10 States With the Sharpest 3-Year Increase in Severe Hail

Hail is among insurers’ growing list of climate concerns after a record-breaking year for severe weather in 2023. The outlier year, fueled by the shift from La Niña to El Niño, marked a 57% year-over-year increase in major hail, according to National Oceanic and Atmospheric Administration (NOAA) data.

Although 2024 had fewer hailstorms, severe hail increased by 21% compared to 2022.

“The U.S. has incurred more than $50 billion annually in severe convective storm losses over the past two years,” said Mark Friedlander, director of corporate communications at the Insurance Information Institute. “These storms typically generate significant levels of hail damage to homes and vehicles.”

Insurers factor hail losses into home and auto insurance pricing along with other factors, like the cost of building materials, vehicle replacement, labor, and legal defense. As more severe hailstorms begin to impact insurer risk, people with car and homeowners policies in affected areas can expect to pay more for their insurance.

To determine where severe hailstorms are increasing the fastest and which states could see rising insurance premiums, Insurify’s data science team analyzed NOAA and FEMA National Risk Index (NRI) data to identify 10 states with the highest three-year rise in major hail events.

Key Takeaways

• Hail risk is increasing nationwide. Half of the 10 states with the highest three-year increase in major hailstorms are in the Midwest, two are in the South, two are in the West, and one is in the Northeast.

• Missouri saw the most significant increase in major hail events in the country, a 182% rise between 2022 and 2024. Average full-coverage car insurance premiums in Missouri increased by 29% in 2024.

• Vehicle hail damage claims are 26% more costly than other comprehensive claims on average, according to CCC Intelligent Solutions.

• Some of the states with the most significant increase in major hailstorms, like Colorado, Kansas, Louisiana, and Texas, also rank among the 10 most expensive states for home insurance, according to Insurify and Quadrant data. Many of these states are also at a higher risk of other severe weather, such as wildfires and hurricanes, further driving up premiums.

• Insurers are switching from covering the replacement cost value of a property — which restores your property to its original condition — to covering actual cash value, which factors in depreciation.

10 states with the most significant rise in severe hail since 2022

Insurify’s data science team analyzed NOAA data from 2022 to 2024 to determine the states with the most significant three-year increases in severe storms — defined as those that produced hailstones of 1 inch or larger — excluding states with 50 or fewer severe hail events in 2024.

Insurify used the FEMA NRI, which provides county-level climate data, to identify the cities with the highest severe hail risk in each state. Insurance rates reflect quotes from Insurify’s database, supplemented by Quadrant data for home insurance rates.

These states had the highest increases in major hailstorms over the past three years.

1. Missouri

• Increase in major hail events between 2022 and 2024: 182%

• Number of severe hailstorms in 2024: 437

• Most at-risk city: St. Louis

Missouri experienced nearly three times as many severe hail events in 2024 as in 2022, according to NOAA data. Damaging hail contributes to rising auto insurance rates. Full-coverage costs in Missouri increased by 29% in 2024, bringing the average annual cost to $2,204.

Insurers pay out more claims in densely populated areas after weather events and raise rates as a result. St. Louis, the second most populous city in Missouri, has the highest hail risk in the state, according to the FEMA NRI.

2. Illinois

• Increase in major hail events between 2022 and 2024: 108%

• Number of severe hailstorms in 2024: 216

• Most at-risk city: Aurora

Major hail events in Illinois have increased by 108% over the past three years, according to NOAA data. Aurora, the state’s second-largest city, has the highest hail risk, increasing insurers’ exposure to hail-related losses.

Hail damage is one of many factors behind rising insurance premiums in Illinois. In 2024, Illinois full-coverage rates increased by 18% to an average of $1,963 per year, and home insurance costs rose by 23% to an annual average of $2,516.

3. Indiana

• Increase in major hail events between 2022 and 2024: 107%

• Number of severe hailstorms in 2024: 91

• Most at-risk city: Muncie

Major hailstorms in Indiana have surged by 107% since 2022, according to NOAA data. During one out of every 10 of those events, hailstones reached a diameter of 2 inches or larger, including a northern Indiana storm that produced softball-sized hail on May 7.

