Higher homeowners insurance premiums can be caused by rising home values and Chicago’s vulnerability for extreme weather like heavy snow, strong winds, flash flooding and severe storms.For $250,000 of dwelling coverage, the average cost for Chicago home insurance is $1728 per annum.The comparison is theaverage home insurance premiumThe state of Illinois charges $1,322 annually for the same coverage.
Homeowners coverage is valuable in providing financial protection in the event of a loss. However, home insurance is not required in Chicago. Bankrate’s mission in Chicago is to assist homeowners to navigate the various coverage options and find the best and cheapest homeowners insurance. Using criteria including 2021 rates from Quadrant Information Services, customer ratings and carrier offerings, Bankrate found four companies that deliver the some of the best home insurance in Chicago.
Chicago’s best home insurance companies
Below is a list of the top Chicago homeowners insurance companies. These providers are distinguished by their below-average rates and generous discounts, extensive coverage options, strong financial stability, and high customer satisfaction ratings.
State Farm
State Farm is the largest home insurance company in the country, with 18% of the total market share. State Farm is a popular choice in Chicago for home insurance due to its low rates and availability. A policy that includes $250K of dwelling coverage costs the average Chicago homeowner $994 annually
State Farm also offers discounts that may lower your premium, especially when you bundle with policies. Customers who insure their home and vehicle with State Farm save up to $965 per year. State Farm also has discounts for having a home security system and an impact-resistant roof.
Hastings Mutual
Hastings Mutual is a regional insurance provider that offers basic home insurance coverage. Hastings Mutual also offers coverage for small farms that have up to 10 animals, and/or three structures of the farm type.
Hastings Mutual offers very affordable policies despite the limited coverage options. The average premium is $1,198 per annum. Chicago homeowners who aren’t in need of insurance through Hastings Mutual can still be covered. This means they can get a disappearing deductible, which reduces your deductible by $75 per year. It is up to $750.
American Family
Although American Family’s premiums for home insurance are more costly, Chicago residents have access to great coverage options and discounts. American Family offers all the standard coverages, plus coverage options for matching siding protection, credit theft coverage, equipment breakdown coverage and flood insurance. You can also use the coverage calculator to determine how much coverage is right for you.
American Family offers discounts for bundling policies, enrolling into autopay, paying your premium fully, insuring new homes, renovating homes, and being a loyal client. American Family also has a diminishing deductible program.
USAA
USAA is well-known for its exceptional customer service, affordable rates, quality standards and optional coverages like replacement cost or flood insurance. USAA does not sell homeowners insurance to active-duty and retired military personnel.
USAA’s homeowners insurance coverage is robust. Nearly all policies include identity theft coverage, contents coverage, and military uniform coverage. As endorsements, you can also get earthquake insurance and home-sharing coverage. USAA offers discounts on bundling policies, claims-free coverage, and the installation of a security system for your home.
Chicago Home Insurance Tips
Homeowners insurance in Illinois is not legally required, nor is it a requirement in Chicago. If you have a mortgage, your lender may ask you to purchase coverage before your loan approval.
It is a smart decision to get homeowners insurance in Chicago, even if you don’t have a mortgage. These are other coverage options Chicago homeowners should look into:
- Flood insurance:Many Chicago homes are at risk from flooding because they are located near Lake Michigan. Flood insurance can help protect your home and personal possessions in case of flooding. Flood insurance should be sufficient to protect your home and personal belongings from flooding.
- Scheduled personal property coverage:Although homeowners insurance protects valuable items, the coverage limits are usually very low. You can increase your coverage limit for expensive items, such as jewelry and fine art collections. Your scheduled personal property coverage limits will be determined by the value of the items that you want to protect.
- Identity theft coverage:The Insurance Information Institute was established in 2018.14.4 Million AmericansSeveral were victims of identity theft. Home insurance companies often offer fraud and identity theft coverage. This will cover identity restoration services like credit monitoring. Many insurance companies provide a fixed amount for identity theft coverage. If you have the option to select a limit on your coverage, it is advisable to consider the value of any personal assets.
Chicago home insurance discounts
Many insurance companies in Chicago offer discounts, which can help you get a lower homeowners insurance quote. Look for insurance companies that offer multiple discounts, which you can apply to your policy, if you’re looking for affordable Chicago home insurance. Here are some discounts that can help you get cheap house insurance in Chicago:
- Claims-free discount:A premium discount is usually available to homeowners who have not had any insurance claims in the past few years.
- Multi-policy Discount:Multi-policy discounts are often offered by the same company and can result in significant savings.
- Get a full discount when you pay in fullMany insurance companies will lower your rates if you pay your annual premium in one lump sum.
- Discount on security system:You may be eligible for a discount on homeowners insurance if your home has a security system.
Questions frequently asked
Which is the best company for home insurance?
The best home insurance company is different for everyone. It all depends on where you live and what coverage you need. Amica, USAA, The Hartford, and Allstate are some of the best-rated home insurance companies.
What is the cost of Chicago home insurance?
In Chicago, the average cost of home insurance is $1,728 per year for $250,000 in dwelling coverage. Insurance rates are personal, so factors such as your credit score, claims history and ZIP code will have an impact on your premium.
What amount of Chicago home insurance do you need?
You should have sufficient dwelling insurance to protect your home’s rebuilding value and enough personal property coverage to cover your personal belongings like clothes, furniture, and appliances. Your personal assets such as income, savings, and retirement accounts should determine your liability coverage limit.
