Best Home Insurance Companies of 2026: Ratings, Prices and Coverage

What home insurance costs in 2026

Home insurance has become one of the fastest-rising household bills. Insurify estimates the national average reached $2,948 a year in 2025 after a 12% jump and projects $3,057 by the end of 2026, which would be a fifth straight annual increase. J.D. Power's 2025 home study found 47% of customers had a premium increase in the prior year, the highest rate of insurer-initiated increases in more than a decade. For the full story on why, see our explainer on home insurance rate increases.

Customer satisfaction: J.D. Power 2026

J.D. Power's 2026 U.S. Home Insurance Study, released in September 2026, surveyed 17,191 homeowners and renters between July 2025 and July 2026. Only the top three homeowners insurers were published in the announcement.

Source: J.D. Power 2026 U.S. Home Insurance Study (Sept. 2026) and 2026 U.S. Property Claims Satisfaction Study (March 2026). Scores out of 1,000.

Amica ranked first among homeowners for the second year in a row. In the claims study, which surveyed 5,093 customers who filed property claims, Amica's 773 was 71 points above the study average of 702. Liberty Mutual, Nationwide, Erie and Progressive Home also scored above average for claims. Claims are getting faster: the average repair took 29.6 days, down 2.8 days, and final payment arrived in 40.7 days on average. Still, almost one in five claimants said their experience was "not great."

One finding applies to everyone: only 55% of homeowners said they completely understand what their policy covers, a figure that has barely moved in six years. Communication makes a difference: customers whose insurer reached out proactively were more likely to fully understand their coverage (60%) than those with no contact in the past year (48%). Among customers whose experience wasn't seamless, 25% got different or conflicting answers from different sources. Ask for coverage answers in writing. Our checklist for homeowners insurance before you buy walks through what to check.

What large insurers charge

NerdWallet's 2026 analysis priced the same policy across insurers: a 40-year-old homeowner with good credit, $400,000 in dwelling coverage, $300,000 in liability coverage and a $1,000 deductible.

Source: NerdWallet, "The cheapest home insurance" (updated Feb. 20, 2026). $400,000 dwelling coverage. *USAA limited to military members, veterans, some federal employees and their families.

Coverage amount changes the price a lot. State Farm's average ranged from $1,630 for $200,000 of dwelling coverage to $4,030 for $800,000. Insurance.com's 2026 data, using a different sample, put Amica's average at $1,510 against a national average of $2,543 in its dataset. Different studies use different homes and locations, so use these figures to build a shortlist, not to predict your quote.

Financial strength

A home insurer has to be able to pay a large wave of claims after a hurricane or wildfire, so financial strength matters more here than for many other products. AM Best's top grades are A++ and A+ (Superior), followed by A and A- (Excellent).

• Chubb: A++, affirmed January 2026.
• Travelers: A++.
• State Farm: A++ (group rating as compiled by CarInsurance.com).
• Amica: A+, affirmed March 2026, when AM Best also raised its outlook to stable from negative, citing pricing increases and a focus on core northeastern states.
• Erie and Allstate: A+.

Ratings apply to specific underwriting companies, so check the rating of the company named on your policy, especially if it's a newer or smaller regional insurer.

Coverage features that set insurers apart

Two policies with the same price can pay very differently after a total loss. Features worth comparing, as reported by NerdWallet in 2026:

• Chubb includes extended replacement cost on the home and replacement cost on belongings, and offers personal liability limits up to $100 million. It's built for higher-value homes and is sold mostly through local agents.
• Amica sells dividend policies that return roughly 5%–20% of the premium, plus a Platinum Choice package with extra dwelling coverage and higher liability limits. It isn't available in Alaska or Hawaii.
• NJM includes guaranteed replacement cost and water backup coverage in standard policies, but sells only in Connecticut, Maryland, New Jersey, Ohio and Pennsylvania.
• State Farm's default policy includes extra structure coverage if rebuilding costs more than expected.
• Cincinnati Insurance offers a "green upgrade" to rebuild with eco-friendly materials after a claim, sold only through independent agents.

The difference between these terms matters. Replacement cost pays to rebuild with similar materials; actual cash value subtracts depreciation and pays less. Extended replacement cost pays above your dwelling limit, typically 20%–25% more, if rebuilding costs jump after a disaster. Guaranteed replacement cost has no percentage cap. Insurify notes that standard replacement cost doesn't always cover a full rebuild when labor and material prices spike.

Ask every insurer three questions: Does the policy pay replacement cost or actual cash value for the roof and belongings? Is there extended or guaranteed replacement cost if rebuilding costs spike? Is water backup included or an add-on? Standard policies also exclude flood and earthquake. Our guide to home insurance and natural disasters covers those gaps.

California and Florida: when availability is the problem

California

Allstate stopped writing new California home policies in 2022, and State Farm, the state's largest carrier, stopped accepting new homeowners applications in 2023, citing disaster risk, construction costs and inflation. Many homeowners have ended up in the California FAIR Plan, the state's insurer of last resort. It had 696,562 dwelling and commercial policies in June 2026, up 157% from September 2022. FAIR Plan policies cover fire only, so homeowners pair them with a separate policy for other risks, and those with a second policy paid about $2,000 more a year in one sample.

California's Sustainable Insurance Strategy, in effect since January 2025, lets insurers use catastrophe models and reinsurance costs in their rates if they write more policies in wildfire-distressed areas. Mercury and CSAA have announced plans to write more, and Farmers plans to market to 300,000 consumers in high-risk zones. Consumer Watchdog counts about 12,189 additional policies committed so far, so progress is slow.

Florida

Florida's market has been recovering. Citizens Property Insurance, the state-backed insurer, shrank to about 270,000 policies in September 2026 from a peak of about 1.4 million in September 2023, and 21 carriers have entered the state since the 2022–2023 legislative reforms. Citizens has sent about 45,000 non-renewal notices as part of that shift, giving affected homeowners roughly a year to find new coverage. Citizens customers must accept a private offer priced within 20% of their Citizens premium, so moving to the private market can mean paying more. Florida remains expensive: the statewide average including wind was $3,815 based on April 2026 regulator data, though premiums fell in 51 of 67 counties in the first half of 2026.

Who each insurer may suit

• Service-focused homeowners: Amica and Erie, the two highest scorers in J.D. Power's 2026 homeowners study. Erie is a regional insurer, so check availability.
• High-value homes: Chubb, for its replacement cost features, high liability limits and A++ rating.
• Military families: USAA, with the lowest average in NerdWallet's data.
• Price shoppers who want an agent: State Farm, with the lowest average among non-military insurers in NerdWallet's sample, where it writes new policies.
• Bundlers: Compare a home-and-auto package against separate policies. Our auto insurance comparison covers the car side.

Frequently asked questions