Severe hailstorms contribute to the state’s rising insurance rates. 

Indiana drivers saw a 24% increase in full-coverage costs in 2024, bringing the annual average premium to $1,654. Home insurance rates increased by 15% in the same period to a yearly average of $2,068.

4. Texas

• Increase in major hail events between 2022 and 2024: 93%

• Number of severe hailstorms in 2024: 878

• Most at-risk city: Dallas

Texas is vulnerable to multiple natural catastrophes, including hurricanes, tornadoes, wildfires, and hail. Major hailstorms in Texas increased by 93% over the past three years, according to NOAA data. Dallas, the third-largest city in Texas, has a “very high” risk of hail damage according to the FEMA NRI, increasing insurers’ exposure to losses.

Climate risks have pushed major insurers out of Texas and driven up insurance rates. The state has the fourth-highest homeowners insurance premiums in the U.S., at a yearly average of $4,789 — 85% higher than the nationwide average.

5. Pennsylvania

• Increase in major hail events between 2022 and 2024: 88%

• Number of severe hailstorms in 2024: 81

• Most at-risk city: Reading

Major hail events in Pennsylvania increased by 88% between 2022 and 2024, according to NOAA data. The state saw 81 storms with hailstones measuring at least 1 inch across. Storms producing hailstones of 2 inches or larger increased by 25% over the same period.

Pennsylvania drivers may see the effects of rising hail damage claims in their premiums. Full-coverage rates in the state increased by 38% in 2024 to an annual average of $2,114.

6. Iowa

• Increase in major hail events between 2022 and 2024: 80%

• Number of severe hailstorms in 2024: 258

• Most at-risk city: Iowa City

Major hailstorms in Iowa increased by 80% over the past three years, according to NOAA data, contributing to rising claims costs for insurers.

Home insurers in Iowa have pulled back on coverage in high-risk areas, with some homeowners paying for costly roof replacements to qualify for a policy, the New York Times reported. In 2024, Iowa home insurance rates increased by 21% to an annual average of $2,560.

7. Louisana

• Increase in major hail events between 2022 and 2024: 77%

• Number of severe hailstorms in 2024: 78

• Most at-risk city: New Orleans

Major hail events in Louisiana increased by 77% between 2022 and 2024, contributing to the state’s climate-fueled insurance crisis. Louisiana’s vulnerability to severe weather, from hailstorms to hurricanes, has made it difficult for insurers to operate in the state. The remaining insurers have rapidly raised rates to keep up with losses.

As insurance companies pulled back on covering high-risk areas, Louisiana legislators enacted laws allowing insurers to raise rates without state approval and drop up to 5% of their home insurance policies without reason every year. Home insurance premiums increased by 39% in 2024 to an annual average of $8,372 — the second-highest rate in the U.S.

8. Kansas

• Increase in major hail events between 2022 and 2024: 71%

• Number of severe hailstorms in 2024: 495

• Most at-risk city: Wichita

Kansas experienced 495 major hailstorms in 2024 — a 71% increase from 2022. Wichita, the state’s most populous city, has the highest risk of hail damage, according to the FEMA NRI. Insurers consider this risk exposure when setting rates for both car and home insurance policies.

At an annual average rate of $3,601, home insurance costs in Kansas are 39% higher than the national average of $2,584. Average rates in Wichita are even higher, at $4,161 annually.

9. Colorado

• Increase in major hail events between 2022 and 2024: 65%

• Number of severe hailstorms in 2024: 195

• Most at-risk city: Aurora

Colorado is one of the states most vulnerable to hail, with 195 severe hailstorms in 2024. Climate risks, from hail to wildfires, are a growing problem for Colorado insurers, who raise rates to cover losses or pull back on coverage to stay solvent. The state faces a mounting insurance crisis.

Colorado homeowners pay the fifth-highest home insurance rates in the country, at an annual average of $4,779. Car insurance rates in the state are 21% higher than the national average, at $2,801 annually compared to $2,315.

10. New Mexico

• Increase in major hail events between 2022 and 2024: 63%

• Number of severe hailstorms in 2024: 70

• Most at-risk city: Hobbs

New Mexico experienced a 63% increase in major hailstorms over the past three years. Homeowners in the state pay an annual average of $3,488 for home insurance, or 35% more than the national average.

