Allstate offers the cheapest homeowners insurance in California, charging rates that average $663 a year. A low price is important, but your insurance company also needs to provide coverage that matches your needs and prompt, convenient service, especially if you have to file a claim. Our guide to the best home insurance companies in California helps you find the right coverage at the cheapest price.
In this article
California’s cheapest home insurance companies
Our analysis of home insurance quotes for a typical single-family home in every California ZIP code shows that Allstate* is the state’s cheapest company.
Allstate’s* homeowners insurance rates average $663 a year statewide. The next-best rates are available from the Auto Club, $791 a year, and USAA, $835 a year.
Auto Club insurance is only available to AAA members in Southern California. USAA is only available to current and former members of the military and their families.
It’s always best to compare quotes from multiple companies when you shop for homeowners insurance.
| Company | Annual rate |
|---|---|
| Allstate* | $663 |
| Auto Club | $791 |
| USAA | $835 |
| Mercury | $870 |
| Nationwide | $880 |
| Pacific Specialty Insurance | $886 |
| Travelers | $958 |
| State average | $972 |
| Farmers | $1,032 |
| State Farm* | $1,040 |
| CSAA | $1,068 |
| Chubb | $1,671 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Get free home insurance quotes from top companies
Which are the best home insurance companies in California?
USAA and Chubb have the best customer service ratings among California home insurance companies. Allstate* is best for saving money.
Best customer service ratings: USAA
884 out of 1,000
$835 yearly
0.36
The NAIC complaint index measures the complaints policyholders file against an insurer with the average complaint index being 1.0.
USAA has the best overall customer satisfaction score among California’s home insurance companies. It also has a low Complaint Index rating from the National Association of Insurance Commissioners (NAIC). USAA also has an AM Best financial strength rating of A++, which is the highest rating a company can get.
USAA is only available to current and former members of the military and their families.
| Company | Overall satisfaction rating |
|---|---|
| USAA | 884 |
| Auto Club | 838 |
| State Farm* | 829 |
| Segment average | 819 |
| Nationwide | 816 |
| Allstate* | 815 |
| Chubb | 809 |
| CSAA | 794 |
| Travelers | 794 |
| Farmers | 792 |
| Mercury | Not rated |
| Pacific Specialty Insurance | Not Rated |
| Source: J.D. Power 2022 U.S. Home Insurance Study | |
Best for high-end homes and customer satisfaction: Chubb
0.13
The NAIC complaint index measures the complaints policyholders file against an insurer with the average complaint index being 1.0.
Among the California homeowners insurance companies in our analysis, Chubb has one of the lowest, or best, Complaint Index rating, 0.13. Like USAA, Chubb has an AM Best financial strength rating of A++, which is the highest rating a company can get.
Chubb's Masterpiece coverage is also a great choice if you have a luxury home. Chubb's Masterpiece policy includes the following for covered losses:
- Extended replacement cost - This coverage will rebuild your home after a total loss, even if the cost exceeds your policy limit, and cover upgrades that are necessary due to modern building codes.
- Cash payout - You can receive a cash payout if your home is a total loss and you don't want to rebuild your home
- Risk consulting - Chubb will send risk consultants who will note of all the things in your home to make sure you are fully protected
Chubb has a high average annual premium of $1,671. This is $699 higher than the state average.
| Company | Complaint rating |
|---|---|
| Chubb | 0.13 |
| USAA | 0.36 |
| Farmers | 0.38 |
| CSAA | 0.33 |
| State Farm* | 0.35 |
| Nationwide | 0.75 |
| Auto Club | - |
| Mercury | - |
| Allstate* | 0.33 |
| Pacific Specialty Insurance | 0.62 |
| Travelers | 0.17 |
| Source: National Association of Insurance Commissioners (2022 data) | |
Best for saving money: Allstate
$663 yearly
32% lower than state average
$972 yearly
With rates that are 32% less than the state average, Allstate is the best choice for saving money on homeowners insurance in California.
You can also save up to 25% on Allstate’s already low rates by bundling your home insurance with an auto policy. Switching to Allstate with no recent home insurance claims can net you an additional 20% off.
Allstate has a low customer satisfaction ranking at 815 out of 1,000 points in J.D. Power’s 2022 home insurance study.
| City | Annual rate |
|---|---|
| Anaheim | $734 |
| Bakersfield | $610 |
| Fresno | $600 |
| Long Beach | $579 |
| Los Angeles | $615 |
| Oakland | $681 |
| Sacramento | $676 |
| San Diego | $675 |
| San Francisco | $657 |
| San Jose | $617 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
How much is home insurance in California?
The average cost of insurance for a typical California home is $972 a year, or $81 a month.
The actual price you pay for home insurance depends on a number of factors about you and your home, including:
- The replacement cost value of your home
- Your home’s location and exposure to risks such as extreme weather and/or crime
- Your home’s construction features
- Your insurance history
- The coverage limits and deductibles you choose
- Any discounts you are eligible to receive
Since insurance companies weigh these factors differently and offer different discounts, you may receive a significantly lower rate from one company than you do with others.
Insurance rates by deductible
In California, increasing a policy’s deductible from $1,000 to $2,000 reduces the annual cost of home insurance by 12% to $854 a year.
| Policy deductible | Annual rate |
|---|---|
| $500 | $1,063 |
| $1,000 | $972 |
| $1,500 | $922 |
| $2,000 | $854 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Insurance rates by dwelling limit
The dwelling limit you need for your home insurance policy also goes a long way toward determining your home insurance rate.
