.svg){kind=icon}
Living in the Land of Famous Potatoes has many benefits, but if you're a real estate investor, you may wonder how to protect your investment. Landlords and property managers have to deal with the potential risks of renting to others, and Idaho has some pretty unique situations.
Overall, you wish to protect your investment, and homeowners insurance in Idaho is the best solution. In most cases, you'll need it if you have a mortgage loan.
There are tons of options, so it's hard to know which is the best homeowners insurance. You're focused on reasonable insurance premiums and adequate coverage, which is why this guide was created.
You'll learn key tips for selecting the best homeowners insurance and which companies offer excellent coverage. Likewise, you can quickly refer to this guide when requesting quotes for home insurance in Idaho.
Understanding Idaho Homeowners Insurance
It's important to know what homeowners insurance is and why a property manager or landlord might require it. This coverage is your safety net against whatever you can't expect or predict.
Average Home Insurance Rates and Costs in Idaho
Each insurer has a specific formula to determine home insurance premiums, and Idaho tends to rank lower across the board. The average cost in the US is about $1,428 for dwelling coverage, but Idaho sits at $905.
Here are a few factors that might change the amount you'll pay for Idaho homeowners insurance:
- Discounts - If you qualify for discounts, you'll often see a lower premium.
- Deductible - A lower deductible means paying less out of pocket, but you'll have much higher premiums.
- Coverage Limits - With higher coverage limits, you'll see higher premiums.
- Construction Type - The materials used to build the house might affect what you pay.
- Age of the Home - Older homes could have expensive-to-replace features. Likewise, older systems might be unsafe, such as the plumbing or wiring.
- Location - Things like how close the house is to the fire hydrant can raise or lower your premiums.
Homeowners Insurance vs. Landlord Insurance
There are differences between landlord and homeowners insurance, and you should understand them both.
Landlord insurance offers specialized coverage for landlords. Typically, it will encompass the structures and property and help with the loss of rental income. You might also have more liability coverage to protect you from tenant accidents.
Alternatively, homeowners insurance focuses on your personal property and the home's structure. This is great for most people, but it might not be comprehensive when you're renting houses.
Choosing the right type of insurance will protect you against the risks you face as a landlord or property manager. Likewise, you'll have to talk to your insurance agent and understand the specific conditions of your policy to avoid problems later.
Here are some scenarios where you might want homeowners insurance as a landlord:
Home Sharing
Some companies offer "home sharing" policies. This means you rent out a bedroom or a certain portion of the primary residence. Overall, this type of home insurance coverage varies, so you should talk to the insurer to make sure it covers everything.
Many times, there's not enough liability coverage for accidents involving tenants and guests. Therefore, you may need an endorsement, rider policy, or a standalone product to deal with this.
Vacant Property
When you own a vacant property that you generally rent out to others, homeowners insurance could be beneficial. It protects everything while no one lives there. However, you should let the provider know you have a vacancy and that things will change once it's rented.
Transition Period
You might have purchased the property to live in and then decided to rent it out. During this transitional period, you can get home insurance to protect your investment.
Temporary Absence
Many people live in their properties and rent them out when they're gone for work or travel. As long as you plan to return, you can get homeowners insurance to protect your investment. However, landlord insurance might be wise if you wish to rent the property for a longer term.
How to Choose the Cheapest Homeowners Insurance Company in Idaho
It's time to determine how to find the best cheap home insurance possible. When you search for something, you must know what you plan to insure. For example, you might have a pool, be in a flood-prone zone, or have valuable items.
Once you've determined the coverages you need and want, you should figure out how much you require. It might be wise to choose an insurer offering replacement cost policies instead of cash value policies. This will protect you from depreciation.
Typically, a homeowners insurance policy will give you coverage for:
- Personal Belongings - This will cover the cost of your furniture, electronics, clothing, and more.
- Structure - This covers rebuilding and repairing costs if the home is damaged.
- Medical - This covers some medical bills when a person is injured on the property.
- Liability Coverage - Liability coverage protects you if someone gets hurt on the property and sues you. Likewise, it will help when someone in the household damages another person's property.
