Louisiana is a melting pot of culture and attractions, with great food, hot weather, and affordable living. That said, life is not always sweet in the Sugar State, and homeowners must take steps to protect their property investments.
Due to its location in the infamous Tornado Alley and a series of recent hurricanes that devasted many homes, insurance coverage can cost a little more in this part of the country. It is essential to have it in case disaster strikes.
Homeowners insurance offers protection from damage, theft, and costly repairs- things that no Louisiana homeowner is exempt from. Choosing the right provider is the first step toward efficient long-term investment protection and peace of mind.
There are many insurance companies in Louisiana, so we have helped to narrow the search by providing a list of five worthwhile considerations.
We have compared pricing, discounts, coverage options, and extra features that are especially important in this state.
As well as sharing our top picks, we have provided a few hints and tips on what to look for when assessing which company is right for you and your property.
An Introduction to Homeowners Insurance in Louisiana
There is no better way to defend your investment and personal finances in the event of damage, extreme weather, theft, or other unforeseen events than a high-quality homeowners insurance policy.
It is the net between costly situations or unexpected challenges with your home and being left to cover unfeasible expenses on your own. By paying a monthly or annual premium to a reputable homeowners insurance company, you gain a powerful ally who can step in and save the day if disaster strikes.
Homeowners insurance is not just in case of catastrophic damage caused by Louisiana's infamous storms. It also helps with the smaller things that can quickly become big things if not dealt with swiftly and efficiently.
Backed-up sewer pipes, malfunctioning HVAC systems, and stolen valuables are also among the things that can trouble homeowners, and insurance is there to cover it all.
The Average Cost of Homeowners Insurance in Louisiana
The average cost of homeowners insurance in the USA is around $1800 per year, but Louisiana costs tend to be above average. Louisiana is a high-risk zone for hurricanes, tornadoes, and floods, so insurance companies have to offset their potential expenses with higher premiums.
It is hard to pinpoint an exact average cost because of how varied the property types and values are in Louisiana, but around $2600 is a ballpark figure.
How much your homeowners insurance will cost depends on several factors. Here are a few things that may influence your premium.
- Where exactly your home is located
- How much your property is worth
- The age and condition of your property
- What security features are present
- The limits on your coverage
- Any extra endorsements you include
- How much your property is expected to cost if a rebuild is required
- What discounts and deals you take advantage of
In short, the cost of homeowners insurance will be higher if you live in a high-risk area, have expensive belongings, or have a home with an above-average value. Including extra coverage options such as flood insurance and hurricane coverage will also bump up the price.
You can generally reduce costs if your home has security features such as alarm systems, fire detection, sprinklers, and fortified building properties. Newer homes also tend to incur lower rates.
Understanding Homeowners Insurance and Landlord Insurance Coverage
Before we get into homeowners insurance, let's quickly touch on the difference between this and landlord insurance. Depending on your situation, you may need one or the other- or both.
People who own and live in their homes usually only need homeowners insurance. It is there to protect your belongings, cover damage costs, and provide some liability protection for the people living there or visitors in the home.
Those who own a property but rent it to others may need landlord insurance instead (or as well). Landlord insurance covers additional risks such as loss of rental income and enhanced liability for others living on your property. It generally does not cover the personal property of people renting from you, but it will cover anything that belongs to you.
Choosing a Louisiana Homeowners Insurance Company: Things to Look For
When you begin your search for a homeowners insurance company, there are a few things to look for before settling on a policy. Some are generally beneficial to all, and others are specific to homeowners in Louisiana.
- Check the financial strength of the companies you are interested in.
- Look at the customer service reviews and contact options if you need to make a claim.
- Make sure all your needs are met regarding the types of coverage you want and the limits on pay-outs.
- Compare the prices with the features- you may get more for your money elsewhere.
- Look into the discounts available and how you can qualify for reduced rates.
- Always review the policy in detail before committing to a provider.
Specifics for Louisiana
- Evaluate your flood risk through the Federal Emergency Management Agency. Most insurance companies do not include flood insurance, so you may need to register with the National Flood Insurance Program.
- Look into the limits on rebuild costs. Many insurers offer generous packages that protect you from unexpected costs above your policy limits, but some do not.
- Check what coverage options are available for hurricanes and tornadoes. Depending on your policy, these extreme weather events may not be covered in the basic policy.
Top Five Homeowners Insurance Companies in Louisiana
Here are five of the best home insurance companies in Louisiana- complete with a list of top features and discounts you can take advantage of to get the best coverage for the best price.
Our top choice for Louisiana homeowners looking to insure their properties is Allstate. As one of the largest insurance providers in the US, Allstate offers robust coverage options that tick all the boxes. The cost varies, with some premiums being amongst the most affordable in the state, and others being on the costlier side.
Overall, we chose Allstate because it offers generous coverage that works well for homeowners concerned about the risk of significant property damage, but it also handles the smaller things well.
Coverage and Features
Allstate offers all the standard homeowners policies you would expect to find- including dwelling coverage, personal property insurance, liability, loss of use expenses, and medical.
On top of that, many extras and upgrades suit Louisiana homeowners perfectly and provide peace of mind that your investment is well protected.
