Looking for a great rate on your home insurance requires comparison shopping to find cheap home insurance with the coverage you need. We assessed average rates for home insurance companies in Maryland to help you find an affordable homeowners policy.
Cheap Home Insurance in Maryland Cost Comparison
| Home insurance company | Average annual home insurance cost in Maryland |
|---|---|
|
Brethren Mutual
|
$822
|
|
State Auto
|
$1,029
|
|
Donegal
|
$1,100
|
|
$1,175
|
|
|
$1,248
|
|
|
$1,258
|
|
|
$1,305
|
|
|
$1,317
|
|
|
$1,505
|
|
|
$1,648
|
The cost of home insurance in Maryland varies significantly between insurers, so it’s wise to compare home insurance quotes with at least three companies to find the best price.
Beyond price, you’ll want to be on the lookout for the best homeowners insurance company for the coverages and services you need.
Maryland Homeowners Insurance Cost Factors
Your potential to get cheap home insurance in Maryland will depend on a multitude of rating factors, including:
- How much it would cost to rebuild your home
- The type of materials your home is made of
- Your home’s fire rating
- The age of your home
- The claims history of your home’s location
- Your personal claims history
- Your policy’s coverage amount and policy limits
- Your deductible amount
What Does Maryland Homeowners Insurance Cover?
The average home insurance policy (designated as an HO-3) covers your house for any problem that’s not excluded in your policy. Common exclusions include war, nuclear hazards, earthquakes, sinkholes, power failure, neglect, wear and tear and vermin and insect infestations.
A standard home insurance policy covers your personal belongings for specific “perils.” Fires, tornadoes, vandalism, theft and explosions are just some of the events covered by home insurance.
A standard home insurance policy contains these main coverage types:
- Dwelling: This type of home insurance pays to repair or rebuild your house structure if it’s damaged. It also covers attached structures, like a deck or garage.
- Other structures: Pays to repair or replace unattached structures, like a fence or shed.
- Personal property: Pays to repair or replace your personal belongings after a problem like theft, fire or smoke damage. Your personal property includes items like your clothes, furniture and appliances, to name a few.
- Liability: Pays for property damage and injuries you or other household members accidentally do to others. For example, suppose your kids spike a volleyball into your neighbor’s front window. In that case, liability insurance can pay for a settlement or court judgment against you, as well as any associated legal defense costs.
- Medical payments to others: This covers smaller medical claims made by guests and others who aren’t members of your household, regardless of fault for the injury. For example, if a friend falls down your deck’s steps, medical payments coverage could pay for their small medical expenses. Coverage amounts are fairly small, such as $1,000.
- Additional living expenses: If you’re unable to stay at home due to a problem covered by your policy (like a fire), additional living expenses coverage pays for extra expenses incurred. This includes items such as a hotel stay, meals out, and other necessary services, like a laundry service.
Compare Home Insurance Quotes
1
State Farm
Very good
Low
2
Erie
Very good
Low
3
Chubb
OK
Very low
What’s Not Covered by Maryland Homeowners Insurance?
Common exclusions found in a standard homeowners policy include earthquakes, floods, sinkholes, power failure, wear and tear, war and intentional loss.
It’s a good idea to look over your policy closely to understand what is excluded from coverage.
Flood Insurance in Maryland
A typical home insurance policy won’t cover flood damage. And with flooding becoming more prevalent, it’s smart to think about obtaining flood insurance if your property is at risk.
Financial assistance from the government after a flood can be restricted. It’s smart to have your own flood insurance to look to. Most people who have flood insurance buy it through the National Flood Insurance Program (NFIP), a federal program. You can also shop around for private flood insurance to see which works best for your situation.
FEMA’s Individuals and Households Program (IHP) can allocate monetary and direct assistance after a major disaster or emergency, if you qualify for it. This program helps people find housing after a problem directly caused by a disaster that insurance or other sources doesn’t cover.
Earthquake Insurance in Maryland
Maryland is not known for earthquakes. According to the Maryland Geological Survey, the state is “part of a seismically quiet zone.” The state agency points out that Marylanders are more likely to feel an earthquake originating from out of state than from within Maryland.
While quakes are unusual in Maryland, you can buy a separate earthquake insurance policy if you’re concerned about your home or belongings receiving damage. A typical home insurance policy doesn’t cover earthquakes.
Earthquake insurance typically covers:
- Dwelling (your house)
- Other structures
- Personal property
- Additional living expenses
Earthquake insurance may have a separate deductible from your home insurance, typically between 10% to 25% of the dwelling coverage limit.
Tips for Buying Homeowners Insurance in Maryland
Whether you’re close to getting the keys to your first home or thinking about switching insurance companies, you want to buy an affordable policy without sacrificing coverage or service. Here are guidelines for both new and longtime homeowners:
- Calculate the cost to rebuild. Ask your insurance company for help determining the cost to rebuild your home based on labor and material costs in your area so you’ll understand how much home insurance you’ll need. Make your dwelling coverage amount at least equal to this estimate.
- Explore the benefits of replacement cost compared to actual cash value. Replacement cost coverage for your home and belongings gets you the amount you need to replace your home and items with new versions after a covered loss. Actual cash value coverage only pays out a depreciated amount.
- Consider add-on coverage for your possession. If you have expensive personal belongings, such as antiques, collections, jewelry or pricey electronics or equipment, you should consider scheduling personal property for added protection.
- Evaluate how much liability coverage you need. You should buy an amount that adequately covers your assets to give you good protection.
- Review policy for coverage gaps. Many homeowners insurance companies offer add-on coverage for issues your standard policy doesn’t cover, for instance, water backup and sump overflow or increased limits for landscaping.
- Research financial ratings. Look up financial strength ratings from entities such as Standard & Poor’s or A.M. Best. Some loaning institutions won’t finance your mortgage unless your home insurance company has at least an “A” financial strength rating.
- Ask for discounts. Double-check you’re receiving all the home insurance discounts you’re eligible for. For example, check that you get a bundling discount if you buy both your home and auto insurance from the same company.
- Comparison shop with multiple insurance companies. Homeowners insurance rates for the same policy can vary substantially among insurance companies. Without shopping around, you won’t know the savings you could possibly find.
Find the Best Homeowners Insurance Companies Of 2024