The effects of severe weather on insurance costs are even more apparent in Hobbs, New Mexico, where home insurance costs an average of $6,378 annually. The risk of damaging hail in Lea County, which includes Hobbs, is 96.5 out of 100, according to the FEMA NRI.

States where 2-inch hail has increased the most since 2022

The NOAA defines severe hail events as storms that produce hailstones of 1 inch or larger — about the size of a quarter. Some states, however, are dealing with increases in larger hailstones.

Considering states with at least 50 severe hail events in 2024, New Hampshire, Missouri, Louisiana, Illinois, and Tennessee saw the greatest rise in 2-inch-or-larger hailstones. Egg-sized hail is more likely to damage roofs, windows, and vehicles, making these states a higher risk for insurers.

High hail repair costs drive insurance rate hikes across the U.S.

Insurers historically factored hail damage into insurance pricing in high-risk states like Texas, Colorado, and Missouri. But insurers are warily eyeing more of the country as climate change contributes to increasingly frequent and severe hail events.

“No areas of the U.S. are immune to hailstorms,” said Friedlander. “The trend shows more severe convective storm losses impacting areas from Tornado Alley to the Atlantic Coast. Even the West Coast has experienced severe convective storm damage over the past two years.”

Full-coverage car insurance covers weather-related damage, and increasing claims contribute to higher rates. Hail damage is 22% more costly to repair than the average comprehensive claim, according to CCC Intelligent Solutions. Hail claims are increasingly common, representing about 12% of all comprehensive claims in 2023, up from 9% in 2020.¹

Hail-related losses have also increased for home insurers as severe convective storms surge across the U.S. Damage is concentrated in a handful of states, according to a CoreLogic report. Texas, Colorado, Illinois, Oklahoma, and Missouri homes accounted for 58% of the properties hit by hail in 2023, with the other 45 states comprising 42% of impacts.²

Insurers in high-risk states are shifting from replacement cost (RC) to actual cash value (ACV) coverage to mitigate roof damage losses. Homeowners with ACV coverage are responsible for the difference between the roof’s depreciated value and the current cost of roof repair or replacement.

The IRS estimates that roofs typically last 27.5 years, depreciating at a rate of 3.6% annually. A new roof costs an average of $9,511, according to the home service site Angi. Based on this data, a homeowner with ACV coverage for a 10-year-old roof that’s destroyed by weather damage would see an insurance payout of about $5,087 after a standard home insurance deductible of $1,000.

Replacement cost provides more financial protection, paying for the cost of restoring a property regardless of depreciation, but minus the deductible.

Insurers will continue to increase the financial responsibility of policyholders — from switching to RC to requiring higher deductibles for wind and hail coverage — as losses from severe weather grow.

Drivers and homeowners can expect premiums to rise in 2025 and beyond, but they may be able to find a better rate by shopping around and comparing policies with multiple insurers.

Methodology

Insurify’s data science team analyzed preliminary NOAA data from 2022 to 2024 to determine the states with the most significant three-year increases in severe hail. The NOAA defines severe hail as events with hailstones of 1 inch or larger. Insurify excluded states with fewer than 50 hail events in 2024 from the ranking.

The data science team used county-level hail risk data from the FEMA National Risk Index (NRI) to identify the highest-risk cities, citing the largest city in each county due to higher exposure.

Insurify collected Quadrant home insurance rates, reflecting average 2024 premiums for an HO-3 policy for homeowners with good credit and no claims in the past five years. The policy covers a single-family frame house with the following coverage limits: $300,000 dwelling, $300,000 liability, $25,000 personal property, $30,000 loss of use, and a $1,000 deductible.

Full-coverage rates reflect 2024 quotes from Insurify’s proprietary database for drivers between ages 20 and 70 with average or better credit and a clean driving record. Premiums correspond to policies with bodily injury limits between state-minimum requirements and $50,000 per person, $100,000 per accident; property damage coverage between $10,000 and $50,000; and comprehensive and collision coverage with deductibles of $1,000. Download more auto insurance data from Insurify’s data center.