Largest Homeowners Insurance Companies in the U.S.

State Farm is the nation's largest provider of home insurance. In 2020, the company will earn $19.7 billion in homeowners insurance premiums, which is twice as much as the second-largest insurer, Allstate. It is also the country's largest auto insurance company, with $40 billion in premiums.

Top 10 home insurance companies

With $19.7 billion in direct premiums written in 2020, State Farm is the largest provider of homeowners insurance in the United States. This figure is more than double that of the second-largest insurer, Allstate. State Farm is not only the most popular insurer overall; it is also the leading provider of home insurance in 39 states and Washington, D.C.

With nearly $69 billion in revenue, the top ten home insurance companies control 62 percent of the market.

1. State Farm

State Farm is the largest home insurance provider in the United States. The company collected nearly 18 percent of all dollars spent on homeowners insurance premiums in the country, more than double the amount collected by its nearest competitor.

State Farm offers auto, home and property insurance, small business insurance, life, health, disability, and pet medical insurance. In total, the company generated more than $66 billion in revenue in 2020. It also provides banking and investment services.

State Farm offers competitive homeowners insurance rates, with an average annual premium of $1,501 — 20% less than the average in our study.

2. Allstate

Allstate is the second-largest home insurance company in the United States. It was established in 1931 and is now a publicly traded company.

Allstate sold $9.7 billion in homeowners insurance premiums and $39 billion in total insurance premiums in 2020, including auto, renters, motorcycle, business, life, and other products. Its home insurance rates are slightly lower than the national average, at $1,804 per year, and customers can take advantage of a variety of discounts to reduce their rates, including:

• Welcome and loyalty discount
• Home buyer discount
• Automatic payment discount
• Responsible payment discount
• Protective device discount
• Claim free discount
• Early signing discount

3. USAA

USAA, the third most popular home insurance provider, has stringent eligibility requirements. Only those who have served in the military or who have direct family members (parent or spouse) who are USAA members are eligible to buy a policy. However, with 7.3 billion in premiums, USAA still controls 7% of the homeowners insurance market. Across all of its insurance offerings, the company earned $25 billion.

USAA employs over 35,000 people despite having only a few local offices. Vehicle, property, life, health, long-term care, business, pet, travel, and special event insurance are all available from the company. USAA also offers banking services, personal loans, mortgages, and investment opportunities.

The average annual rate for home insurance with USAA is $1,789, which is 6% less than the national average. Its policies include standard homeowners insurance as well as the option to add specialty coverages such as earthquake, flood, and home sharing coverage.

4. Farmers

With 7.2 billion in direct written premiums in 2020, Farmers is the fourth-largest homeowners insurance company in the United States. The company accounts for 6% of the home insurance market.

Farmers offers valuable coverage options to homeowners, such as guaranteed replacement cost, which guarantees that it will pay the full cost to rebuild your home, even if it exceeds your coverage limit. It also provides eco-rebuilt coverage, which pays an additional $25,000 to homeowners who upgrade to green materials after a loss.

These additional coverages, however, come at a higher cost. Farmers' average annual home insurance rate is $2,112, which is 11% higher than the average in our study.

Farmers also offers auto, life, business, umbrella, and rideshare policies in addition to homeowners insurance. In 2020, the company expects to write $24 billion in insurance business.

5. Liberty Mutual

Liberty Mutual is the fifth-largest home insurance company. With $7 billion in revenue, it sold only 2% fewer policies than the fourth-largest insurer. Liberty Mutual employs nearly 37,000 people and expects to write $36 billion in insurance premiums in 2020.

Liberty Mutual's home insurance rates vary greatly depending on where you live and can be quite expensive at times. However, the company offers a variety of discounts to help reduce costs, including:

• Bundle and save
• Protective devices
• New or Renovated home
• New roof
• Newly purchased home
• Early shopper
• Insured to value
• Claims-free
• Military

6. Travelers

Travelers was founded in St. Paul, Minnesota in 1853 and has since grown to become the sixth-largest homeowners insurance company in the United States. In 2020, the publicly traded company earned $4.9 billion in home insurance premiums, a 15% increase over 2019.

Individuals can choose from a variety of property and casualty insurance products from Travelers. In addition to commercial insurance, the company wrote $28 billion in total insurance premiums.

The average annual home insurance rate for travelers is 5% less than the national average of $1,802 per year. However, it is 37% more expensive than Nationwide, the cheapest insurer in our study.

7. American Family

With $4.4 billion in business in 2020, American Family has a 4% share of the homeowners insurance market. The privately-owned company wrote the least insurance business of our top ten home insurance companies, with $11 billion in total insurance sales. It employs slightly more than 10,000 people.

