Best Homeowners Insurance In Hawaii 2024

Getting an affordable home insurance price is the main priority for many homeowners. Comparison shopping is the best way to find a reasonable rate for the coverage you need. We evaluated average rates for large homeowners insurance companies in Hawaii to help you find the cheapest policy for you.

Cheap Home Insurance in Hawaii Cost Comparison

Home insurance company	Average annual home insurance cost in Hawaii
DB Insurance	$223
Universal North America	$268
UPC Insurance	$270
Island Insurance	$369
Allstate	$380
RLI Insurance	$409
First Insurance Co. of Hawaii	$431
State Farm	$574
AIG	$581
Ocean Harbor	$674
Heritage	$1,955

Source: Quadrant Information Services, based on dwelling coverage of $300,000

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Everyone loves a bargain, but don’t choose a home insurance company on price alone. The best home insurance company for you will also provide the coverages and home insurance discounts that fit your particular needs.

Hawaii Homeowners Insurance Cost Factors

Your potential to get cheap home insurance in Hawaii depends on many factors, such as:

• The age of your home.
• The cost to rebuild your home.
• The materials used to build your home.
• The claims history of your house.
• Your personal claims history.
• The fire rating of your house’s location.
• Your location.
• Your credit score.
• Your chosen coverage amount and limits.
• Your chosen deductible amount.

All of those factors will play a part when you’re shopping for coverage. And, home insurance companies may weigh factors differently. That’s why it’s vital to get multiple home insurance quotes.

What Does Hawaii Homeowners Insurance Cover?

A standard home insurance policy (also called an HO-3) covers your home for issues not excluded in the policy. Standard exclusions include earthquakes, sinkholes, mudslides, mudflows, power failure, nuclear hazard, war, wear and tear, vermin and insect infestations.

Your belongings are covered for specific “perils” in your standard homeowners insurance policy. Theft, fires, vandalism, tornadoes and explosions are just some of the problems covered by home insurance.

It’s a good idea to review how home insurance works to protect you so you can best determine how much home insurance you need.

A standard home insurance policy is made up of these main coverage types:

• Dwelling: This pays to repair or rebuild your home if it’s damaged from a covered event. It also protects attached structures, like a porch, deck or garage.
• Other structures: Property that’s not attached to your home, such as a fence, gazebo or shed, are covered under this type of homeowners insurance. It pays to repair or replace unattached structures.
• Personal property: This type of homeowners insurance pays to repair or replace your belongings after an event covered in your policy, such as a fire or theft. Possessions covered include your clothes, jewelry, electronics, appliances, furniture and other such items.
• Liability: This pays for accidental property damage or injuries you do to others. For instance, if your dog gets loose and bites someone walking by your home, your liability insurance normally pays for a settlement or court judgment against you, as well as your legal defense costs.
• Medical payments to others (guest medical): This covers smaller medical claims made by people not in your household, no matter who was at fault. For example, if a deck railing gives away and your guest receives minor injuries from falling, medical payments coverage could pay for their medical expenses. Coverage amounts are on the smaller size, such as $1,000.
• Additional living expenses: If you’re unable to stay at your home due to an issue covered by your policy (such as a fire), additional living expenses coverage pays for extra expenses you incur. These extras may include restaurant meals, hotel stay and other necessary services, like a laundry service.

What’s Not Covered by Homeowners Insurance in Hawaii?

Common exclusions found in a standard home insurance policy include problems like floods, earthquakes, sinkholes, mudslides, mudflows, power failure, war, nuclear hazard, wear and tear and intentional loss.

It’s always wise to closely review your policy to understand what is excluded from your homeowners coverage.

Flood Insurance in Hawaii

Don’t expect your standard homeowners insurance policy to cover flood damage. As flooding becomes more frequent, you may want to consider flood insurance if your Hawaiian property is at risk.

Flooding can be a significant issue for homeowners in Hawaii because the islands are prone to hurricanes and tropical storms. It isn’t always fun in the sun on the Hawaiian islands. Like many areas in the U.S., Hawaii deals with expensive and destructive flooding that isn’t always declared a federal disaster. Here’s a look at the number of recent floods in Hawaii

Monetary help from the government after a flood can be limited. It’s best to have your own flood insurance to rely on for financial benefits. Most people who have flood insurance buy it through the National Flood Insurance Program (NFIP), a federal program. Private flood insurance is also an option.

FEMA’s Individuals and Households Program (IHP) can provide direct and monetary assistance after a major disaster or emergency, if you’re eligible. This program helps people find housing after an issue directly caused by a disaster, and that isn’t covered by insurance or other sources.

Earthquake Insurance in Hawaii

Hawaii, with its active volcanoes, is no stranger to earthquakes. It’s the number three state for earthquakes, with thousands occurring each year. Many tremors are related to volcanic activity and don’t cause major damage. However, Hawaiian homeowners can also experience tectonic and mantle earthquakes, which may cause serious damage.

If you want coverage for earthquake damage for your Hawaiian home, you’ll need to buy a separate earthquake insurance policy. A standard home insurance policy doesn’t cover earthquakes.

Earthquake insurance typically covers:

• Personal property.
• Dwelling.
• Other structures.
• Additional living expenses.

Earthquake insurance may have a separate deductible from your home insurance, usually between 10% to 25% of the dwelling’s policy limit.

Tips for Buying Homeowners Insurance in Hawaii

Whether you’re closing on your first house or looking to switch insurance companies, you want to buy an affordable policy without sacrificing coverage. Here is advice for both newcomers and longtime homeowners:

• Estimate your rebuilding costs. Determine the cost to rebuild your home with equitable materials and labor costs in your area. You want your dwelling coverage amount to be equal to this calculation. Ask a trusted contractor or your insurance company for advice if you need help with the numbers.
• Assess coverage gaps. Many home insurance companies offer add-on benefits, for instance, to help pay for damage from sewer and drain backups.
• Review the benefits of replacement cost versus actual cash value. Consider replacement cost coverage for your home and personal property. Replacement cost provides the amount to replace your items and home with new versions, instead of actual cash value, which gives you a diminished value.
• Look at add-on coverage for your possessions. If you have high-value items like antiques, electronics, jewelry or sports equipment, you might want to consider scheduling personal property. This helps insure your belongings at their full value.
• Evaluate how much liability coverage you need. You want to buy an amount that is at least the value of your assets, which could be taken from you in a lawsuit. We recommend a limit of at least $300,000.
• Research financial ratings. Check financial strength ratings from companies like A.M. Best or Standard & Poor’s. Some banks may not fund your mortgage unless your insurance company has at least an “A” financial strength rating.
• Ask for discounts. Make sure you’re getting all the discounts that you’re eligible for. For example, you may get a discount for home security features or for buying auto insurance and home insurance from the same company.
• Compare quotes from multiple home insurance companies. The price for the same homeowners policy can vary drastically from one insurance provider to the next. If you don’t shop around, you won’t know how much you can save.