Summary: Best Home Insurance for Military Members and Veterans
The Cost of Homeowners Insurance for Veterans
Home insurance costs an average of $1,678 per year for dwelling coverage of $350,000, based on Forbes Advisor’s analysis of homeowners insurance costs. Military members should compare home insurance quotes from several insurers to find the best price.
Cheapest Home Insurance for Veterans and Military Members
Here are rates based on Forbes Advisor’s analysis of the largest home insurers in the country. Military members should get home insurance quotes from USAA and a few other companies to zero in on the best price.
| Home insurance company | Average annual home insurance cost |
|---|---|
| $729 | |
| $1,157 | |
| $1,256 | |
| $1,270 | |
| $1,298 | |
| $1,344 | |
| $1,395 | |
| $1,525 | |
| Average | $1,678 |
*USAA home insurance is open only to members of the military, veterans and their families.
Average Cost of Home Insurance by State
| State | Average annual cost for the state | Cheapest company in the state |
|---|---|---|
| $2,157 | ||
| Alaska | $1,060 | |
| $1,401 | ||
| $3,055 | Farmers | |
| $1,129 | National General | |
| $2,792 | ||
| $1,310 | Century National | |
| $983 | ||
| $2,026 | Security First | |
| $1,790 | Progressive | |
| Hawaii | $380 | Dongbu |
| Idaho | $1,097 | American National |
| $1,610 | ||
| $1,554 | Buckeye | |
| Iowa | $1,817 | |
| Kansas | $2,767 | Auto-Owners |
| $2,034 | Progressive | |
| $3,528 | Centauri | |
| $1,016 | Vermont Mutual | |
| $1,410 | Erie | |
| $1,273 | Norfolk and Dedham | |
| $1,713 | Auto-Owners | |
| $1,992 | Secura | |
| $2,493 | ||
| Missouri | $2,704 | Nationwide |
| Montana | $2,221 | Nationwide |
| Nebraska | $3,957 | Nationwide |
| Nevada | $883 | CSAA |
| $970 | Amica | |
| $968 | United P&C | |
| $1,553 | State Farm | |
| $1,306 | Ocean Harbor Casualty | |
| $1,950 | Nationwide | |
| North Dakota | $2,014 | EMC Insurance |
| $1,166 | Buckeye | |
| $4,025 | American National and State Farm (tie) | |
| $1,017 | Mutual of Enumclaw | |
| $1,082 | Cumberland | |
| $1,534 | State Farm | |
| $1,426 | Bankers | |
| South Dakota | $2,196 | Nationwide |
| $1,952 | American National | |
| $2,226 | Bankers | |
| Utah | $977 | Unigard |
| $895 | Vermont Mutual | |
| Virginia | $1,148 | Progressive |
| $1,163 | Nationwide | |
| West Virginia | $1,125 | Progressive |
| $1,119 | Rockford Mutual | |
| Wyoming | $1,288 | Nationwide |
Source: Quadrant Information Services.
Homeowners Insurance Requirements for VA Loans
The U.S. Department of Veterans Affairs partners with private lenders to offer eligible military members, veterans and surviving spouses home financing through Veterans Affairs (VA) loans.
VA loans are usually attractive financing options for potential homebuyers since there are no down payment, credit score or private mortgage insurance requirements. Plus, VA loans usually have competitive interest rates.
Although the VA doesn’t have some of the requirements of other lenders, they do require all borrowers to purchase enough homeowners insurance to protect the home against risks common to the community. For example, if a property resides in a special flood hazard area (SFHA), the borrower must obtain flood insurance equal to the loan value.
Who Is Eligible for Military-Specific Home Insurance?
Qualifications you might need to be eligible for military-specific home insurance include the following:
- You are an active duty, National Guard, or U.S. Army Reserve member of the U.S. Armed Forces.
- You retired from the U.S. Armed Forces.
- You are separated from the U.S. Armed Forces with an honorable or general under honorable conditions discharge.
- You are a spouse or surviving spouse, an active or retired military member.
- You are a child of an active or retired military member.
How Does Military Deployment Affect Your Homeowners Insurance?
Before you leave on deployment, it’s crucial to understand how your absence will impact your home insurance policy. Whether out of state or across the globe, homeowner insurance policies usually have limitations for when you’re away.
Here are a few things you must consider before you deploy.
What Home Insurance Companies Offer Military Discounts?
