Finding the Best Homeowners Insurance in Iowa
Looking for the best and cheapest homeowners insurance in Iowa? With over 70% of Iowans owning their own home, chances are you’re one of the many wonderings whether purchasing homeowners insurance is worth the investment — after all, it isn’t exactly cheap. However, when pondering over Iowa homeowners insurance quotes, it’s worth remembering that no matter how modern or well-built your home may be, the fact remains that it’s a complex structure packed with intricate heating, electrical, and plumbing systems that can wind up costing a fortune to repair or replace should anything go wrong with them. So, while homeowners insurance may seem like a high cost at first, it pales in comparison to any repairs you’ll have to pay for out of pocket should the worst come to worst. And that’s without taking into account the various natural disasters that have plagued the Hawkeye State over the past couple of decades. Luckily for you, there’s no shortage of insurance companies in America but finding the best homeowners insurance in Iowa isn’t as simple as it sounds. Of course, you’ll want the best price you can find, but, at the same time, you’ll need to make sure you’re getting the right amount of coverage. So, it’s worth taking your time and shopping around before deciding on a particular insurer or plan.
| Iowa Homeowners Insurance Cost Broken Down | Rates |
|---|---|
| Yearly Cost of Homeowners Insurance in Iowa | $2,072.00 |
| Costs Per Month for Homeowners Insurance in Iowa | $172.67 |
How Much is Homeowners Insurance in Iowa
How much you pay for homeowners insurance in Iowa depends on a myriad of factors and variables, including the type of home you own and when it was built, which city you live in, your credit rating, and past claims history. According to data collected by the NAIC, the average cost of homeowners insurance in Iowa works out to around $946 per year, putting it well below the national average of $1,211 and ranking it as the 36th most expensive state for homeowners insurance. While this may seem like Iowans are getting a pretty good deal on their homeowner's insurance, it's important to give some weight to the other factors insurance companies take into account when calculating your rates — such as where you live. In terms of location, insurance companies consider certain risks associated with a given place, including crime rates, population density, geography, and even distance to the nearest fire department. Overall, homeowners insurance in smaller, remote cities like Humboldt, Moville, and Sigourney tends to be slightly more expensive than in more developed cities like Cedar Rapids, Muscatine, and Davenport. Furthermore, how close you are to an area deemed a sinkhole risk can also play a part in calculating homeowners' insurance rates in Iowa. Regardless, the main factor that affects the price of your homeowner's insurance will always be the type of coverage you need, so there's no need to give too much thought about your location. In the same way, the type of coverage offered by an insurance company should influence your final decision more than the price they're quoting.
| City in Iowa | Monthly Costs | Yearly Costs |
|---|---|---|
| Des Moines, IA | $114.42 | $1,373.00 |
| Cedar Rapids, IA | $103.25 | $1,239.00 |
| Davenport, IA | $101.92 | $1,223.00 |
| Sioux City, IA | $127.50 | $1,530.00 |
| Iowa City, IA | $107.08 | $1,285.00 |
| Waterloo, IA | $112.08 | $1,345.00 |
| Ames, IA | $110.83 | $1,330.00 |
| West Des Moines, IA | $111.58 | $1,339.00 |
| Ankeny, IA | $106.58 | $1,279.00 |
| Council Bluffs, IA | $144.67 | $1,736.00 |
| Dubuque, IA | $103.00 | $1,236.00 |
| Urbandale, IA | $111.25 | $1,335.00 |
| Cedar Falls, IA | $111.08 | $1,333.00 |
| Marion, IA | $102.75 | $1,233.00 |
| Bettendorf, IA | $100.58 | $1,207.00 |
| Mason City, IA | $116.25 | $1,395.00 |
| Marshalltown, IA | $113.50 | $1,362.00 |
| Clinton, IA | $103.67 | $1,244.00 |
| Burlington, IA | $112.25 | $1,347.00 |
| Ottumwa, IA | $111.92 | $1,343.00 |
| Fort Dodge, IA | $124.17 | $1,490.00 |
| Muscatine, IA | $105.42 | $1,265.00 |
| Waukee, IA | $110.83 | $1,330.00 |
| Johnston, IA | $107.67 | $1,292.00 |
| Coralville, IA | $105.25 | $1,263.00 |
Iowa Homeowners Insurance Laws
