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Home insurance rates have risen as much as 88% in the last decade, QuoteWizard study finds

SEATTLE, April 22, 2019 /PRNewswire/ -- QuoteWizard®, a LendingTree company, and one of the nation's leading online insurance marketplaces, today released its report that found natural disasters have dramatically increased home insurance rates in every state around the country.

Every year in the United States, natural disasters account for tens of billions of dollars in damages. A significant portion of those damages falls on the shoulders of insurance companies. When insurance companies experience huge loss from natural disaster-related claims, they compensate for that loss with an increase in home insurance rates.

QuoteWizard looked at the National Association of Insurance Commissioners (NAIC'S) 2007 home insurance data and compared it to 2016 for all 50 states to find the home insurance rate increases.

Key Findings:

  • Eleven out of the top 15 states were in the larger Tornado Alley boundaries (Oklahoma, Kansas, Colorado, Nebraska, Arkansas, Louisiana, Minnesota, Kentucky, South Dakota, Mississippi, and Texas).
  • The average home insurance rate hike for those top Tornado Alley states in the last decade was $580. This was an average increase of 67 percent. In 2016, those states pay on average $1509 per year for home insurance.
  • Other than Rhode Island and Connecticut, the Northeastern states sit lower on rate increases, despite receiving heavy rain, hail, and snowstorms. The average rate increases for New Jersey, New York, Maryland, Virginia, West Virginia, Maine, New Hampshire, Delaware, Pennsylvania, Vermont, and D.C. was $274. This was an average 39 percent increase. These states paid an average of $1008 in 2016.
  • Western states have the lowest rate increases in the country. Nevada, California, Alaska, Utah, Oregon, Arizona, Hawaii, Idaho, Washington are all among the least 30 home insurance rate increase states. The average rate hikes for these states was only $167. This equates to an average 30 percent increase. These states paid an average of $821 in 2016.
  • While California has the second lowest rate increases since 2007 (only $75), it already pays some of the highest rates in the country ($1000). Florida pays the most at $1918, but only experienced a $284 spike in the last decade, a 25 percent increase.

Where Home Insurance Rates Have Increased the Most from 2007 to 2016

Rank

State

2007 Premium

2016 Premium

% Increase

$ Increase

1

Oklahoma

$1,054

$1,875

78%

$821

2

Kansas

$904

$1,548

71%

$644

3

Colorado

$826

$1,446

75%

$620

4

Nebraska

$807

$1,402

74%

$595

5

Arkansas

$762

$1,348

77%

$586

6

Louisiana

$1,400

$1,967

41%

$567

7

Missouri

$726

$1,280

76%

$554

8

Rhode Island

$950

$1,496

57%

$546

9

Minnesota

$800

$1,340

68%

$540

10

Connecticut

$929

$1,455

57%

$526

11

Kentucky

$578

$1,085

88%

$507

12

South Dakota

$618

$1,125

82%

$507

13

Mississippi

$1,019

$1,525

50%

$506

14

Texas

$1,448

$1,937

34%

$489

15

Alabama

$905

$1,386

53%

$481

16

South Carolina

$808

$1,285

59%

$477

17

Georgia

$724

$1,200

66%

$476

18

North Dakota

$771

$1,239

61%

$468

19

Wyoming

$656

$1,120

71%

$464

20

Tennessee

$723

$1,185

64%

$462

21

Montana

$700

$1,130

61%

$430

22

Massachusetts

$1,023

$1,451

42%

$428

23

North Carolina

$674

$1,098

63%

$424

24

New Jersey

$776

$1,174

51%

$398

25

Florida

$1,534

$1,918

25%

$384

26

New York

$936

$1,309

40%

$373

27

Indiana

$647

$1,003

55%

$356

28

Illinois

$700

$1,042

49%

$342

29

Iowa

$610

$945

55%

$335

30

Maryland

$692

$1,022

48%

$330

31

New Mexico

$667

$996

49%

$329

32

Washington

$506

$822

62%

$316

33

Ohio

$540

$850

57%

$310

34

Virginia

$683

$966

41%

$283

35

Idaho

$422

$703

67%

$281

36

Wisconsin

$491

$762

55%

$271

37

West Virginia

$646

$917

42%

$271

38

Maine

$596

$866

45%

$270

39

New Hampshire

$699

$965

38%

$266

40

Delaware

$559

$816

46%

$257

41

Pennsylvania

$689

$927

35%

$238

42

Michigan

$721

$952

32%

$231

43

Vermont

$704

$898

28%

$194

44

Hawaii

$850

$1,026

21%

$176

45

Arizona

$634

$803

27%

$169

46

Oregon

$496

$659

33%

$163

47

Utah

$505

$664

31%

$159

48

D.C.

$1,089

$1,225

12%

$136

49

Alaska

$861

$974

13%

$113

50

California

$925

$1,000

8%

$75

51

       Nevada

$695

$742

7%

$47

 

Methodology:

The National Association of Insurance Commissioners (NAIC) releases an annual report on insurance trends and stats. This report includes average home insurance rates for every state. Rate data is based on HO-3 policies, the most common home insurance policy. 

The NAIC recently released their 2016 report, the latest full-year data available. In the table below, we compare annual home insurance rate data from the NAIC's 2007 report with its most recent 2016 report. Rankings are based on states that experienced the largest dollar increase from 2007 to 2016. The table also includes the percentage increase in home insurance rates from 2007 to 2016.

You can find the full story here: https://quotewizard.com/news/posts/home-insurance-rate-increase-by-state

About QuoteWizard
QuoteWizard (quotewizard.com) is an insurance comparison marketplace for consumers looking to save on insurance. QuoteWizard provides consumers with direct access to thousands of qualified agents in all 50 states, as well as major carriers, who offer personalized quotes and the opportunity to save up to 40% on auto, home, health, and life insurance. Agents and carriers, in turn, benefit from millions of highly qualified leads, calls, and traffic to their site. Based in Seattle, QuoteWizard was founded in 2006.

About LendingTree
LendingTree (TREE) is the nation's leading online marketplace that connects consumers with the choices they need to be confident in their financial decisions. LendingTree empowers consumers to shop for financial services the same way they would shop for airline tickets or hotel stays, comparing multiple offers from a nationwide network of over 500 partners in one simple search, and can choose the option that best fits their financial needs. Services include mortgage loans, mortgage refinances, auto loans, personal loans, business loans, student refinances, credit cards and more. Through the My LendingTree platform, consumers receive free credit scores, credit monitoring and recommendations to improve credit health. My LendingTree proactively compares consumers' credit accounts against offers on our network, and notifies consumers when there is an opportunity to save money. In short, LendingTree's purpose is to help simplify financial decisions for life's meaningful moments through choice, education and support. LendingTree, LLC is a subsidiary of LendingTree, Inc. For more information, go to www.lendingtree.com, dial 800-555-TREE, like our Facebook page and/or follow us on Twitter @LendingTree.

MEDIA CONTACTS:
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