Allstate is the cheapest home insurance company in California, with rates as low as $874 — $500 cheaper than the state average for $300,000 in dwelling coverage, according to our 2022 insurance pricing analysis.
Cheapest homeowners insurance companies
Based on our analysis, Allstate, Mercury, USAA, Pacific Specialty, and Travelers are the five cheapest home insurance companies in California, with statewide average premiums ranging from $874 to $1,151 per year. (Travelers also made our list of the best home insurance companies in California in 2024.)
Company | Average annual cost |
|---|---|
$874 | |
$934 | |
$1,029 | |
$1,102 | |
$1,151 | |
$1,171 | |
$1,174 | |
$1,192 | |
$1,203 | |
$1,231 | |
$1,445 | |
$1,819 | |
$2,053 | |
$2,480 | |
$3,335 |
Methodology and why you can trust our rates
Policygenius has analyzed home insurance rates provided by Quadrant Information Services in March 2022 for ZIP codes in all 50 states plus Washington, D.C., for a 40-year-old female homeowner with no claim history, good credit, a $1,000 deductible, and the following coverage limits:
Dwelling: $300,000
Other structures: $30,000
Personal property: $150,000
Loss of use: $60,000
Liability: $300,000
Medical: $1,000
All rates based on the above coverage limits except where otherwise noted.
Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.
Learn more >> Our complete guide to home insurance in California
Cheapest home insurance rates with a history of claims
One of the biggest factors that plays a role in your home insurance premium is your claims history. You'll typically pay more for home insurance if you have multiple claims on your record, since insurers perceive you as posing a greater risk of filing more.
Here's the cheapest home insurance companies in California for a homeowner with three claims within a five-year period.
Company | Average annual cost |
|---|---|
Pacific Specialty | $1,102 |
CSAA | $1,192 |
National General | $1,231 |
Allstate | $1,314 |
State Farm | $1,320 |
USAA | $1,558 |
AAA | $1,861 |
Mercury | $2,100 |
AIG | $2,643 |
Farmers | $2,699 |
Nationwide | $2,866 |
Travelers | $3,622 |
Chubb | $4,112 |
The Hartford | $7,036 |
Pure Insurance | $7,981 |
Cheapest home insurance rates if you have a high deductible
Your deductible is the amount you’re responsible for paying toward a covered loss when you file a claim. So if you filed a claim for $5,000 in roof damage and you have a $1,000 deductible, your insurer would reimburse you $4,000 for a new roof.
A higher policy deductible means lower premiums, and vice versa. Just keep in mind that you’ll need to pay more out of pocket in the event your property is damaged or you’re a victim of theft.
Below are the companies with the cheapest home insurance rates in California for policies with a $2,500 deductible.
Company | Average annual cost |
|---|---|
CSAA | $771 |
Travelers | $926 |
Pacific | $950 |
Nationwide | $985 |
National General | $1,081 |
Cheapest home insurance rates if you have an older home
The median age of homes in California is 45 years old, according to an analysis of U.S. census data by House Method. And like everything else, the age of your home plays a role in how much you pay for home insurance in California.
Older and historic homes are usually more expensive to insure than newer homes. This is because insurers consider them a higher risk than newer homes since they can be fragile, their construction materials may be obsolete, and certain structural components like the roof or plumbing may not be in good shape or up to current-day code. Because of this, they'll charge higher premiums to offset the risk.
Here are the cheapest home insurance options in California for a 50-year-old home.
Company | Average annual cost |
|---|---|
Mercury | $826 |
Allstate | $877 |
Pacific Specialty | $1,056 |
Travelers | $1,116 |
Nationwide | $1,134 |
USAA | $1,142 |
CSAA | $1,170 |
National General | $1,208 |
AAA | $1,214 |
State Farm | $1,288 |
Farmers | $1,445 |
AIG | $1,907 |
Chubb | $2,117 |
The Hartford | $2,460 |
Pure Insurance | $4,752 |
How to lower the cost of home insurance
You can lower the cost of homeowners insurance in California by taking advantage of discounts offered through your home insurance company. This might mean bundling your home and auto policies together for discounts off your premiums, or adding security systems to your home.
Another way to lower your homeowners insurance rates is by shopping around for home insurance in California and opting for a higher deductible. Just keep in mind a higher deductible means you’ll have to pay more money out of pocket when you file a claim.
Common home insurance discounts
Many insurance companies offer discounts for bundling home and auto insurance, paying your premium up front, not filing claims, and more. These are just some of the discounts that can add up to big savings on your policy:
Bundling discount
Claims-free discount
Affiliation discount
Protective devices discount
New construction discount
Discounts for wildfire protections
Homeowners in California can take certain precautions to help protect their property from wildfires, like landscaping in ways to get rid of dead, flammable plant debris, keeping plants far enough apart to prevent flames from spreading, and treating highly flammable materials (wood siding, cedar shakes, etc.) with flame retardant chemicals. These measures can help keep your home safe and, depending on which insurance company you choose, taking steps like these may help you earn a discount on your home insurance.
Learn more >> Homeowners insurance discounts
