The average cost of homeowners insurance in Lakewood is $2,864 per year for a policy with $300,000 in dwelling coverage, according to our latest insurance pricing analysis.
Lakewood and other parts of Colorado are experiencing a home insurance pricing and availability crisis, with many insurers increasing costs or no longer offering coverage in the state due to expensive wildfire claims in recent years. This has made home insurance in Colorado both more expensive and difficult to find in 2023.
To help area residents navigate the tough market conditions and find the coverage they need, we researched several currently available options to find the best and cheapest home insurance companies in Lakewood, CO.
Compare the best cheap homeowners insurance companies in Lakewood
Based on our analysis, State Farm, Farmers, American Family, Nationwide, and Allstate are the best homeowners insurance companies in Lakewood.
To find the best and cheapest homeowners insurance in Lakewood, Policygenius reviewed over a dozen of the largest insurance companies in the state of Colorado and chose the five with the highest overall Policygenius rating.
Our ratings are based on each company's financial strength and customer service ratings, the number and quality of available coverage, and average carrier premiums across Lakewood.
Company | Average monthly cost | Policygenius rating | |
|---|---|---|---|
$230 | 4.8 out of 5 | ||
$352 | 4.5 out of 5 | ||
$197 | 4.5 out of 5 | ||
$316 | 4.5 out of 5 | ||
$200 | 4.4 out of 5 |
Methodology & 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.
2024 Policygenius award winner
State Farm
4.8
Bundle home & auto
Offers extended replacement cost
All 50 states
Why we chose it
State Farm is the best overall home insurance company in Lakewood due to its statewide availability, wide range of policy options for homes of all shapes and sizes, high marks for customer service, and its industry-best financial stability ratings.
Pros and cons
Pros
High customer satisfaction and financial strength ratings
Top-tier coverage add-ons, including extended replacement cost coverage
Offers large discounts when you bundle your home and auto insurance
Cons
20% more complaints filed with the NAIC than other companies of its size
No discounts for first-time homebuyers
More details
Why we chose State Farm
As the largest home insurance provider in Colorado, State Farm is best known for its easy-to-reach and dependable customer service. And this goes for all steps of the the customer journey — from shopping and setting up your policy to making changes to your coverage to filing a claim.
What makes this possible is State Farm's extensive network of local agents who understand the weather risks and overall coverage needs of their community. This is an especially important consideration for Lakewood residents given the worsening wildfires in the area and the increasingly difficult process of getting approved for home insurance.
Plus, while many competitors don't have the financial strength to pay out claims after several natural disasters in the same year, State Farm isn't one of them. It earns the highest rating possible from A.M. Best for financial strength and stability — only six insurance companies out of nearly 70 we reviewed hold this title.
How do State Farm home insurance rates compare to the Lakewood average?
The average cost of State Farm home insurance in Lakewood is $2,764 per year, which is about 3% cheaper than the average annual premium in Lakewood of $2,864.
How to get a quote
Online through State Farm or by contacting your local State Farm agent.
2024 Policygenius award winner
Farmers
4.6
Offers extended replacement cost
Bundle home & auto
Smart home discounts
Why we chose it
In addition to helping you save around 20% by bundling your home and car insurance, Farmers also gives you access to its extensive suite of discounts, policy credits, and incentives for not filing claims that can put even money back in your pocket.
Pros and cons
Pros
Over a dozen available discounts to help lower your bill
Optional extended or guaranteed replacement cost coverage to better protect your home
Declining deductibles features takes $50 off your deductible each year you’re a Farmers customer
Cons
Ranks low with J.D. Power for overall customer satisfaction and digital customer service experience
Average annual premium is among the highest in Colorado
More details
Why we chose Farmers
Farmers home insurance stands out against competitors thanks to its 17 available discounts and policy perks. For context, Farmers competitors offer an average of around seven discounts total.
Along with several discount offerings and affordable rates, Farmers also offers the following two key policy perks:
Declining deductibles: Earn $50 toward your home deductible each year you have a home insurance policy with Farmers.
Claim forgiveness: Once you’ve gone five years without filing a claim, Farmers won’t raise your rate after that if you end up filing one.
Even more, depending on your state of residence, you can save up to 45% on your auto insurance and up to 34% on your home insurance when you bundle policies, according to Farmers.
How do Farmers home insurance rates compare to the Lakewood average?
The average cost of Farmers home insurance in Lakewood is $4,224 per year, which is around 47% more expensive than the average rate for all of Lakewood.
How to get a quote
Online through Policygenius or Farmers, or by contacting a local Farmers agent.
2024 Policygenius award winner
American Family
4.6
Offers extended replacement cost
Offers flood insurance
Bundle home & auto
Why we chose it
American Family home insurance has industry-best coverage options, high customer service ratings, and several discounts to compliment its already affordable rates, making it a great option in the 19 states where it’s available.
