Your renters insurance cost depends on the amount of coverage you want, as well as your claim history and location. The cheapest state's average renters insurance cost is $11 per month, while the most expensive state's average monthly cost is $21. The cost of renters insurance differs considerably by state, but it's an affordable investment overall.

Renters insurance costs by state

Your location makes a difference when it comes to renters insurance rates. North Dakota and South Dakota have the cheapest average renters insurance, at $126 and $127 a year, respectively. Mississippians paid the most, at $252 a year, or $73 more than the national average of $179.

Average cost of renters insurance by state
State Average annual renters insurance cost Average monthly renters insurance cost Difference from national average annual cost
Alabama $222 $19 $43
Alaska $175 $15 -$4
Arizona $175 $15 -$4
Arkansas $211 $18 $32
California $178 $15 -$1
Colorado $164 $14 -$15
Connecticut $188 $16 $9
Delaware $157 $13 -$22
District of Columbia $157 $13 -$22
Florida $185 $15 $6
Georgia $214 $18 $35
Hawaii $181 $15 $2
Idaho $152 $13 -$27
Illinois $166 $14 -$13
Indiana $172 $14 -$7
Iowa $144 $12 -$35
Kansas $172 $14 -$7
Kentucky $166 $14 -$13
Louisiana $234 $20 $55
Maine $149 $12 -$30
Maryland $161 $13 -$18
Massachusetts $191 $16 $12
Michigan $185 $15 $6
Minnesota $140 $12 -$39
Mississippi $252 $21 $73
Missouri $179 $15 $0
Montana $147 $12 -$32
Nebraska $149 $12 -$30
Nevada $182 $15 $3
New Hampshire $148 $12 -$31
New Jersey $160 $13 -$19
New Mexico $186 $16 $7
New York $189 $16 $10
North Carolina $158 $13 -$21
North Dakota $126 $11 -$53
Ohio $169 $14 -$10
Oklahoma $236 $20 $57
Oregon $161 $13 -$18
Pennsylvania $157 $13 -$22
Rhode Island $185 $15 $6
South Carolina $184 $15 $5
South Dakota $127 $11 -$52
Tennessee $195 $16 $16
Texas $225 $19 $46
Utah $155 $13 -$24
Vermont $153 $13 -$26
Virgina $152 $13 -$27
Washington $160 $13 -$19
West Virginia $189 $16 $10
Wisconsin $143 $12 -$36
Wyoming $146 $12 -$33
Source: National Association of Insurance Commissioners (NAIC); Dwelling Fire, Homeowners Owner-Occupied, and Homeowners Tenant and Condominium/Cooperative Unit Owner's Insurance Report: Data for 2018

Average renters insurance cost: cheapest states

  1. North Dakota: $126
  2. South Dakota: $127
  3. Minnesota: $140
  4. Wisconsin: $143
  5. Iowa: $144

Average renters insurance cost: most expensive states

  1. Mississippi: $252
  2. Oklahoma: $236
  3. Louisiana: $234
  4. Texas: $225
  5. Alabama: $222

The five most expensive states for renters insurance are all southern states prone to extreme weather, such as hurricanes.

Find affordable renters insurance in your state.

Renters insurance costs by coverage amount

You would need to take into account the worth of belongings when deciding your coverage amount. This includes your TV, mattress, furniture, musical instruments, and electronics.

When purchasing a renters insurance policy, you'll have to decide how much coverage you need. Here are national average rates for different amounts of personal property protection.

Average cost of renters insurance by personal property coverage
Coverage Average annual renters insurance cost Average monthly renters insurance cost
$13,999 and under $135 $11
$14,000 - $19,999 $149 $12
$20,000 - $25,999 $167 $14
$26,000 - $31,999 $182 $15
$32,000 - $37,999 $175 $15
$38,000 - $43,999 $202 $17
$44,000 - $49,999 $196 $16
$50,000 - $74,999 $235 $20
$75,000 - $99,999 $299 $25
$100,000 and over $422 $35
Source: National Association of Insurance Commissioners (NAIC); Dwelling Fire, Homeowners Owner-Occupied, and Homeowners Tenant and Condominium/Cooperative Unit Owner's Insurance Report: Data for 2018

To figure out how much coverage you need, we recommend starting with an inventory of your belongings.

States with the most renters

New York has the highest percentage of renter-occupied housing units. This stands in stark contrast to states like Maine, where only 27% of housing units are rented.

Housing trends vary by state. Here are some of the most popular states for renting:

States with the most renter-occupied homes
State Number of renter-occupied housing units Percentage of renter-occupied housing units
New York 3,461,296 46.5%
California 5,889,686 45.2%
Nevada 479,997 43.7%
Hawaii 189,047 41.1%
Rhode Island 160,997 39.2%
Texas 3,686,845 38%
Source: U.S. Census' Annual Community Survey (2019). The ACS' margin of error is +/-0.2% or less for all figures

The cost of renters insurance in the states with the most renters tends to be higher than the national average.

 

Source: National Association of Insurance Commissioners (NAIC); Dwelling Fire, Homeowners Owner-Occupied, and Homeowners Tenant and Condominium/Cooperative Unit Owner’s Insurance Report: Data for 2018

How COVID-19 changed average rent prices

The COVID-19 pandemic has had a significant impact on the cost of rent. Our team here at QuoteWizard analyzed rental rates across the country and found the average cost for a 1-bedroom apartment is going down in 15 states.

