Cheapest and Best Homeowners Insurance in California as Rated by Customers in 2021
Your home is likely one of your most valuable assets, so it’s important to find a reputable insurance company to protect it. California homes face many threatening natural disasters that may cause the need to file a homeowners insurance claim. Having one of the best California homeowners insurance companies can put your mind at ease that if something were to happen, it would be taken care of.
To help you be more confident the homeowners insurance company you select, we have reviews and rankings for hundreds of homeowners insurance companies so you can evaluate and compare the best California home insurance companies. In the table above, you can sort through every homeowners insurance company ranked on Clearsurance that sells in California. Next to each insurer you’ll find the company’s rating, which is based exclusively on the reviews and ratings provided by customers. Note: Only those companies with at least 25 homeowners insurance reviews are eligible to appear in the best California homeowners insurance rankings.
If you’re looking for additional information on one of the best homeowners insurance companies in California, you can visit the company’s profile page where you’ll learn about the company, additional coverages and potential discounts offered. You can also read reviews to see what other policyholders have to say about the home insurance company.
On this page:
- Best homeowners insurance rates in California for a $200K dwelling
- Best homeowners insurance rates in California for a $400K dwelling
- California property crime statistics
- California disaster statistics
Who offers the best homeowners insurance rates in California for a $200K home?
Among the six companies analyzed, Mercury offers the cheapest home insurance rates on average for a $200K California home.
In the table below, you can compare the average homeowners insurance rates for the six largest home insurance companies in California.
| Company | Average rates for $200K dwelling |
|---|---|
| Allstate Insurance | $549 |
| Automobile Club of Southern California (ACSC) | $579 |
| CSAA Insurance Group, a AAA Insurer | $645 |
| Farmers Insurance Group | $870 |
| Mercury Insurance Group | $491 |
| State Farm Insurance Company | $692 |
These rates are based on a $200,000 dwelling with the following coverage limits: $100,000 personal property, $20,000 loss of use, $20,000 other structures, $300,000 liability and $5,000 medical. The policy has a $1,000 deductible. The house used for the profile was constructed in 2004 and the individual had a good insurance score. The rates displayed should only be used for comparative purposes as individual rates in California will differ. Rate data is provided by Quadrant Information Services.
Who offers the best homeowners insurance rates in California for a $400K home?
Out of the six largest companies in California, Mercury offers the cheapest home insurance rates on average for a $400K California home.
In the table below, you can compare average homeowners insurance rates for a $400K California home from the six largest California companies.
| Company | Average rates for $400K dwelling |
|---|---|
| Allstate Insurance | $1,016 |
| Automobile Club of Southern California (ACSC) | $1,150 |
| CSAA Insurance Group, a AAA Insurer | $1,139 |
| Farmers Insurance Group | $1,677 |
| Mercury Insurance Group | $824 |
| State Farm Insurance Company | $1,236 |
These rates are based on a $400,000 dwelling with the following coverage limits: $200,000 personal property, $40,000 loss of use, $40,000 other structures, $300,000 liability and $5,000 medical. The policy has a $1,000 deductible. The house used for the profile was constructed in 2004 and the individual had a good insurance score. The rates displayed should only be used for comparative purposes as individual rates in California will differ. Rate data is provided by Quadrant Information Services.
California property crime statistics
Theft and vandalism or malicious mischief are among the 16 perils a standard homeowners insurance policy protects you from. So, how does crime in California compare to other states around the country? The FBI published the following statistics on crime in California for 2016:
- Property crime - 1,002,070
- Burglary - 188,304
- Larceny theft - 637,010
All three statistics for California, when compared to the national average rate per 100,000 inhabitants, rank near the national average. The property crime and burglary rates are slightly above the national average rate while larceny theft is just below.
California disaster statistics
Weather-related incidents are typically among the costliest homeowners insurance claims, and California is no exception with the wildfire risk in the state. FEMA has published statistics for each state since 1953. Data is updated through August 2018. Here’s a look at the California federally declared disasters since 1953:
- Fire - 210
- Flood - 37
- Earthquake - 12
- Severe storm - 12
- Dam/levee break - 3
- Freezing - 3
- Coastal storm - 2
- Hurricane - 1
- Tsunami - 1
California is one of the most earthquake prone states, but earthquake damage isn't covered under a standard home insurance policy. In order to be protected, you'll need to purchase a separate earthquake insurance policy in California.
How are homeowners insurance rates calculated in California
Ever wonder why you pay what you do for home insurance in California? Some things may be obvious, like the age of your home. But other factors that contribute to the price of homeowners insurance may not be as obvious. Here’s a list of some of the things homeowners insurance companies consider when quoting you a rate:
- The level of coverage required
- The size of your mortgage
- The square footage of your home
- The geographic location of your home in California
- The condition of your home
- The age of your home
- The proximity of your home to a fire station
- Your previous claims record
- The amount of your deductible
- Optional add-ons like umbrella insurance
Note that unlike nearly every other state in the country, California doesn’t allow homeowners insurance companies to use your credit score to determine your rates.
Zillow estimates that homeowners can expect to pay approximately $35 each month for every $100,000 of your home's value.
How Clearsurance rates and ranks the best homeowners insurance companies in California
Consistent with its mission towards greater transparency, Clearsurance does not keep its rating and ranking formulas in a black box. Our algorithm analyzes a range of inputs from our independent community of insurance customers, including:
- Price
- Customer Service
- Claim service
- Likelihood to renew
The algorithm also takes into account the percentage of what customers say the company does well vs. the percentage of what customers say the company could do better.
Finally, there is also a confidence factor based upon the number of reviews a company has by product. If the total number of reviews is less than 100, then a confidence deduction is applied to the star rating. The maximum impact of this deduction occurs when there are less than 25 reviews. Companies with 100 or more reviews, aged two years or less, receive 100% weighting (no deduction), while companies with 50 to 99 customer reviews receive a weighting of .95%, 25 to 49 reviews receive a weighting of .90% and companies with less than 25 reviews a weighting of .85%.
The Clearsurance customer ratings and rankings are derived entirely from customer reviews and ratings.
Homeowners insurance guide
Your home is likely your most valuable asset, making it that much more important that you insure your home with one of the best California homeowners insurance companies. But beyond just picking a company, it’s crucial to have the right coverage and to understand that coverage. Did you know that a standard homeowners insurance policy has six types of coverage? And did you know that there are usually 16 types of perils found in a homeowners insurance policy?
At Clearsurance, we want to make sure you have a strong understanding of your homeowners insurance coverage and what it all means. Check out our homeowners insurance guide to become a smarter insurance customer. And for more educational content on other homeowners insurance topics, check out our homeowners insurance blog!