The average annual premium for American Family is $1,812, which is only 5% less than the national average. However, the company offers a variety of unique optional coverages, such as:

• Equipment breakdown coverage: protects appliances, home systems and smart home devices.
• Service line coverage: protects against service line failures, like water main leaks.
• Hidden water damage coverage: protects against leaks you can't see and normal wear and tear, deterioration, corrosion and rust.
• Matching siding insurance: if a portion of your siding is damaged, this replaces up to $20,000 in undamaged siding to match.

8. Nationwide

Nationwide is the eighth-largest provider of home insurance in the United States. The company expects to generate $3.3 billion in revenue in 2020, a 3% increase over 2019. It employs 26,000 people.

Nationwide homeowners insurance policies include the standard coverages you'd expect, such as personal liability, medical payments, and dwelling coverage. It also includes a few more difficult-to-find extras, such as better roof replacement, which rebuilds your roof with stronger, safer materials following a covered loss.

Nationwide has the lowest home insurance rates among the top ten insurance companies. Its average annual premium is $1,227, which is 36% less than the national average.

9. Chubb

Chubb began as a marine underwriting firm in New York City in 1882. Since then, it has grown to become one of the most well-known personal and commercial insurance companies in the United States. Chubb has a 3% market share in home insurance, having written 3.1 billion in business in 2020. That's 64% — or $1.2 billion — more than Progressive, the tenth-largest insurer.

Chubb collected $24 billion in premiums from all insurance lines, including auto, supplemental health, employer-provided benefits, natural disaster, and business insurance.

Chubb homeowners insurance includes several features tailored specifically to high-value homes, such as the option to choose a cash settlement, risk consulting, a home scan to identify potential problems, and electronic data restoration. It also provides liability coverage of up to $100 million.

These are just a few of the enhanced coverage options that come standard with Chubb, which explains why its premiums are higher. Chubb homeowners insurance policies cost an average of $2,030 per year, which is 7% higher than the national average.

10. Progressive

Progressive, the tenth-largest home insurance company, has seen a 15% increase in business in 2020, bringing it to $1.9 billion in direct premiums. However, the company wrote $42 billion in total insurance business, with auto insurance accounting for $34 billion. Progressive is the nation's leading commercial auto insurer.

Progressive's home insurance coverage is basic, with few options for extended coverage. Furthermore, its liability insurance does not include personal injury coverage, which is standard with the majority of major insurers.

Progressive does not offer homeowners insurance. Instead, it relies on the policies of other companies to be underwritten. As a result, rates, coverages, and discounts vary depending on the underwriting company in your area.

Choosing the best home insurance company for you

There are numerous factors to consider when looking for a homeowners insurance company. While major insurance companies are usually well-known for a reason, this does not always imply that the largest company is the best fit for your home.

Home insurance rates and coverages can vary depending on where you live, your insurance history, and the age of your house. Aside from price, you should think about the replacement value of your home and personal belongings, as well as your liability exposure.

We also recommend looking at a company's financial strength and customer satisfaction ratings.

Best-rated home insurance companies

As you might expect, the top ten home insurance companies all received high financial ratings from A.M. Best, which assesses a company's ability to pay claims in difficult financial times. State Farm, Chubb, Travelers, and USAA were all given the highest possible rating — A++ (Superior).

J.D. Power conducts an annual survey in which the most popular home insurance companies are ranked based on overall customer satisfaction. According to their customers, USAA received the highest marks in 2021, and State Farm, American Family, and Allstate were also above average.

Largest home insurance companies by state

Rates and coverage for homeowners insurance can vary greatly by state. State Farm, on the other hand, leads in 39 states and Washington, D.C.

The following are the top insurers in the remaining 11 states:

Frequently asked questions

What is the largest home insurance company?

State Farm is the nation's largest home insurance company. In 2020, the company wrote $19.7 billion in premiums, accounting for 18% of the home insurance market. It is also the largest auto insurance company, with a $40 billion market capitalization.

What is the best insurance company?

The best homeowners insurance company for you is determined by your location, coverage requirements, and preferences. For example, we discovered that Farmers is the best option for high coverage limits, while Allstate is the best option for first-time home buyers.

Methodology

S&P Global, a leading provider of financial data, research, and analytics, provided us with market share, direct written premium, and financial strength information for our list of title insurance companies.

To calculate the average homeowners insurance rates, we gathered quotes from the top insurers in each of the 50 states. The quotes are based on the median home value and year of construction in each state. The rate data for this analysis was provided by Quadrant Information Services. Rates were obtained publicly from insurer filings and are provided solely for comparison purposes. Your quotes may differ from mine.

J.D. Power is a market research company that analyses customer feedback in a variety of industries, including insurance. It conducts annual customer satisfaction surveys across the industry, awarding a score of 1,000 points. In 2021, the average score for home insurers is 823.