Arkansas Homeowners Insurance Quotes (2023)

Arkansas has low costs of living, low property taxes, and various outdoor activities compared to other states.^[1] But the state experienced some severe weather events in 2022, which can affect how much you pay for homeowners insurance.^[2] So you may want to add flood insurance to your shopping list if you’re looking to buy home insurance in Arkansas.

The average cost of homeowners insurance in Arkansas is $293 per month, according to Insurify data. Travelers provides the cheapest coverage, with an average monthly premium of $177. State Farm and Liberty Mutual offer some of the best coverage options for Arkansas homeowners.

Best home insurance companies in Arkansas

Many quality home insurance companies service homeowners in Arkansas. The insurer that’s best for you depends on your personal situation and needs. Here are the five best options for Arkansas homeowners, based on Insurify research.

Best large insurer: State Farm

State Farm is a nationwide company and the largest homeowner insurer in the U.S. The company provides customizable solutions for homeowners and has an above-average J.D. Power customer satisfaction rating of 829 out of 1,000.^[3]

Your homeowners insurance policy automatically comes with liability coverage, which protects you if someone is injured on your property. You have many options for policy add-ons and can save money by bundling your homeowners insurance with other types of coverage.

Best insurer for cheap rates: Travelers

If you’re trying to save money on homeowners insurance, Travelers may be your best bet. The company charges an average of $177 per month, making it the cheapest option overall.

Travelers started in 1864 and sold its first insurance premium for 2 cents. The company offers various insurance policies, including homeowners insurance. Travelers currently has a J.D. Power ranking of 794 out of 1,000 points.^[3]

A standard policy includes the structure of your home, your personal belongings, and any major structures on your property. The policy will also cover your living expenses if your home is uninhabitable during repairs.

Best for severe storm coverage: Liberty Mutual

Liberty Mutual is another option for homeowners insurance, with an average monthly cost of $202. The company has a J.D. Power score of 805 out of 1,000 points.^[3]

Arkansas residents are susceptible to natural disasters, including severe storms and floods. Liberty Mutual’s home insurance policies come standard with wind and hail damage coverage. If your home has damage after a storm, a Liberty Mutual home insurance policy covers it.

A Liberty Mutual home insurance policy will pay for damages to your home, belongings, and any other structures. And the company will pay for your additional living expenses if your home is uninhabitable.

Best insurer for high-value homes: Chubb 

Chubb is the world’s largest publicly traded property and casualty insurance company, and it operates in 54 different countries and territories. The company received a J.D. Power score of 809 out of 1,000 points.^[3]

Chubb is one of the best insurers for high-value homes. The company offers extended replacement cost coverage, which means your home will be restored to its original value even if the price exceeds your policy limit.

You can get started with a complimentary home appraisal and a risk consultant will evaluate your home. From there, you receive a customized plan to ensure that your policy fully covers your home and possessions.

Best regional insurance company: Hippo

Hippo started in 2015 as part of a new wave of companies combining insurance and technology. The company provides smart home technology and home-care services to reduce the likelihood of accidents.

For example, Hippo provides leak sensors, motion detectors, and smart smoke alarms to help you detect potential problems before they occur. Its homeowners insurance comes with high home office and computer coverage. And Hippo’s home-care experts can help you with routine maintenance and home repairs.

With an average premium of $335 per month, Hippo isn’t the cheapest insurance option. And since the company is relatively new to the insurance industry, Hippo doesn’t have a J.D. Power rating.

Methodology

Insurify’s team of data scientists analyze millions of home insurance quotes, and weigh publicly available reviews, claims payout rates, complaint indexes, financial strength scores, company reputations, and proprietary quoting data. Our editorial team applies this insight to inform our unbiased reviews and recommendations.

How much is homeowners insurance in Arkansas?

Numerous factors can affect your home insurance prices, including your location and the type of home insurance policy you select.

How your policy choices affect home insurance rates in Arkansas

How you build your home insurance policy can influence your premiums. Here’s how different parts of a policy affect your prices.

