Best cheap homeowners insurance in New York City

New York City’s average homeowners insurance rate is $1,721 per year for a $250K residence. Many NYC residents rent out their houses. However, 33% of the eight million inhabitants own their homes. The median value of these homes is $606,000.

We considered many factors when deciding on the best New York City homeowners insurance. These included customer satisfaction, availability of options, discounts and price. It is possible to get solid coverage from a variety of insurers in NYC, even though it is not cheap.

New York’s best home insurance company

The cheapest home insurance in New York has premium costs that are lower than the average city rate, as determined by 2021 data from Quadrant Information Services. We also examined their J.D. ranking. Power’s 2020 Overall Customer Satisfaction Ranking is based on more than 11,000 homeowner experiences.

State Farm

State Farm has been covering claims since 1922. The company is well-respected for its many accomplishments. J.D. has given it a respectable ranking. It has a respectable ranking from J.D. State Farm offers homeowners three discounts, but it has the lowest average rates among our selected companies. This means that you will likely get solid coverage at a low cost.

All over the country

Nationwide offers a range of coverage options that can protect your home from theft, fire and other losses. Additional coverages available include flood and water backup insurance. These are not included in a basic homeowner policy. The average price of Nationwide policies is reasonable. They offer eight discounts that could save you even more. One is a claim-free discount, while one is available if you live within a community with security guards or residence cards.


MetLife sold its homeowner’s insurance division to Farmers Insurance. However, current and future policyholders still have options for coverage. Both companies are known for their financial stability and low-cost comprehensive coverage. You may be eligible to replace any damaged or destroyed items, depending on which coverage option you select. This is an added benefit.


J.D. Power ranks USAA at the top. The company is ranked first in J.D. Power’s Customer Satisfaction Index. This demonstrates its well-known commitment to meeting the needs of policyholders quickly and efficiently. USAA sells only policies to veterans and members of the U.S. Military, but it is worth considering if you fall within this group. USAA policies provide replacement value coverage as well as special perks for active military personnel, such full coverage for uniforms. You can get discounts for bundling and being claim-free.


Traveler’s average quote to NYC homeowners was higher than any of the five companies we chose, but it was still lower than the average for the area, making it a great financial choice. There are a few discounts offered by the company, including multi-policy and claim-free pricing, as well as a green home discount which saves you 5% if you have a LEED-certified home.

New York Home Insurance Options

New York law does not require homeowners insurance. Your lender might require that you have insurance if you have a mortgage. Although you don’t have to have insurance for your home, it is a good idea to have coverage in order to avoid financial ruin in the event of a natural disaster.

The most basic HO-3 homeowner policy covers your home, personal items, and liability. Once you have paid the deductible, claims will be covered. These policies also include coverage for other structures and loss of use, which can help you pay the costs for a stay at a hotel following a disaster.

These are just a few of the optional coverages that are available.

  • Flood insurance: Basic homeowners insurance does not cover flood damage. You may need to speak to an agent about flood insurance if you live near a river or other source of water in NYC or in a lower-floor apartment in your building.
  • You have valuable items coverage. Your basic policy covers theft and damage up to a certain point. Additional coverage may be required for expensive collections such as jewelry, artwork or electronics.
  • Sump pump discharge and water backup: This is the tricky part. You may be eligible for additional coverage if water backup occurs from your sump pump or drain.

New York Home Insurance Discounts

A homeowner’s best tool is the discount. Nearly all insurance companies offer discounts, and they can have a significant impact on the cost of your coverage. These are just a few examples of discounts that might be available for NYC homeowners.

  • Bundling: If your vehicle is owned, it makes good sense to get your auto insurance from the same company that your homeowners insurance. Nearly every insurer offers a small discount on both premiums, typically around 5%. If you have homeowners insurance, or any other type of policy, you may be eligible for a discount.
  • Home security: A home alarm system and high-quality window and door locks can make your home more secure from theft. They may even earn you a discount.
  • Smoke/fire detectors – A simple smoke detector may be sufficient to get you a discount. However, a sprinkler system (or alarm directly connected to the local fire department) may give you a better deal.
  • Claim-free: The insurer wants to avoid paying claims. You might be eligible for a discount if you can avoid filing a claim within a set number of years (usually three to five).

Questions frequently asked

Which is the best company for home insurance?

There are many companies that offer the best policies, but not all. Every person’s situation and insurance needs are different. To find the lowest rate, you will need to compare the home insurance companies in New York.

What is the cost of New York’s home insurance?

NYC’s average property cost of $250K is $1721 This is more than the New York average of $969. Your premium will likely differ as it is dependent on many factors, including your credit rating and age, and the condition of your home.

What amount of New York home insurance do you need?

You want enough coverage to be able rebuild your home in the event of a natural disaster. An experienced agent will help you determine what this number is and guide you towards the coverage you need.