The average cost of homeowners insurance in Los Angeles is $2,292 for a policy with a $1,000 deductible and $300,000 in dwelling coverage — slightly lower than the national average of $2,377.
Los Angeles faces increased exposure to various natural disasters, including earthquakes, which standard home insurance policies exclude. Consider a supplemental earthquake policy to increase your protection if you’re in a high-risk zone.
Here’s what you should know about comparing quotes and finding coverage in the City of Angels.
Best home insurance companies in Los Angeles
The best homeowners insurance company for you depends on your individual situation and needs. In Los Angeles, residents have many quality home insurance companies to choose from.
Cheapest rates: Allstate
Best insurer for military personnel: Armed Forces Insurance Exchange
California has the most active-duty military members in the U.S., according to Department of Defense (DOD) data. If you’re active, retired, or former military personnel, an immediate family member of one, or a civilian DOD employee, Armed Forces Insurance Exchanges offers insurance built for your unique needs. In addition to home insurance, the company offers flood, collector vehicle, condo, umbrella, pet insurance, and more.
Best insurer for natural disaster protection: Mercury Insurance
Best insurer for senior homeowners: Pacific Specialty
Cheapest home insurance in Los Angeles
The cheapest home insurance in Los Angeles is Allstate, at $499 per year, or $42 per month, which is 78% cheaper than the average home insurance rate in Los Angeles. Armed Forces Insurance Exchange and Mercury also offer competitive rates below the city’s average premium.
Take a look at the table below for the most affordable insurance companies in Los Angeles and their average annual premiums for policies with $300,000 in dwelling coverage and a $1,000 deductible.
Cost of homeowners insurance in Los Angeles
The average cost of home insurance in Los Angeles is $2,292 per year, or $191 per month, but your rates vary based on various factors, such as the specifics of your policy. This includes your coverage amount, optional coverages, and deductible amount. Having more coverage increases your home insurance premiums.
Risk factors such as your location, the age of your home, your claims history, and your home’s features also influence your policy’s cost. Homeowners with riskier homes to insure generally pay higher rates.
Finally, homeowners insurance costs differ by company, as each calculates premiums differently. Some companies provide lower rates for certain risk factors than others, so it pays to shop the market for the best prices.
Cost of homeowners insurance by dwelling coverage amount
Your dwelling coverage amount is the estimated cost to completely rebuild or repair your home after a covered loss. You’ll pay higher rates if your home’s replacement cost is higher.
You can see California home insurance rates by dwelling coverage amount in the table below. Rates shown are for policies with a $1,000 deductible.
Cost of homeowners insurance by deductible
Your home insurance deductible, the amount you’ll have to pay before your insurer disburses your claim, affects your homeowners insurance cost. A low deductible results in a higher monthly premium, while a high deductible results in the opposite. If you want to lower your monthly payments, consider increasing your deductible. Just be sure to have that amount saved if you need to file a claim for repairs in the future.
You can see how selecting a lower deductible in Los Angeles results in a higher home insurance premium for a policy with $300,000 in dwelling coverage.
How to get cheap homeowners insurance in Los Angeles
Savvy policyholders can get cheap homeowners insurance in Los Angeles by using the following tips:2
Shop around. Comparing quotes helps you find value-packed policies at the lowest cost. Not shopping around could mean your homeowners policy costs more than it needs to. Online comparison tools, like Insurify, can make the process easy by generating real-time quotes based on your needs in minutes.
Seek discounts. Insurance companies reward loyalty and risk-mitigating efforts by offering discounts. Companies catering to a specific demographic, like seniors or military members, may also have discounts for being a member of that community. Ask your insurer about lesser-known discounts to see if you qualify for lower rates.
Install safety features. Home security features, such as theft alarms or smoke detectors, increase your home’s protection and make it less risky to insure. If you already have safety features, notify your insurer to see if you can get a discount. If you don’t, consider installing some to reduce your claims risk and keep your premium low.
Bundle your policies. Insurance companies offer multi-policy discounts to reward customer loyalty. That’s why buying multiple policies with one company can save you money compared to buying them separately. Home and auto policy bundles are common, but insurers may also offer discounts for purchasing different combinations of insurance products, like life, renters, pet, or motorcycle insurance.
California homeowners insurance rates by city
Cities and different ZIP codes within them vary in risk, so your home insurance quote may differ from that of a friend who lives across town.
For example, people in a major urban city like Los Angeles can expect higher home insurance rates than people in a less populated city like Bakersfield. Densely populated areas generally have increased crime rates, boosting instances of theft and vandalism damage.
Additionally, areas near the San Andreas Fault Zone, one of California’s most active fault systems, face a higher risk of property damage due to earthquakes and other natural disasters. Some of California’s most densely populated cities — like Los Angeles, San Diego, and San Francisco — are located near it.3
Similarly, various California cities experience higher wildfire risk than others. Living near a fire station can lower your premiums because it typically means quicker response time from firefighters, reducing property damage. See how home insurance rates compare for some other California cities in the table below.
How much homeowners insurance do you need in Los Angeles?
How much homeowners insurance you need depends on your dwelling, personal property, personal liability, and additional living expense coverage needs. An insurance agent or insurance broker can help determine the amount and types of insurance for your situation.
California law doesn’t require homeowners to carry insurance, but most lenders will if you take out a mortgage on your home. Even if you don’t have a mortgage, carrying insurance is still a smart idea. Before buying your policy, read the fine print to ensure your home insurance policy covers everything you need it to.
What are some of the biggest risks when owning a home in Los Angeles?
Los Angeles homes face many risks, which can raise insurance costs. The most glaring hazards are earthquakes, wildfires, and landslides.