Best homeowners insurance in Indiana for 2024

Compare the best homeowners insurance companies in Indiana

Bankrate analyzed data provided by Quadrant Information Services to determine average rates for the top Indiana home insurance companies. Homeowners in Indiana pay an average of $1,724 for $300,000 of dwelling coverage, which works out to about $144 per month. This is 25 percent less than the national average of $2,304.

To further our analysis, we reviewed financial strength ratings from AM Best and customer satisfaction scores from J.D. Power, then awarded each company a Bankrate Score to reflect our overall findings. Using these criteria, some of the best homeowners insurance companies in Indiana include Auto-Owners, Erie, Nationwide, Encompass and Indiana Farm Bureau.

The top 5 home insurance companies in Indiana

Additional Indiana home insurance companies to consider

Cincinnati Insurance

Westfield

Indiana Farmers Insurance

Cheapest home insurance companies in Indiana

Hoosiers may have seen their home insurance premiums rise several hundred dollars since 2020, and rates are expected to continue to rise. If you’re concerned your insurance premium might become unaffordable, or you’re just looking for the best cheap home insurance, here are insurance carriers known for offering the lowest insurance premiums in Indiana.

How to get cheap Indiana home insurance

Although Indiana's average rates for home insurance are already on the low side, it's likely that you want to find the best possible coverage at the lowest possible rate. Here are a few strategies you can use to help you save money on your Indiana home insurance:

• Shop around: Shopping for insurance can take a little time, but it’s money well spent. By requesting several home insurance quotes in Indiana, you can compare policies to find the coverage you need at a price you can afford. Don’t forget to use the same coverage types and amounts for each quote so they’re easier to compare. 
• Bundle your policies: Many insurers will offer savings on your premium if you purchase more than one insurance product from them. Most frequently, homeowners and auto insurance are bundled. But you could also ask an agent about bundling motorcycle, boat or another type of insurance.
• Work on your credit: Individuals with better credit are likely to be offered better rates by insurers since they have a demonstrated history of paying their bills promptly and fully. 
• Repair your roof: An older or damaged roof may cause a costly claim, so you may earn a lower rate if you replace your roof. Installing one made of storm-resistant materials could even earn you a discount.

Best home insurance discounts in Indiana

Another way to save money on your Indiana homeowners insurance is by taking advantage of discounts. Almost all insurers offer at least a few. Experts recommend contacting your agent at least once a year to ask which discount opportunities you may qualify for. Here are a few that are common in Indiana:

How to save on home insurance policy renewals in Indiana

While homeowners in Indiana are lucky to have lower-than-average insurance rates, finding additional ways to save money is a smart financial move. Here are a few ideas to consider:

• Only submit a claim when necessary: Insurance is a backup plan and should only be used when the cost to repair your home is more than what you can reasonably afford. Frequent claims increase your premium and too many small claims can be a cause for nonrenewal.
• Keep up with home maintenance: Dwellings kept in good condition are less likely to experience damage from small storms and wind gusts. When left to deteriorate, homes may not meet underwriting standards, which can cause a loss in benefits or claims to be denied.
• Mitigate your risks: Be aware of your area's natural hazards and ensure your home is safeguarded. Some safety measures are simple, such as keeping gutters clear and removing dry debris from your yard. More expensive updates, like installing hurricane shutters, may help you earn a discount.
• Inquire about discounts: If your renewal premium is more than what you anticipated, speak with your insurance agent about any discount opportunities that you aren’t taking advantage of yet.
• Shop your policy early: You don’t have to wait until your renewal to shop for a better rate. In fact, many insurance providers offer discounts for early bird shoppers who secure coverage at least 10 days before the policy start date.

How much is home insurance in Indiana?

The average cost of home insurance in Indiana is $1,724 per year, 25 percent less than the national average rate of $2,304 based on $300,000 in dwelling coverage. Indiana home insurance rates are also cheaper than some neighboring states. For example, the average home insurance premium in Kentucky is $3,277, and the average rate in Illinois is $2,272.

Indiana homeowners insurance rates by city

Home insurance rates vary from city to city and from home to home. Aside from variables like square footage and building material, factors such as land elevation, proximity to a fire department and risks of vandalism are different from one town to the next. Your insurance company weighs these risks and prices the policy accordingly. See the map and data table below for more information on how Indiana home rates change depending on location.