For example, the average price of insurance for a home with a $350,000 dwelling limit is $1,183 a year, or $211 more than it is for a $275,000 home.
| Dwelling limit | Annual rate |
|---|---|
| $200,000 | $785 |
| $275,000 | $972 |
| $350,000 | $1,183 |
| $425,000 | $1,407 |
| $500,000 | $1,640 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Your dwelling limit is the maximum amount of money your insurance company pays to repair or rebuild your home if it is damaged by a covered peril, such as a fire, windstorm or fallen tree.
For mortgages, lenders typically require your dwelling limit to match your home’s replacement cost value. This is the estimated price of rebuilding it from the ground up to its current specifications and quality grade.
You can typically choose a lower dwelling limit if you have a low loan balance or no mortgage at all, although doing so is rarely advisable.
Most insurance companies use software to calculate your home’s replacement cost value, based on your home's specifications and building materials.
California home insurance costs by city
Among California’s largest cities, average home insurance rates range from $813 a month in San Jose to $1,089 in Los Angeles.
| City | Annual rate |
|---|---|
| Anaheim | $983 |
| Bakersfield | $887 |
| Fresno | $952 |
| Long Beach | $871 |
| Los Angeles | $1,089 |
| Oakland | $959 |
| Sacramento | $892 |
| San Diego | $874 |
| San Francisco | $871 |
| San Jose | $813 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
California home insurance rates by county
In California’s largest counties, home insurance rates range from $809 a month in Santa Clara County to $1,123 in San Bernardino County.
| County | Annual average rate |
|---|---|
| Alameda County | $884 |
| Contra Costa County | $863 |
| Fresno County | $980 |
| Los Angeles County | $1,035 |
| Orange County | $1,008 |
| Riverside County | $1,111 |
| Sacramento County | $894 |
| San Bernardino County | $1,123 |
| San Diego County | $986 |
| Santa Clara County | $809 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
See how much you can save on home insurance
Flood and earthquake insurance for California homes
Standard home insurance does not cover damage from floods or earthquakes, but separate insurance is available to protect yourself from these risks.
California flood insurance
Standalone flood insurance is widely available in California through the government-backed National Flood Insurance Program (NFIP), and a few private companies also offer it.
The average cost of NFIP flood insurance in California is $820 a year, or $68 a month.
If you apply for a mortgage for a home in a high-risk flood zone, your lender is likely to require flood insurance in addition to normal home insurance. Flood insurance is also available on an optional basis if you don’t have a mortgage and/or your home is in a low- or moderate-risk area.
If you’re not sure of your home’s flood risk, or the flood risk of a home you want to buy, you can find it online. Just visit the Flood Map Service Center on the Federal Emergency Management Agency (FEMA) website.
NFIP flood insurance policies provide up to $250,000 in building coverage for your home and up to $100,000 in contents coverage for your belongings.
Some private flood insurance companies offer higher limits and/or additional coverages.
For example, Chubb’s flood insurance policies include up to $15 million in combined coverage for your home and possessions as well as loss of use coverage. The latter covers temporary living expenses if flood damage leaves your home uninhabitable during repairs.
You can visit FEMA’s online provider directory to find an agent authorized to provide NFIP flood insurance quotes near you.
Earthquake insurance in California
California has more than 500 active faults, and most homes are within 30 miles of one. Although earthquake insurance is not cheap in California, it can provide valuable financial protection in the event of a moderate to major temblor.
A typical earthquake insurance policy includes coverage for:
- Your dwelling, or home
- Extensions to your dwelling, such as driveways, paved walkways, retaining walls and other structures on your property
- Your personal property, or belongings
- Loss of use, such as temporary living expenses during repairs
- Repairs to comply with building codes enacted after your home was built
Earthquake insurance is typically offered with high deductibles, usually ranging from 5% to 25% of your coverage limits.
If you choose a 20% deductible for a $400,000 home that is completely destroyed by an earthquake, your earthquake insurance provides $320,000 to rebuild.
However, if earthquake damage only requires $80,000 or less in repairs for the same home with the same coverage, you foot the entire bill out of your own pocket.
The nonprofit California Earthquake Authority (CEA) is the state’s leading earthquake insurance provider. Its policies are available through more than 20 participating home insurance companies, including most companies in this analysis.
You can only purchase CEA earthquake insurance if your home insurance company participates in the CEA program.
GeoVera, Palomar and Chubb are among the state’s other leading earthquake insurance providers.
CA home insurance: frequently asked questions
On average, a typical home insurance policy in California costs $972 a year, or $81 a month. The actual price you pay depends on a variety of factors, including your home’s value and location and your coverage needs and insurance history.
State Farm is California’s biggest home insurer, based on its share of total homeowners insurance premiums statewide. Farmers and Allstate are the next-largest home insurance companies in California.
USAA has the highest overall customer satisfaction rating in J.D. Power’s annual U.S. Home Insurance Study. Among the companies in our analysis of California home insurance companies, AAA Southern California’s insurance agency has the next-best score.
Methodology
The rates shown in this article are based on an analysis of more than 300,000 quotes for a standard HO-3 insurance for a typical home in every California ZIP code. Unless otherwise notes, policies include the following coverages, limits and deductibles:
- Dwelling: $275,000
- Other structures: $27,500
- Loss of use: $55,000
- Personal liability: $100,000
- Guest medical payments: $1,000
- Deducible: $1,000
*State Farm and Allstate are currently not accepting new home insurance policies.
Home insurance by city
QuoteWizard.com LLC has made every effort to ensure that the information on this site is correct, but we cannot guarantee that it is free of inaccuracies, errors, or omissions. All content and services provided on or through this site are provided "as is" and "as available" for use. QuoteWizard.com LLC makes no representations or warranties of any kind, express or implied, as to the operation of this site or to the information, content, materials, or products included on this site. You expressly agree that your use of this site is at your sole risk.