendricks County | 73,863 | 1,278 | 3,084 | 1,806 | 2.41x |
Winter weather
During the winter months, temperatures in Indiana can drop to the 20s and lower. This deep cold can be a huge threat to homes. Frozen pipes are a major cause of water damage in the home, and can do thousands of dollars in damage quickly.
Snow is another danger in Indiana. Snowfall can range anywhere from 14 inches in the southwestern portion of Indiana all the way to 76 inches in the north and central parts. It can start falling as early as mid-October and last all the way to early May.
Heavy snow such as this poses a threat to your roof. No one wants a collapsed roof due to snow falling from tree branches or simply accumulating on the roof itself. Roof damage due to snow is usually covered by home insurance. However, if you have a blizzard and 19 degree weather happening outside your walls, you want to remove snow when you can to avoid such problems in the first place.
Cold weather doesn't just pose a threat to your home. If someone slips and falls due to ice on your grounds, you may have a significant liability problem on your hands. Medical bills and legal fees due to injuries occurring on your property are covered by your home insurance, but taking steps like shoveling and de-icing your walkways can prevent it from happening at all.
Tornadoes
Even though Indiana isn't in the Midwest's Tornado Alley, this doesn't mean it's not at risk. Since 1953, Indiana has had up to three tornadoes yearly in its southern part and averages as many as nine in the central and northern parts.
The majority of home insurance policies cover damage due to tornadoes. However, preventative measures such as installing storm windows and bracing your garage door can reduce chances of tornado damage. These steps may also reduce your home insurance premium.
Methodology
We aggregated quotes for every ZIP code in Indiana from eight of the top insurers. We considered Allstate, Indiana Farmers Mutual, Erie, American Family, State Farm, Travelers, United Farm Family Mutual, USAA and Property Owners Insurance. Quotes were for a home worth $148,885, built in 1973 and owned by a 56-year-old. These are the median home value, construction date, and homeowner age in Indiana.
We picked the companies for our study using S&P Global Market Intelligence, which ensures results as localized to Indiana as possible. The largest subsidiary in Indiana of every insurer was taken as representative for the company.
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