This week, LendingOne analysts researched county-level home insurance premium data to determine how premiums vary for homeowners and single-family investors nationwide.
Key Findings: A Surge in Home Insurance Premiums
- Among the largest 500 U.S. counties, more than half (256) saw their median annual home insurance premiums increase by 25% or more from 2020 to 2023.
- Home insurance premiums are highest in coastal Florida counties at-risk for severe climate events
- Home insurance premiums are the lowest in more affordable regions, such as counties in Pennsylvania and Maine, which also have lower risk for climate-related damage
Counties with the Highest Home Insurance Premiums in 2023
Among the 500 largest counties, these five had the highest median annual insurance premiums in 2023.
- Monroe County, FL → $7,608
- New York County, NY → $7,148
- Broward County, FL → $5,575
- Orleans Parish, LA → $5,546
- Miami-Dade County, FL → $5,444
Counties with the Lowest Home Insurance Premiums in 2023
Among the 500 largest counties, these five had the lowest median annual insurance premiums in 2023.
- Penobscot County, ME → $887
- Washington County, ME → $898
- Erie County, PA → $949
- Beaver County, PA → $1,004
- Westmoreland County, PA → $1,015
Median Annual Home Insurance Premium in 2023
The Impact of Climate Risk on Home Insurance Premiums
Home insurance premiums tend to be higher in areas prone to climate-related damage. So, it's unsurprising that insurance premiums remain highest along the Southeast coast, where homes can see significant damage from tropical storms and hurricanes.
However, premiums are also high in central states like Oklahoma, Nebraska, Colorado, and Texas, due to damage caused by wind, thunderstorms, wildfires, and tornados.
Alternatively, rural, more affordable counties with less severe climate risk—mostly across the Midwest and Northeast—see the lowest median annual insurance premiums.
Pandemic Housing Boom and Insurance Costs
But high insurance costs aren’t just due to climate risk. Home prices and construction costs skyrocketed during the Pandemic Housing Boom, and with them, the cost of home repairs and renovations also rose. This prompted insurance companies to raise premiums to keep up with elevated replacement costs.
LendingOne analysts found that 55 of the nation's 3,000 plus counties saw their median insurance premiums more than 100% in three years.
Counties with the Largest Premium Increases (2020-2023)
Among the 500 largest counties, these five counties saw their median annual insurance premiums grow the most from 2020 to 2023:
- Prince William County, VA: +150.1%
- St. Tammany Parish, LA: +117.8%
- Cook County MN: +104.8%
- Oneida County ID: +95.2%
- Calcasieu Parish LA: +90.8%
Change in Median Annual Home Insurance Premium from 2020 to 2023
A lot of the biggest jumps in median annual insurance premiums happened in Florida and Louisiana. Those two states have high hurricane risk, of course.
Big Picture: Home insurance premiums have spiked across much of the country, and in some markets, particularly in Louisiana and Florida, they have cut into single-family landlords' cash flow.