Your policy form 

The HO-3 special form policy is the most common homeowners insurance policy for a standard home. It provides coverage for the home’s structure and your personal belongings, plus personal liability protection.

This policy form also provides coverage for 16 different perils, including fire or lightning, hail, and smoke.^[4] A peril is any event that results in property damage, and insurance policy forms cover perils differently.

For example, HO-1 policies offer bare-minimum coverage while HO-3 and HO-5 policies cover nearly any peril that isn’t listed as an exclusion. It’s always important to check which perils your home insurance policy covers.

Your policy form can affect how much you pay for your insurance premiums. “The more broad the coverage of the policy, like an HO-5, the more expensive the policy will be,” says Jesse Cunningham, licensed agent and owner of Bauple, an independent insurance brokerage in Maryland. “Having broad coverage also offers more financial protection because you are covered in more circumstances.”

Learn More: What are Perils in Home Insurance?

Your coverage level

Higher coverage levels typically result in higher premiums. A standard homeowners insurance policy covers the home, your personal belongings, and provides liability coverage. Increasing the maximum amounts or adding on additional coverage will result in higher insurance premiums.

Cunningham says lowering your deductible and increasing or broadening your coverage will increase your premiums. He recommends talking to an agent to determine the best coverage based on your location.

Here’s how your coverage amount can affect your monthly premiums.

Your deductible

A deductible is the amount of money you pay toward an insurance claim. If your home is damaged in a fire or weather-related event, you pay your deductible first and then insurance will kick in and pay the rest.^[5]

Choosing a high deductible will help you save money on your insurance premiums since you pay more out of pocket if you file a claim. If you choose a low deductible, your insurance premiums will be higher, but you’ll pay less if you need to file a claim.

Choosing a higher deductible can be a good way to save money on insurance. However, it’s important to think about what you can realistically afford.

How location affects home insurance rates in Arkansas

Different states, and even different ZIP codes within each state, can have different home insurance quotes. For instance, residents that live in areas with a long history of natural disasters can expect to pay more for homeowners insurance.

Arkansas is one of the states that reports the highest home insurance premiums, according to the Center for Insurance Policy and Research.^[6] This is likely due to the state’s history of tornadoes, flooding, high winds, and earthquakes.

The table below shows the average monthly premium for 10 cities in Arkansas.

What are the cheapest home insurance companies in Arkansas? 

Travelers, State Auto, and Liberty Mutual offer the cheapest home insurance in Arkansas, according to Insurify data. The average Arkansas homeowner pays $293 per month for homeowners insurance, and all three companies offer quotes below this average.

Listed below are the seven cheapest insurance carriers in Arkansas and how much you can expect to pay per month with each. But remember that these are just averages, and your specific needs and coverage may vary. 

How much homeowners insurance do you need in Arkansas?

If you take out a mortgage on your home, your lender will generally require homeowners insurance. This protects the lender’s interest if a fire or natural disaster damages your home.^[7]

It’s important to understand exactly what your home insurance policy covers when you buy it. That way, you know your policy covers all your basic needs. Understanding the standard components that go into a homeowners insurance policy will help you as you’re doing your research.

What home insurance coverage should you buy in Arkansas?

Here’s an overview of what a standard home insurance policy in Arkansas covers:

• Structure of the home: Your insurance will pay to repair or rebuild your home if fire, hail, or another peril outlined in your policy damages it. Your policy may also cover other structures on your property, like a detached garage or gazebo.

• Personal belongings: Most of your personal items, like clothes and furniture, will also be included in your insurance coverage. This may include expensive items like jewelry or silverware, but there may be coverage limits, depending on your policy. 

• Liability protection: Your policy should also include liability protection, which means you’ll be protected from lawsuits if someone is injured in your home. It could also include damage caused by pets.