But while rent is dropping in some of the U.S.’s largest cities and states, rental rates are rising nearly everywhere else. You can see just how much rent has changed in the last two years in the table below.

Cost change for a 1-bedroom apartment
State Average monthly rent in 2021 % Change in the average cost of rent from 2019-2021
Alabama $726 5.2%
Alaska $982 4.7%
Arizona $979 9.1%
Arkansas $605 3.9%
California $1,442 -5.0%
Colorado $1,162 -1.6%
Connecticut $1,099 2.2%
Delaware $1,142 12.3%
Florida $1,109 1.6%
Georgia $979 3.7%
Hawaii $1,433 -0.6%
Idaho $700 10.2%
Illinois $863 -6.2%
Indiana $730 4.8%
Iowa $649 0.8%
Kansas $697 3.1%
Kentucky $683 1.6%
Louisiana $755 1.9%
Maine $845 6.4%
Maryland $1,251 0.8%
Massachusetts $1,152 -11.3%
Michigan $766 3.1%
Minnesota $875 -4.0%
Mississippi $698 5.3%
Missouri $724 2.0%
Montana $743 9.1%
Nebraska $749 2.3%
Nevada $990 6.4%
New Hampshire $1,010 7.5%
New Jersey $1,284 -1.7%
New Mexico $751 7.8%
New York $1,303 -7.8%
North Carolina $870 1.6%
North Dakota $660 -9.1%
Ohio $682 3.4%
Oklahoma $686 4.2%
Oregon $999 -1.6%
Pennsylvania $830 -1.0%
Rhode Island $943 2.3%
South Carolina $856 2.7%
South Dakota $626 2.6%
Tennessee $804 2.0%
Texas $935 -1.7%
Utah $955 2.8%
Virginia $1,183 -4.3%
Washington $1,149 -7.8%
West Virginia $585 2.5%
Wisconsin $769 2.6%
Wyoming $654 -1.7%
Methodology: Rent cost data was sourced from Apartment List estimates.

The nationwide change in rental rates is difficult to attribute to one single factor, however, statistics compiled by iProperty Management show that renters are leaving cities for the suburbs. Since the beginning of the COVID-19 pandemic, the number of open apartments has gone down 10% in suburban areas.

What determines the cost of renters insurance?

Insurance companies use many factors to determine how much to charge customers, including your location and policy details. Some of the most common factors are:

  • Your insurance claim history and credit score. A renters insurance claim can stay on a CLUE report for up to seven years. A CLUE report provides your claim history or history of loss of your property. Insurance companies may also look at your credit score and take it into account when determining your rate.
  • Your local environmental risks and crime statistics. If you live in an area that is vulnerable to natural disasters and crimes, you'll likely pay a higher renters insurance premium.
  • Your deductible and coverage level. If you have a lower deductible, your rates will be higher. Your rates will also go up if you add more coverage.

These are important factors, but there are many more. For more information, see our article on renters insurance policy rate factors.

What does renters insurance cover?

Renters insurance policies typically consist of four primary coverages: personal property, personal liability, medical payments to others and loss of use.

Personal property: This coverage protects your stuff. That includes everything from your laptop to your mattress and clothes. So if your couch is damaged in a fire, renters insurance can step in to help cover the cost of a new couch. Keep in mind that there are coverage limits for certain high-value items, such as jewelry.

Personal liability: If you find yourself in court after accidentally injuring someone or damaging their property, personal liability coverage can help cover the legal and medical costs. Some policies start at $50,000 of coverage, but $100,000 is more typical.

Medical payments to others: This coverage can help pay for medical bills if a guest is injured in your home, for example, if someone slips on your stairs. Limits for this coverage typically range from $1,000 to $5,000.

Loss of use: Also called additional living expenses, loss of use coverage helps pay for increased living expenses if you are unable to remain in your home if it is damaged and being repaired, for instance.

What does renters insurance protect me from?

Insurance companies call an event or circumstance that can cause personal injury or property damage a peril. Insurance companies don't cover all perils - there are usually some exclusions, meaning insurance doesn't kick in for all sources of damage. Here are some of the most commonly included and excluded renters insurance perils.

Common renters insurance inclusions and exclusions
Typical inclusions Typical exclusions
Fire and smoke damage Flood
Lightning, windstorm and hail Earthquake
Theft and vandalism Pest damage
Some types of water damage Sinkholes

This list is far from exhaustive. Check out our article on what renters insurance covers for more information.

Do you need renters insurance?

Renters insurance is not required by law, but landlords can require tenants to purchase renters insurance as a condition of the lease. Even if your landlord doesn't make you buy renters insurance, we strongly recommend it because renters insurance provides great value and is worth purchasing for most tenants.

Methodology

Our cost data were sourced from the National Association of Insurance Commissioners "2020 Dwelling Fire, Homeowners Owner-Occupied, and Homeowners Tenant and Condominium/Cooperative Unit Owner’s Insurance Report: Data for 2018."

All demographic and geographic data were sourced from Standard & Poor's Global Market Intelligence platform.

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