Some insurance companies that offer military discounts on home insurance include:
- Farmers
- Geico
- Kemper
- Liberty Mutual
Note that Geico partners with other insurance companies that sell homeowners insurance. When you request a quote, you’ll be matched with another insurance company.
Military-Specific Home Insurance Company Discounts
USAA and Armed Forces Insurance offer competitive rates and are only available to military members. As a result, they do not offer a military discount. They do offer other home insurance discounts that are common among standard insurers.
USAA Homeowner Discounts Include Those For:
- Being claims-free for five years.
- Home and auto bundles.
- Monitored fire or safety systems.
- Water and smoke detection.
USAA also offers discounts on PODS Moving & Storage, ADT Home Security and Angi handyman and cleaning services through its USAA Perks program.
Home insurance discounts and credits from Armed Forces Insurance include those for:
- Building code effectiveness grading.
- Central station burglar and fire alarm.
- Gated or guarded community.
- New home.
- New roof.
- Windstorm mitigation.
Other Ways to Save on Military Home Insurance
Les Masterson
Insurance Editor
Jason Metz
Insurance Lead Editor
Ashlee Valentine
Insurance Editor
Comparison Shop
One of the most effective ways to trim home insurance costs is to shop around. I recommend comparison shopping with at least three different companies because the price for a policy can vary significantly by insurance company. Request quotes for the same coverage levels from each insurer so that you’re comparing apples to apples.
Insurance Editor
Ask if Raising Your Deductible Will Lower Your Rates
You can save money on your home insurance by raising your deductible. The deductible is the amount deducted from an insurance claim check. By lowering a potential claim payout, we’ve found that you can get cheaper home insurance. Ask your home insurance agent or company how much you will save if you increase your deductible.
Insurance Lead Editor
Ask About Other Discounts
In addition to military discounts, I always suggest that homeowners see if they qualify for other home insurance discounts related to a home’s features and policy details. An insurance agent can help you review your policy to see what savings opportunities are available to you. Common homeowner discounts include: claims-free, loyalty, multi-home, multi-policy (also known as bundling), new or renovated home and protective and safety devices.
Insurance Editor
Methodology
To find the best home insurance for veterans and military members, we scored companies based on these factors:
- Home insurance rates (50% of score): Based on average rates for each insurance company for homes with dwelling coverage of $200,000, $350,000, $500,000 and $750,000. Source: Quadrant Information Services.
- Complaints (20% of score): Based on complaints about home insurance that were upheld by state insurance departments. Source: National Association of Insurance Commissioners.
- Availability of extended and/or guaranteed replacement cost coverage (20% of score): Extra dwelling coverage is valuable in the event of large disasters when construction materials and labor costs tend to spike. We gave points to companies that offer either extended or guaranteed replacement cost coverage. Source: Forbes Advisor research.
- Banned dog lists (10% of score): Banned dog breed lists can make homeowners ineligible for coverage. (A company’s banned dog list might not be applicable in all states.) While any homeowners insurance company could potentially ban any dog with a biting history, not all put a ban on specific breeds. Source: Forbes Advisor research
Looking for Homeowners Insurance?
Homeowners Insurance for Veterans and Military Members Frequently Asked Questions
Does the VA pay for homeowners insurance?
No. While homeowners insurance is required for buying a home with a VA loan, the VA doesn’t supplement the coverage cost. Instead, VA borrowers are usually responsible for the cost. However, sellers sometimes purchase a full year of coverage as part of buyer concessions.
VA lenders usually require borrowers to secure sufficient homeowners insurance before closing. And, if the property is in a special flood hazard zone (SFHA), the borrower must also purchase flood insurance.
Is USAA home insurance only available to veterans?
No, USAA home insurance is also available for current U.S. military members, pre-commissioned officers and eligible family members such as spouses or children. In addition, widows, widowers and unmarried ex-spouses of the military can qualify for USAA home insurance.
How much home insurance do I need?
When determining how much home insurance coverage you need, go through each coverage type in a standard policy, adjust each one if needed and then consider extra coverage to fill any gaps.
Purchase enough homeowners insurance to cover the cost of:
• Rebuilding the structure of your home at comparable quality at current labor and material costs.
• Replacing your possessions.
• Offsetting the cost of living somewhere else if your home is inhabitable for some time.
• Protecting your assets (i.e., investments and savings) if someone sues you.
