Guides · Home insurance
What affects your home insurance rate
Updated November 2026 · All guides
Location
Where the home is matters most. Insurers look at local weather risk (hurricanes, hail, wildfire, flooding), crime rates, distance to a fire station and the cost of labor and materials in the area.
Standard homeowners policies usually do not cover flood damage. Flood coverage is bought separately, through the National Flood Insurance Program or a private insurer.
The house itself
Insurers price the cost to rebuild, not the market value. Factors include:
- Square footage and construction type
- Age and condition of the roof
- Age of electrical, plumbing and heating systems
- Features such as pools or trampolines
Your coverage choices
Dwelling coverage should be high enough to rebuild the home. Personal property, liability and additional living expenses are other parts of the policy. Raising the deductible lowers the premium, but increases what you pay when you file a claim.
Claims history and credit
Past claims on the property or by the owner can raise rates. In most states, insurers may also use a credit-based insurance score. California, Maryland and Massachusetts restrict or ban this practice.
What you can influence
- Updating the roof, wiring or plumbing
- Installing smoke detectors, security systems or storm shutters
- Bundling home and auto with the same insurer
- Reviewing your coverage every year so it matches the real rebuild cost
Next step, if you want one
If you'd like to see what different providers would charge, you can request quotes with one form.