Iowa law does not require residents to carry homeowners insurance, though most lenders and mortgage companies will require you to take out a homeowners insurance policy for the duration of the mortgage. Nevertheless, considering the harsh and sometimes extreme weather that affects the Hawkeye State every year – on top of the “regular” events, like burglaries, fires, and structural damage, covered by standard homeowners insurance policies – purchasing homeowners insurance in Iowa is still highly recommended regardless of whether your mortgage lender requires it. Speaking of standard homeowners insurance policies, most American homeowners opt for an HO-3 policy covering things like your personal belongings, liability, and the building itself. However, living in Iowa, you’ll need to take a closer look at the specific events covered and might potentially want to look into purchasing additional coverage for specific events to ensure that your home and personal belongings are completely protected. This is especially important if you live in an area with higher annual snowfall or rainfall than other parts of the state. However, the decision of whether to purchase homeowners insurance in Iowa, as well as what type of coverage you opt for, is entirely up to you.
What Does Homeowners Insurance Cover in Iowa
For many Iowans, the price of homeowners insurance is more than made up for by the security and peace of mind knowing that their precious homes and valuables are protected no matter what — but what exactly does homeowners insurance cover in Iowa? As a standard, most barebones homeowners insurance policies in Iowa cover the building itself, personal property, and personal liability. Also known as dwelling coverage, building coverage covers the costs for any repairs or potential rebuilds your home may need after a covered event. It’s worth mentioning that the amount of building coverage offered based on how much your insurer estimates it would cost to completely rebuild your home, which, in turn, affects your premium prices. Personal property coverage covers your belongings if they’re lost or damaged in a covered event, and limits for this are either set by the insurer (usually as a percentage of the building coverage limit) or chosen by the insured. Personal liability coverage protects you should you be held liable for unintentional personal injury or third-party property damage inside your home. Most policies will provide a minimum of $100,000 in personal liability coverage; however, some homeowners tend to choose higher limits as personal liability coverage upgrades are relatively inexpensive.
| Costs of Home Insurance in Iowa by County | Monthly Average Costs | Yearly Average Costs |
|---|---|---|
| Black Hawk County, IA | $111.58 | $1,339.00 |
| Cerro Gordo County, IA | $116.25 | $1,395.00 |
| Clinton County, IA | $103.67 | $1,244.00 |
| Dallas County, IA | $110.83 | $1,330.00 |
| Des Moines County, IA | $112.25 | $1,347.00 |
| Dubuque County, IA | $103.00 | $1,236.00 |
| Johnson County, IA | $106.17 | $1,274.00 |
| Linn County, IA | $103.00 | $1,236.00 |
| Marshall County, IA | $113.50 | $1,362.00 |
| Muscatine County, IA | $105.42 | $1,265.00 |
| Polk County, IA | $110.30 | $1,323.60 |
| Pottawattamie County, IA | $144.67 | $1,736.00 |
| Scott County, IA | $101.25 | $1,215.00 |
| Story County, IA | $110.83 | $1,330.00 |
| Wapello County, IA | $111.92 | $1,343.00 |
| Webster County, IA | $124.17 | $1,490.00 |
| Woodbury County, IA | $127.50 | $1,530.00 |
Top Rated Homeowners Insurance Companies in Iowa Based on Ratings
Now that you have a basic understanding of how much homeowners insurance costs and what it covers, it's time to start thinking about finding the best homeowners insurance company for your needs. To help make things easier for you, we've included a list of the top-rated homeowner's insurance companies in Iowa but bear in mind that what may be right for others may not be the best option for you. Thankfully, there are plenty of resources available to help you along your journey, and a great place to start is the Iowa insurance division website, which lists all the companies offering homeowners insurance in Iowa and offers information such as their license status and whether they have a history of customer complaints. In terms of consumer ratings and statistics, leveraging data provided by reputable organizations like JD Power and the NAIC makes finding the best homeowners insurance companies that much easier. With a JD Power rating of 5 out of 5 and a low NAIC complaint index of 0.15, USAA comes out on top as the best homeowners insurance company in Iowa based on customer ratings. In contrast, Nationwide had one of the worst JD Power ratings and highest NAIC complaint indexes in the state, with a JD Power rating of just 2 out of 5 and an NAIC complaint index of 0.40.