Pros and cons
Pros
Lower than average rates
High customer satisfaction and digital shopping satisfaction scores with J.D. Power
Several one-of-its-kind coverage endorsements and policy perks
Cons
Requires you to work with an agent to purchase a policy
More details
Why we chose American Family
When it comes to home insurance coverage quality and affordability, there are few companies in Lakewood in the same league as American Family.
Choose from three comprehensive policy tiers with various levels of protection offered through American Family, or customize a policy to suit your specific coverage needs. With up to 15 additional coverage options — including inland flood, equipment breakdown, and service line coverage — there is no shortage of ways to personalize your home insurance with American Family.
And the best part? American Family won't nickel and dime you for all of that coverage. Its rates are among the most affordable in Lakewood, and it gives you even more ways to save with up to 11 available discounts.
How do American Family home insurance rates compare to the Lakewood average?
The average annual cost of American Family home insurance in Lakewood is $2,369 per year, which is about about 17% cheaper than the overall average in Lakewood.
How to get a quote
Online with American Family or by contacting a local agent
2024 Policygenius award winner
Nationwide
4.6
Bundle home & auto
Mobile app
New homebuyer discount
Offers extended replacement cost
Why we chose it
Nationwide offers an impressive selection of home insurance coverages for both standard and high-net worth Lakewood homes, offering extended and guaranteed home replacement coverages and broad "all-risks" coverage for your home and personal belongings.
Pros and cons
Pros
Up to 14 additional coverage options, such as guaranteed and extended replacement cost, all-risk protection, and better roof replacement coverage
Among the highest-ranked companies for claims satisfaction with J.D. Power
A+ credit rating with AM Best
Cons
Customer satisfaction and digital shopping experience ratings are below the segment average with J.D. Power
Average annual premium is higher than average
More details
Why we chose Nationwide
Nationwide is best known for its robust home and personal property coverage add-ons — something Lakewood homeowners should consider given the recent uptick in wildfires in the region.
Nationwide customers in Lakewood can choose from extended or guaranteed replacement cost coverages to increase their home's structural protection and ensure they have enough dwelling coverage to rebuild after a major wildfire. If your home is damaged or destroyed by a covered event, Nationwide's signature "better roof replacement" coverage will replace your roof with stronger materials than what you had before.
Keep in mind that both of these additional coverages don't come standard with Nationwide — you need to pay extra for them — and with Nationwide's already somewhat high premiums in Lakewood, the thought of paying for even more coverage may give some homeowners pause. But if you're looking for the best in comprehensive wildfire protection and claims satisfaction, Nationwide seems like a no-brainer.
How do Nationwide home insurance rates compare to the Lakewood average?
The average cost of Nationwide home insurance in Lakewood is $3,790 per year, which is around 32% more expensive than the overall average in Lakewood.
How to get a quote
Online through Policygenius or Nationwide
2024 Policygenius award winner
Allstate
4.5
Bundle home & auto
Smart home discounts
Why we chose it
Whether you’re looking for basic or comprehensive home insurance coverage, Allstate is a standout option. Airbnb hosts may find a suitor in Allstate thanks HostAdvantage — its affordable short-term rental coverage that can be easily added to any policy.
Pros and cons
Pros
Offers HostAdvantage — an excellent short-term rental coverage add-on that can be seamlessly added to any policy
Extensive list of discounts and policy features to lower your bill and out-of-pocket costs
A+ credit rating with A.M. Best
Cons
Beginning to pull back coverage in high-risk areas
Customer experience scores with J.D. Power are below the segment average
More details
Why we chose Allstate
If you rent out your property through a short-term rental service like Airbnb and a guest destroys or steals your property, Allstate’s HostAdvantage will pay up to $10,000 per rental host period to replace or repair your property.
And the best part? This coverage can be seamlessly added onto your policy for just a small additional fee. Only around a third of the nearly 70 home insurance companies we reviewed offer any type of home-sharing coverage, making Allstate a great option for Airbnb hosts who also need home insurance of their own.
How do Allstate home insurance rates compare to the Lakewood average?
The average annual cost of an Allstate home insurance policy in Lakewood is $2,395, or around 16% cheaper than the overall average in Lakewood.
How to get a quote
Online through Policygenius or Allstate, or by contacting a local Allstate agent.
How much is homeowners insurance in Lakewood?
The average cost of homeowners insurance in Lakewood is $2,864 per year, or $239 per month, according to our analysis of quoted premiums in every ZIP code in the city.
This makes home insurance in Lakewood around 23% more expensive than the Colorado state average of $2,322 per year, and 63% more expensive than the national annual average of $1,754.
Lakewood home insurance rates by ZIP code
To help you find out how much home insurance costs where you live, we calculated average home insurance rates by ZIP code in Lakewood.
ZIP code | Average annual cost | Difference from state average (%) |
|---|---|---|
80214 | $2,624 | 13% |
80215 | $2,636 | 14% |
80226 | $2,585 | 11% |
80227 | $2,620 | 13% |
80228 | $2,594 | 12% |
80232 | $2,584 | 11% |
Cheapest ZIP codes for home insurance in Lakewood
With an average annual premium of $2,584, the 80232 ZIP code has the cheapest average home insurance rates in Lakewood.