- Alternative Living Expenses - Often called loss of use coverage, it will provide funds for food, alternative housing, and other things after a covered loss.
Unique Policy Needs for Idaho Homeowners Insurance
Most homeowners insurance companies in Idaho offer basic coverage, which is called a standard policy. However, it's possible to go above and beyond that.
Here are some additional home insurance coverage options available to those in Idaho:
Flood Insurance
Typically, most home insurance policies don't cover water damage from floods, so you might want to buy a separate one. Sometimes, lenders will require this, even if you aren't in a high-risk zone.
You can find a flood policy through the National Flood Insurance Program, but many of the companies on this list offer private policies, as well.
Wildfire Coverage
Idaho is a high-risk state when it comes to wildfires, so you should make sure you're covered. Most Idaho home insurance policies cover this, but you might need extra coverage.
Talk to the home insurance agent when you buy the policy to ensure you're protected fully against wildfires in Idaho!
Earthquake Insurance
Did you know that Idaho is fifth on the list for earthquake risk? You might want to get earthquake coverage. Typically, Idaho homeowners insurance companies don't offer this as standard, but it can be an endorsement. Talk to your agent to see what's available.
Identity Theft Insurance
Identity theft is on the rise, and you might want to add this insurance as an endorsement to your home insurance policy. This will help pay for identity restoration and legal bills.
Replacement Cost Coverage
Your policy will likely replace your personal property, but the company might not offer replacement cost coverage. You want this because it will take depreciation into account, offering you the full amount to buy new items.
Sewer and Sump Pump Backup
Most standard policies cover plumbing problems, but you might need an endorsement for full coverage if you have a sump pump, which will include backups and clogs.
Other Factors to Consider When Assessing Idaho Homeowners Insurance Companies
When choosing between the many home insurance companies in Idaho, it's crucial to make informed decisions, and this step-by-step guide can help:
- Think of your property's value, the coverage amounts you need, unique risks, and additional coverage options you may require.
- Research the many companies available by viewing websites, reading reviews, and learning about the industry's reputations. You'll want strong customer service, prompt claims processing, and more.
- Compare coverage options and make sure the standard policy covers what you need. Check into additional endorsements, as well.
- Get quotes from multiple companies, but don't automatically go with the lowest-priced option.
Best Home Insurance Companies in Idaho
What's the best home insurance company available in Idaho? Here are our top five picks:
1. Farmers Insurance
You'll find many options for Idaho homeowners insurance at Farmers Insurance Group of Companies. It also includes pet, life, and car insurance and is serving roughly 10 million households.
Coverage and Features
There are many coverage options with a standard policy at Farmers. You'll receive:
- Dwelling coverage
- Other structures coverage
- Additional living expenses coverage
- Personal property coverage
- Liability coverage
- Medical payments
You can also get optional coverage types, such as more personal property coverage for valuables and jewelry. Here are the choices:
- Umbrella Coverage - This will supplement the liability coverage to pay for anything outside the coverage limits.
- Identity Theft - Identity Shield will pay the losses from identity theft, which is up to $1,500 for indemnity coverage and $28,500 in expenses.
- Contents Replacement Cost Coverage - This will help you replace your possessions at the current price with no depreciation.
- Building Ordinance/Law Coverage - If the building codes have changed since the house was built, you will use them to fix everything.
Other options include:
- Earthquake coverage
- Flood insurance
Discounts
Farmers offers many ways to save money through discounts, but it's wise to talk to your agent to make sure you qualify. They include:
- Multiline discount
- EFT (electronic funds transfer) discount
- Claims-free discount
- Protective devices discount
- Good payer discount
- Rent-to-own discount
- Green certifications
2. Chubb
The Chubb Corporation is now a global insurance company that was founded in 1882. It offers accident, auto, business, life, renters, and homeowners insurance.
Let's learn more about this Idaho homeowners insurance company:
Coverage and Features
Chubb offers its Masterpiece Homeowners Insurance coverage, which will protect your property and home, as well as your belongings. It's an all-inclusive option that also includes personal property replacement cost needs and water backup coverage.