| Iowa Home Insurance Company | JD Power Rating | NAIC Rating |
|---|---|---|
| State Farm Ratings for Homeowners Insurance in Iowa | 4/5 | 0.2 |
| Nationwide Ratings for Homeowners Insurance in Iowa | 2/5 | 0.4 |
| American Family Insurance Ratings for Homeowners Insurance in Iowa | 3/5 | 0.69 |
| Iowa Farm Bureau Ratings for Homeowners Insurance in Iowa | N/A | 0.32 |
| Auto-Owners Insurance Ratings for Homeowners Insurance in Iowa | 4/5 | 0.21 |
| IMT Insurance Ratings for Homeowners Insurance in Iowa | N/A | 0.44 |
| West Bend Ratings for Homeowners Insurance in Iowa | N/A | 0.05 |
| Allstate Ratings for Homeowners Insurance in Iowa | 3/5 | 0.31 |
| Farmers Ratings for Homeowners Insurance in Iowa | 3/5 | 0.46 |
| USAA Ratings for Homeowners Insurance in Iowa | 5/5 | 0.15 |
| Liberty Mutual Ratings for Homeowners Insurance in Iowa | 2/5 | 0.53 |
| Pekin Insurance Co Ratings for Homeowners Insurance in Iowa | N/A | 0.97 |
| Travelers Ratings for Homeowners Insurance in Iowa | 2/5 | 0.3 |
How to Lower Homeowners Insurance in Iowa
It should come as no surprise that Iowa homeowners insurance prices are relative to property prices. With property values rising throughout 2019 and 2020, homeowners insurance companies gradually raised prices to make up for the additional costs and risks they faced. However, opinions on future property trends are mixed, but it’s never a bad idea to look for ways to score a more affordable deal. Discounts are a great way to lower the cost of homeowners insurance, and most insurers offer at least a few common discounts, though you’ll need to make an effort to ask about them and find out whether you’re eligible. Some common homeowners insurance discounts in Iowa include discounts for new home buyers, referral discounts, and multi-policy discounts. After working so hard to afford your house, taking out homeowners insurance is one of the smartest decisions you can make, and many Iowan insurance companies are willing to reward you for this by offering cheaper introductory rates. Moreover, practically every major insurance provider offers more than one type of insurance, so asking any provider you’re currently insured with whether they’re willing to cut a deal or give you a discount on your homeowner's insurance should be one of the first things you do. And don’t forget to ask around! Plenty of insurance companies in Iowa offer referral discounts, so simply asking a friend or relative if the provider they’re insured with offers this type of discount can save you loads in the long run.
Compare Homeowners Insurance in Iowa Before Buying
Perhaps the most crucial, yet often overlooked, part of finding affordable homeowner insurance in Iowa is comparing different insurance companies. Like we’ve already discussed, insurance companies consider an array of factors and variables when calculating insurance rates, and what your friend or neighbor pays will most likely be different from what you wind up paying. Some insurance companies will also take into account any additional facilities or features you’ve installed in your home. For instance, one company might offer you a lower rate than another just because you’ve made the responsible decision to install a home security system. Similarly, one insurance provider may offer more comprehensive coverage for the same price as another provider’s standard coverage plan. Other factors come into play, too, such as the size of a particular insurer, the types of clients they insure, and their overall financial condition, which can give you a better idea of how likely they are to pay out should you need to make a claim. With that being said, there’s simply no better way to ensure that you’re getting the best deal possible on your homeowner's insurance in Iowa than by shopping around and comparing quotes and plans from different insurance providers.