• Additional living expenses: If your home is damaged to the point where you can’t live in it, your insurance company will pay for you to relocate during repairs. Your coverage includes hotel bills, meals, and other expenses.^[4]

Check Out: Home Insurance and Loss of Use Coverage: What You Need to Know

What optional home insurance coverages should you buy in Arkansas?

A standard homeowners insurance policy won’t include everything, and it’s important to know what is and isn’t covered. Here are some add-on policies you may want to consider:

• Flood insurance: Most insurance companies don’t cover flooding, so if you live in a flood zone, you’ll want to purchase additional coverage. You can ask your insurance company about buying a policy or look for a provider that participates in FEMA’s National Flood Insurance Program (NFIP). 

• Earthquake insurance: Earthquakes are another natural disaster that most standard homeowners insurance policies don’t cover. If you live in proximity to an active fault, you may want to purchase an add-on policy.

• Service line insurance: Service line insurance protects your home from a damaged service line on your property. That includes power lines as well as water and sewer pipes. Replacing or repairing service lines on your property is your responsibility, so it’s a good idea to add this coverage to your policy.

• Valuable-item insurance: Your homeowners insurance will cover your personal belongings, but there may be a maximum coverage limit if they’re lost or stolen. So it’s a good idea to insure any jewelry and other valuable items.

How much home insurance coverage should you have in Arkansas?

When choosing a home insurance policy, it’s a good idea to think about the value of your home, its location, and any additional coverage you may need. No single home insurance policy will work for everyone since each home comes with different risks. To determine how much home insurance you need in Arkansas, consider: 

• Your home’s value and age

• Current local building and construction costs

• Additional living expenses if your home is uninhabitable

• Your possessions’ value

• Structures on the property like garages, pools, sheds, and fences

• Frequent weather and natural disasters in your area^[8]

Make sure you receive quotes from at least three different insurers before settling on a policy that fits your needs.

Learn More: Attractive Nuisance: What it Is and Why You Should Care

What are some of the biggest risks of owning a home in Arkansas? 

Here are three common perils Arkansas homeowners need to be aware of:

• Severe weather: Arkansas is prone to severe weather like tornadoes and thunderstorms, which can cause significant damage to your property.

• Flooding: Many parts of Arkansas are prone to flooding, and flood insurance policyholders have received $154 million in claims since 1978. Since most home insurance policies don’t cover flooding, you’ll likely want to buy additional coverage. Just one inch of water in your home can result in more than $25,000 in damage, so the consequences of foregoing flood insurance can be financially devastating. 

• Sinkholes: If you live in northern Arkansas, your property may be at risk of sinkholes.^[9] Sinkholes can form gradually over time or appear suddenly, and even a small sinkhole can cause cracks in the home’s foundation. Standard homeowners insurance won’t cover sinkholes, so you have to purchase it as an add-on policy. 

How can you save money on homeowners insurance in Arkansas? 

If you’re on a tight budget, here are some steps you can take to save money on homeowners insurance in Arkansas. 

Bundle home and auto insurance 

One of the best ways to save is by bundling your homeowners and auto insurance. Most insurance companies give you a discount for purchasing more than one policy. This will not only help you save money, but it’ll make it easier to manage multiple insurance policies.

Increase your deductible 

You can also lower your insurance premiums by choosing a higher deductible.^[10] However, you’ll have to pay this money out of pocket, so it’s important to think about what you can afford if you file a claim.

Use an umbrella policy

If you want to save money but don’t want to reduce your overall coverage, Cunningham recommends using an umbrella policy. He says an umbrella policy is a good way to maximize your coverage while reducing your overall premiums.

Comparison shop

Finally, you should always compare quotes from multiple insurance companies to find the best rates and coverage. You can use an insurance-comparison tool like Insurify to compare multiple policies at once and find the company that’s right for you.

Average home replacement cost value in Arkansas 

The replacement cost value is the cost to reconstruct your home using the same type of building materials. The replacement cost value of your house should influence your home insurance coverage levels.

The following table shows the average home value for five popular cities in Arkansas:

Arkansas homeowners insurance FAQs