Current or retired military service members may have different home insurance needs compared to their civilian neighbors. Active-duty military members need a homeowners insurance policy that will keep them covered during deployment, but they may also need special coverage to protect their personal belongings while in a war zone.
A number of homeowners insurance companies sell coverage exclusively to veterans and active-duty service members and their families. Many other insurers offer discount premiums to veteran and active-duty military members as an appreciation for their service.
Here’s what you need to know about finding the right homeowners insurance for your military family.
The following five home insurance companies offer some of the best policies and prices for veterans and military families.
See the average costs of policies with $300,000 in dwelling coverage and a $1,000 deductible below.
Founded in 1887, Armed Forces Insurance (AFI) aims to cover veterans. AFI customers work with a dedicated insurance agent to create a customized homeowners policy that covers your unique needs. Some of the optional coverages AFI offers include earthquake, flood, water backup and sump overflow, and animal liability coverage.
The insurer also offers a number of insurance discounts and credits. You could save money by installing central station burglar and fire alarms, implementing windstorm-mitigation features, and living in a gated or guarded community.
Standard homeowners insurance policies typically consist of several coverages. Before you buy a new policy, it’s a good idea to understand how each of these coverage options protects your home.
The cost of homeowners insurance can vary a great deal based on location. That’s partially because several factors important to insurance underwriting depend on your location. For example, the crime rates and frequency of accidents in your ZIP code can affect your premium costs, as can the weather in your area.
Find the average annual cost of home insurance for veterans in your state in the table below. Rates shown are for policies with a $1,000 deductible and $300,000 in dwelling coverage.
Homeowners insurance can be more complicated for active-duty and reserve military members deployed overseas. Most policies include an occupancy clause that voids coverage on homes that sit vacant for a specified period of time, such as 30 or 60 days.3 You’ll need to discuss a vacancy permit endorsement with your insurer to make certain your home remains covered during deployment if you live alone.
Deployed service members may also need to request information about any war zone exemptions for their personal property coverage. Homeowners insurance policies will cover your personal possessions wherever you are, but they typically exclude damage or destruction of any property brought into a war zone.
Take the time to find a policy that covers your personal items, even in a war zone. For example, USAA covers uniforms and other personal property for deployed active-duty members, and it waives the deductible if you need to file a claim.
If you get a Veterans Administration (VA) loan, you’ll take out a mortgage with a regular bank or lender, but the federal government will guarantee your loan. This benefits military families by allowing them to access lower-cost loans and even purchase homes without a down payment. But even though VA loans can help you avoid certain costs, your lender will still require you to purchase homeowners insurance.
Home insurance requirements for VA loans don’t differ from conventional home loans for civilian homeowners. But military families buying a home with a VA loan should be aware of any gaps in coverage that may occur because of their military affiliation. It can be helpful to get your homeowners insurance from an insurer specifically tailored to military personnel.
You can use additional strategies to save money on homeowners insurance, including:
Get multiple quotes. Comparison shopping among several insurers is the best way to make certain that you have the lowest available price.
Bundle your coverage. Most insurance companies offer discounts to customers who purchase more than one policy. Consider purchasing your auto insurance, umbrella insurance, personal liability coverage, life insurance, or other needed insurance coverage from the same insurance company as your home insurance policy.
Increase your deductible. An easy way to lower your premium is to raise your deductible — although you’ll need to have enough money in reserve to pay the higher deductible if you have to make a claim.
Ask for discounts. Military discounts are only the beginning. You can also lower your premium costs with discounts for paying in full, enrolling in automatic payments, or being a loyal customer.
Mitigate your risks. Investing in safety equipment in your home can help reduce your risk of loss — and your insurance costs. Installing burglar alarms and fire extinguishers will often get you a discount from your insurer because it means you’re less likely to file a claim.
The following information helps answer some of the most common questions about homeowners insurance for veterans and military service members.
USAA homeowners insurance is available to veterans, military members, pre-commissioned officers, and eligible spouses and children. Civilians unrelated to military members aren’t eligible for USAA membership and insurance.
The average annual cost of USAA home insurance for a policy with $300,000 in dwelling coverage and a $1,000 deductible is $2,041 annually, according to Insurify data.
The insurance industry recommends insuring your home for at least 80% of its replacement cost. Many homeowners choose to insure their homes for more.
The best home insurance for any specific veteran depends on a number of factors, including the value and location of the home. But veterans may want to check out insurance companies that work exclusively with military homeowners in addition to insurers that serve the general public to find the best policy for their specific needs.
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