ZIP code | Average annual cost | Difference from state average (%) |
|---|---|---|
80232 | $2,584 | 11% |
80226 | $2,585 | 11% |
80228 | $2,594 | 12% |
Most expensive areas for homeowners insurance in Lakewood
With an average annual premium of $2,636, the 80215 ZIP code has the most expensive average home insurance rates in Lakewood, followed by the 80214 and 80227 ZIP codes.
ZIP code | Average annual cost | Difference from state average (%) |
|---|---|---|
80215 | $2,636 | 14% |
80214 | $2,624 | 13% |
80227 | $2,620 | 13% |
Learn more >> Home insurance rates by ZIP code
Lakewood home insurance costs by coverage amount
One of the most important aspects of your home insurance policy is dwelling coverage, which is the part of your policy that pays to rebuild your home after a covered loss. This amount should equal the rebuild cost of your home — not its market value or sales price.
Knowing how much, or how little, dwelling coverage you need can save you money on home insurance. In Lakewood, a policy with $100,000 in dwelling coverage will cost an annual average of $1,375 per year. That amount goes up to $4,201 if you have a policy with $500,000 in dwelling coverage.
Dwelling coverage limit | Average annual cost |
|---|---|
$100,000 | $1,375 |
$200,000 | $2,058 |
$300,000 | $2,864 |
$400,000 | $3,535 |
$500,000 | $4,201 |
Lakewood home insurance costs by deductible amount
Your homeowners insurance deductible is the amount you’re responsible for paying out on each claim.
The lower your deductible, the higher your rate will be, so consider your likelihood of having to file a claim when you choose a deductible.
As seen in the table below, Lakewood residents can save around $400 on home insurance by choosing a $2,000 deductible over the $500 option.
Deductible | Average yearly cost |
|---|---|
$500 | $3,124 |
$1,000 | $2,864 |
$2,000 | $2,797 |
Cheapest homeowners insurance companies in Lakewood
Based on our analysis, State Auto, Auto-Owners Insurance, Chubb, USAA, and American Family are the five cheapest home insurance companies in Lakewood, with average premiums ranging from $306 to $2,369 per year.
Company | Average annual cost |
|---|---|
$306 | |
$1,296 | |
$2,020 | |
$2,300 | |
$2,369 | |
$2,395 | |
$2,616 | |
$2,705 | |
$2,764 | |
California Casualty | $3,161 |
$3,878 | |
$3,790 | |
$4,224 | |
$4,786 | |
$4,839 |
Cheapest home insurance in Lakewood if you have poor credit
Having poor credit not only makes it more difficult to finance a new home or car, but it can also make insurance for that home or car significantly more expensive. In some cases, you may be turned down by insurance companies if your credit is too low.
With an average annual premium of $2,967, Allstate has the cheapest home insurance rates in Lakewood for a homeowner with poor credit, while Farmers' average of $6,774 per year is the most expensive.
Company | Average annual cost |
|---|---|
Allstate | $2,967 |
USAA | $3,088 |
American Family | $3,909 |
State Farm | $4,752 |
Farmers | $6,774 |
Cheapest homeowners insurance in Lakewood for dog owners
Since dog-related damage and injuries can lead to expensive liability claims, insurance companies may charge more for homes with certain dog breeds that are regarded as dangerous or aggressive.
With an average rate of $2,300 per year, USAA has the cheapest home insurance rates in Lakewood for a home with a dangerous dog breed, while Farmer’s average yearly premium of $4,224 is the most expensive.
Company | Average annual cost |
|---|---|
USAA | $2,300 |
American Family | $2,379 |
Allstate | $2,395 |
State Farm | $2,764 |
Farmers | $4,224 |
How to get homeowners insurance quotes in Lakewood
There are several factors to consider when purchasing home insurance in Lakewood. From the crime rate in your neighborhood to your home’s proximity from brushfire areas, it’s important to have the right amount coverage.
Here are some tips to ensure you buy the policy that’s right for you:
Frequently asked questions
What can I do to improve my low credit score?
If bad credit is driving up your home or car insurance rates, paying your bills on time, lowering your overall debt, and paying off your credit card can help to improve it. Over time, you will see an improvement, but in the meantime, be sure to shop around for a company that doesn’t penalize low credit scores.
Is my shed covered under my dwelling coverage?
Detached structures such as sheds, fences, and separate garages are covered under the other structures coverage of your homeowners insurance. Although keep in mind that your other structures coverage limit is, by default, significantly lower than your dwelling coverage limit. If you have several structures on your property, ask your insurer if they have an option for higher other structures coverage limits.
How can I lower the cost of homeowners insurance?
Many insurers offer discounts that can bring down your home insurance premium. You may be able to save money by bundling your home and auto insurance, signing up for e-billing, or paying your entire premium for the year upfront.
