Getting a good value on the cost of home insurance is a main concern for many homeowners. Comparison shopping is the best way to find the best rate for the coverage you need. We evaluated average rates for large home insurance companies in Illinois to help you find cheap home insurance.
Cheap Home Insurance in Illinois Cost Comparison
| Home insurance company | Average annual home insurance cost in Illinois |
|---|---|
|
$1,133
|
|
|
$1,160
|
|
|
AAA Auto Club
|
$1,232
|
|
$1,233
|
|
|
$1,268
|
|
|
$1,276
|
|
|
$1,450
|
|
|
$1,495
|
|
|
$1,612
|
|
|
$1,984
|
|
|
Pekin
|
$1,998
|
|
$2,248
|
|
|
$2,913
|
|
|
$4,362
|
You’ll want to compare home insurance quotes from multiple companies when on the hunt for cheap home insurance. Home insurance companies assess risk differently, so the price for the same policy can vary significantly from one insurer to the next. You won’t know how much you can save without comparison shopping.
But don’t ignore what each company has to offer beyond price. The best homeowners insurance company for you will also offer coverages and home insurance discounts that match your homeowner profile.
Illinois Homeowners Insurance Cost Factors
Finding cheap home insurance in Illinois depends on several factors, such as:
- The age of your home
- The fire rating of your home’s location
- The amount it costs to rebuild your home
- The materials used to build your home
- Your home’s claim history
- Your personal claims history
- Your policy’s coverage amount and limits
- Your deductible amount
- Your location
- Your credit
What Does Illinois Homeowners Insurance Cover?
A standard Illinois home insurance policy covers your house for any problem that’s not specifically excluded in the policy. Common exclusions include war, vermin, bird or insect infestations, floods, sinkholes, earthquakes, power failure, wear and tear and intentional damage.
Your personal property is covered for specific “perils” in a standard home insurance policy. That means your belongings are covered if they are stolen or damaged by fires, explosions, tornadoes, vandalism and other issues. See the problems covered by home insurance.
A standard home insurance policy can be separated into these key coverage types:
- Dwelling/structure: This pays to repair or rebuild the house if it’s damaged. It also covers attached structures, like a garage or porch.
- Other structures: This pays to repair or replace structures that are unattached to your home, like a barn, shed or fence.
- Personal property: This pays to repair or replace your belongings after issues like theft, fire or smoke damage. Your personal property includes items like clothing, furniture, jewelry, electronics and kitchen appliances.
- Liability: This pays for injuries or property damage you accidentally do to others. For example, if your large dog knocks down a guest and your guest is injured during the fall, your liability insurance can pay for a settlement. Liability coverage can also cover a court judgment against you and your legal defense costs if you’re sued due to the incident.
- Medical payments to others: This covers minor injury claims made by people not in your household, no matter who was at fault. For example, if a guest slips and falls on your icy deck, medical payments coverage could pay for small medical expenses. Coverage amounts are typically small, such as $1,000.
- Additional living expenses: If you can’t live in your house due to an issue covered by your policy (like a tornado), additional living expenses coverage pays the extra costs you incur. These extra expenses can include a hotel stay, meals and other needed services, like boarding a pet.
Compare Home Insurance Quotes
1
Lemonade
Excellent
Average
2
Erie
Very good
Low
3
Chubb
OK
Very low
What’s Not Covered by Illinois Homeowners Insurance?
Common exclusions found in a standard home insurance policy include problems like floods, earthquakes, mudslides, sinkholes, nuclear hazard, war, power failure, neglect, wear and tear, vermin and insect infestations and intentional damage.
It’s always a wise idea to closely read over your home insurance policy to understand what is excluded from coverage.
Flood Insurance in Illinois
A standard homeowners insurance policy won’t cover damage from floodwaters. With flooding becoming more frequent, you may want to consider flood insurance if your property is at risk.
Financial help from the government after a flood can be restricted. It’s best to have your own flood insurance to rely on. Most people who have flood insurance buy it through the National Flood Insurance Program (NFIP), a federal program. Private flood insurance is also available if you shop around.
FEMA’s Individuals and Households Program (IHP) can provide monetary and direct assistance after a significant disaster or emergency, if you qualify. This program helps people find housing after a problem directly caused by a disaster, and that’s not covered by insurance or other sources.
Earthquake Insurance in Illinois
Earthquakes are not a significant threat to Illinois presently, although the state has hundreds of minor ones annually. Illinois is situated between two active seismic zones, the New Madrid Seismic Zone to the west and Wabash Valley Seismic Zone to the east.
If you want coverage for earthquake damage, you’ll need to buy a separate earthquake insurance policy. A standard home insurance policy doesn’t cover earthquakes.
Earthquake insurance typically covers:
- Dwelling
- Other structures
- Personal property
- Additional living expenses
Earthquake insurance typically has a separate deductible from home insurance, usually between 10% to 25% of the dwelling’s policy limit.
Tips for Buying Homeowners Insurance in Illinois
Whether you’re about to purchase your first house or shopping around to switch insurance companies, you want to find a good price on your policy without sacrificing coverage. Here are recommendations for both newcomers and long-time homeowners:
- Determine your rebuilding costs. Ask your insurance company what the cost would be to rebuild your home with equitable materials, based on labor and material costs in your area. You want your dwelling coverage amount to be equal to the estimate, so this helps you determine how much home insurance you need.
- Consider the benefits of replacement cost versus actual cash value. Replacement cost coverage for your home and belongings gets you the amount needed to replace your home and items with new versions. Actual cash value coverage pays out only a depreciated amount.
- Consider add-on coverage for pricey possessions. If you have high-value items like jewelry, antiques or expensive equipment, consider scheduling personal property to make sure they have enough coverage.
- Evaluate how much liability coverage you need. Look to buy a liability amount that covers assets that you could possibly lose in a lawsuit. At least $300,000 is a good minimum liability amount.
- Discover coverage gaps. Some home insurance companies offer add-on benefits to cover items excluded from the main coverage. For instance, sump pump or sewer backup coverage is usually an add-on.
- Research financial ratings. Check financial strength ratings from companies like A.M. Best or Standard & Poor’s. Some banks may not give you a 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 qualify for. For example, you might get a discount for home security or smart features like a water leak detection system.
- Compare quotes from multiple home insurance companies. The premium for the same coverage can vary significantly among insurance companies. If you don’t shop around, you won’t know if you’re overpaying.
