How much is homeowners insurance in Minnesota?
On average, homeowners insurance costs $244 a month in Minnesota. Quotes can vary widely depending on factors like the type of policy, where your home is located, your credit history, and even your marital status.
How your policy choices affect home insurance rates in Minnesota
Your policy choices affect the rate you pay for home insurance in Minnesota.
Your policy form
Homeowners can choose from standard coverage packages called forms. These policy types differ in how they cover perils, which are potential threats to your home or belongings.
Homeowners often get HO-3 policies, which pay for losses to personal possessions caused by any of 16 specified perils. They also cover the dwelling for all perils that aren’t excluded by the policy.
Other forms include the HO-1, which covers only 10 perils, and HO-2, which is a basic policy covering the 16 perils. HO-8 is a policy for older homes that pays for losses at a reduced rate.
Premiums vary depending on the policy form you choose, as policies that reimburse a wider range of losses are more expensive. Whichever type of insurance you’re considering, make sure you understand which perils a policy covers before buying it.
Your coverage level
It’s no surprise that buying extensive coverage is more expensive than buying a small amount. You’ll pay a higher premium if you choose a higher level of coverage. Look for a coverage level that meets your needs and then look for the most affordable policy.
When you file a claim for property damage that your policy covers, you pay for part of the loss and your insurance company pays the other part. The share that you have to pay is your deductible. The deductible can be either a set amount or a percentage of the value your home is insured for. You typically pay the deductible on each claim you file.
A low deductible means that the insurance company is taking on more risk, while a high deductible means that you accept a greater share of the risk. As such, insurers generally charge lower premiums for policies with higher deductibles.
However, if you do opt for a higher deductible, make sure the amount is something you can afford in case you do need to file a claim.
How location affects home insurance rates in Minnesota
Home insurance rates vary between states. And within a state, home insurance may be more expensive in some ZIP codes than in others.
Insurance premiums are typically higher in areas that are more susceptible to natural disasters or have higher crime rates. It can also cost more to insure homes in older neighborhoods or in upscale areas where homes are made of higher-grade materials that cost more to replace.
Another factor that affects rates is how quickly help can arrive in an emergency. “Up north in Minnesota, it’s a big getaway for ice fishing and cabins,” says Kevin Crews, an insurance agent with COUNTRY Financial in Rochester, Minnesota. “Those cabins are a little bit more secluded. And so the further you are away from the fire department, the more secluded you are, typically the higher the premiums are.”
Below are the average monthly home insurance quotes for five different cities in Minnesota.
|City||Average Monthly Quote|
Table data sourced from real-time quotes from Insurify’s partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer’s unique profile.