*Rates are for $300,000 in dwelling coverage.

What does home insurance cover in Indiana?

Home insurance is written on a standardized form. Which form you choose depends on what coverage you need, and then each insurance provider adds benefits or exclusions to make its policies unique. For example, HO-3 homeowners insurance coverage is the most common type of policy. It is written on an open-peril basis for dwelling and other structures and named perils for personal property. This simply means that your dwelling and other structures have coverage from every kind of peril, except what is specifically excluded and your personal property is only covered for the perils that are listed in the policy documents.

In areas prone to certain types of disasters, insurance providers can exclude perils to mitigate their risk. So, what does this mean for your Indiana home insurance? While most HO-3 policies offer the same coverage, understanding the risks inherent to your home can help you identify coverage gaps. Here are the most common types of damage covered by a standard HO-3 policy in Indiana. Make sure to review your policy paperwork to learn the specifics regarding your policy.

• Fire and lightning
• Windstorms, hail and tornadoes
• Weight of ice or snow
• Damage from vehicles
• Smoke
• Vandalism
• Falling objects

Additional home insurance coverage types in Indiana

Once you learn about common factors that cause damage to homes in your area, you can better tailor your home insurance policy to meet your specific needs. Working with a local insurance agent could be beneficial if you aren’t sure what coverage types are best for your situation.

Coverage options residents of the Hoosier State may want to consider include:

• Flood insurance: Standard homeowners insurance doesn’t cover flood damage, so you may want to purchase a flood insurance policy. Indiana experienced 77 flooding or heavy rain events in 2023 alone. You may be able to buy flood coverage from the federally backed National Flood Insurance Program (NFIP) or from private insurers that underwrite flood policies.
• Earthquake insurance: Earthquakes are excluded from home policies and Indiana is near two major seismic zones. While the most recent earthquake was only a magnitude of 2.3, homeowners may want to consider adding an earthquake endorsement to their policy considering the financial impact damage from earthquakes can cause.
• Sewer backup: Homeowners with basements may find it important to add a water and sewer backup endorsement to their policies. But even if you don’t have a basement, this add-on coverage could help protect your finances if damage is caused by drain-line backups. It also covers sump-pump failures during a power outage.
• Roof replacement cost: If your roof is new enough and in good condition, you might qualify for replacement cost roof coverage. Indiana’s weather hazards — including damaging straight-line winds, hail and tornadoes — may lead to roof damage. This endorsement helps ensure that your payout is enough to replace the damaged portions of your roof, rather than receiving a payout equal to the depreciated value.

Common Indiana home insurance problems

Homeowners in Indiana don’t experience the same types of insurance issues that other states have, like Florida, Louisiana and California. However, there may be some concerns on the horizon that Hoosiers should be aware of. Due to changes in weather patterns and climbing average temperatures, Indiana is already starting to have more precipitation than average. According to the Indiana Climate Change Impacts Assessment, Indiana may see 6 to 8 percent more rainfall per year by 2050.

This increases the risk of flooding in areas that are not currently included in FEMA’s flood zone map. If you are concerned with potential flooding, check your address on First Street Foundation’s Risk Factor model to see what your flood risk is today and several years from now.

Frequently asked questions

Additional profiles:

• Coverage A, Dwelling: $150,000, $350,000, $450,000
• Coverage B, Other Structures: $15,000, $35,000, $45,000
• Coverage C, Personal Property: $75,000, $175,000, $225,000
• Coverage D, Loss of Use: $30,000, $70,000, $90,000
• Coverage E, Liability: $500,000
• Coverage F, Medical Payments: $1,000

Bankrate Scores 

Our Bankrate Score considers variables our insurance editorial team determined impacts policyholders’ experiences with an insurance company. These rating factors include a robust assessment of each company’s product availability, financial strength ratings, online capabilities and customer and claims support accessibility. Each factor was added to a category, and these categories were weighted in a tiered approach to analyze how companies perform in key customer-impacting categories.

Each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. Our scoring model provides a comprehensive view, indicating when companies excel across several key areas and highlighting where they fall short.