However, you can find add-ons, such as:
- More coverage for jewelry, artwork, antiques, and other high-value items
- Flood coverage
- Earthquake coverage
Discounts
There are few discounts available from Chubb, but you will see these options:
- Discount for a backup generator
- Discount for no claims in three years
- Discounts for sprinkler systems, fire alarms, and more
- Discounts for recently built or renovated homes
- Discounts for combining your homeowners insurance with life, car, or other insurance
3. Liberty Mutual
Liberty Mutual is based in Boston and has been around since 1912. Though it started with workers' compensation, it now extends to liability, fire, auto, and home insurance.
Coverage and Features
The standard home insurance policy will cover:
- Additional living expenses
- The dwelling
- Personal property
- Other structures
- Liability and guest medical coverage
You're not limited to those coverage options, either. It's easy to add more, and the choices include:
- Identity theft protection
- Sump pump/water backup coverage
- Inflation protection
- Umbrella coverage
- Blanket jewelry coverage
- Replacement cost for all belongings
- Personal property coverage
- Earthquake coverage
- Flood insurance
Discounts
If you choose Liberty Mutual, you might enjoy these discounts, which aren't always available in Idaho:
- Paperless policy discount
- Multipolicy discount
- New roof discount
- Claims-free discount
- Preferred payment discount
- Newly purchased home discount
- New/renovated home discount
- Safe homeowner program
- Insured-to-value discount
- Early shopper discount
4. American Family
American Family Insurance was founded in 1927 and is headquartered in Wisconsin. This company is an excellent home insurance provider, though it also offers policies for cars, renters, condo owners, and more.
Coverage and Features
With American Family, you will see these home insurance plans available in the standard policy:
- Personal liability
- Temporary living expenses
- Personal belongings
- The dwelling
- Other structures
However, you can customize your plan by adding these coverage options:
- Hidden water damage
- Diminishing deductible
- Credit theft protection
- Matching siding protection
- Water or sump pump backup
- Equipment breakdown
Discounts
You could save tons of money when you bundle home and auto insurance. Here are a few other discounts to consider:
- Safe, smart, secure home discount
- Generational discount
- Customer loyalty discount
- New/renovated homes discount
- Smart payments discount
5. State Farm
State Farm is one of the top choices for home insurance, and it offers many products, such as condo, renters, home, rental property, farm, personal articles, and ranch insurance. Plus, you can customize your plan to include identity theft protection.
Coverage and Features
When you choose home insurance from State Farm, you'll enjoy these standard coverage options:
- Dwelling
- Personal property
- Other structures
- Medical payments
- Personal liability
- ALE (Additional Living Expenses)
Likewise, State Farm offers additional coverage through these add-on plans:
- Identity theft restoration
- Fraud and cyber event loss coverage
- Valuable possessions coverage
- Inflation guard
- Ordinance/law protection
Discounts
It's easy to save money through State Farm when you bundle home and auto insurance. Here are a few other discounts:
- Roofing discount
- Utilities rating plan discount
- Home security discount
- Automatic sprinkler discount
- Claims-free discount
Other Notable Idaho Home Insurance Companies
While the above-mentioned options are the top homeowners insurance companies in Idaho, there are plenty of others available. It's wise to check out these brands below to make sure you're getting the best deal possible:
- Nationwide
- Progressive
- Allstate
- Amica
- USAA (Available only to military service members and their families)
- Mutual of Enumclaw Insurance
- Travelers
- Farm Bureau
Make sure to ask the provider about any specific issues you might have. Likewise, you'll want adequate dwelling, personal property, and other coverages.
Conclusion
If you own property in the Gem State and wish to rent it out, you have to protect your investment. Though landlord insurance could be beneficial, homeowners insurance in Idaho is another option. You'll get more peace of mind.
After learning about the top five homeowners insurance companies in Idaho, it's time to start researching them. Request quotes from at least three and make sure the brand will tailor the plan to meet your specific needs.
.svg)