These are some possible endorsements you can get through Allstate for your Louisiana property.
- Yard and garden coverage
- New replacements for broken items, or cash to the depreciated value if you choose not to replace
- HostAdvantage insurance for people who rent their homes for short times (through Airbnb, for example)
- Electronic data recovery for lost or damaged digital files
- $100 off deductibles every claim-free year up to $500
- Replacement cost coverage that extends to cover unexpected rebuild expenses above your policy limit
- Coverage for damaged pipes, sewer lines, and other public utilities
- Ordinance coverage options
- Business property insurance for company belongings stored in your home or on your land
- Water backup
There is an Allstate app, website, and local agent team available to help people manage their policies and handle claims.
- Save up to 25% through the Allstate home and car insurance bundling discount.
- Costs are lower for clients who use autopay for their bills. You may also receive discounts for consistently paying on time.
- Discounts are available when you renew your policy- especially if you do it early.
- New buyers and newly built homes may be eligible for lower rates.
- The Allstate safety discount applies when you have qualifying features in your home, such as fire protection, smoke detectors, and anti-theft measures.
- Allstate offers up to 20% off for new clients who have not claimed in recent years.
2: State Farm
State Farm is one of our top picks for Louisiana homeowners and one of the highest-rated in the US. It is a powerful and versatile insurance policy provider that offers customizable, comprehensive coverage options.
The policies are not only some of the most generous but also the most affordable- especially when you consider the many discount opportunities.
Coverage and Features
This insurance provider offers coverage in every state except California. The standard packages include dwelling coverage, personal property, personal liability coverage, loss of use, other structures, and more.
It is an especially good choice for Louisiana homeowners because of its robust dwelling rebuild coverage- making it the best option for tornado and hurricane insurance. When you insure your home for the estimated total rebuild cost, the increased dwelling limit offered by State Farm pays out up to 20% above the insurance limit.
If your property is significantly damaged or destroyed during a storm, earthquake, or tornado, the costs to rebuild may be higher than expected, so having this coverage offers great peace of mind.
Overall, the excellent selection of add-ons and extras benefits Louisiana property owners in case of extreme damage due to even more extreme weather.
Here are some of the best features available when you choose a homeowners insurance policy with State Farm in Louisiana.
- Sewer and drain damage insurance
- Flood insurance from the National Flood Insurance Program
- Earthquake damage coverage
- Vandalism coverage
- HVAC system replacements and upgrades
- Breakdown cover for major utilities
- Water damage coverage
- Incidental business insurance for people who work from home
- Foundation insurance
- Liability coverage for in-home carers
State Farm has an excellent app that lets people keep track of their policies and claims quickly and conveniently. Local agents are also available for personalized service.
State Farm offers various discounts and bundles that could help you save over $1000 on your policy annually. Here are some of the best deals from this insurance provider.
- Save money when you bundle your home insurance with auto insurance from State Farm.
- Discounts may be available if your home has a monitoring system. Examples include smoke detectors and burglar alarms.
- If you make no claims for several years, your insurance premiums reduce.
- Some homeowners may be eligible for a discount if they upgrade their home's utilities.
- If you install an impact-resistant roof in your Louisiana home, it could lead to a discount on your State Farm insurance policy.
- Wind mitigation efforts are also considered for discounted rates.
Chubb is a highly-rated homeowners insurance company that goes above and beyond with its comprehensive policies. No matter what Louisiana weather throws at you, these policies have got you covered.
The premiums are a little higher than the national average, but they are great value for money all things considered.
Coverage and Features
Many features make Chubb insurance stand out as one of the best for Louisiana homeowners. One of the best is an optional extension that covers your home's restoration to its original quality, even if the cost exceeds the standard limit on your policy.
In general, the basic policies offer much more than most other providers- including visits from a local risk inspector and higher-than-average property replacement coverage for valuable items. Here are some other things that come in handy for Louisiana homeowners.
- Earthquake coverage
- Home monitoring service for homes located in storm-prone areas
- Tree removal after storm and assistance with electrical reparations
- Optional cash settlements if your property is destroyed and you choose not to rebuild
- Risk consultation services from local experts
- Water backup cover for damaged pumps or sewer lines
- Lock and key repair and replacement
- Liability coverage options worth millions of dollars
- Counselling costs after break-ins, theft, or severe storms
Chubb specializes in insurance coverage for high-value homes and offers comprehensive packages to protect investments in high-risk areas such as Louisiana.
There is limited information available about the discounts offered by Chubb, but they seem to revolve predominantly around safety features. Here are some of the discounts advertised.
- Lower rates for new or newly refurbished homes
- Discounts for homeowners with monitored security systems
- Reduced costs if your home has an automatic sprinkler system or other fire-resistant features
- Bundling discount available when you take out multiple policies
- Discounts for homes located in gated communities
Farmers is a well-known home and car insurance provider with a generous standard homeowners insurance policy, plenty of add-ons, and some excellent discounts.
Other than the fact that it is quite pricey compared to some other providers, it is pretty tough to find anything not to like.
Louisiana homeowners can benefit from the excellent personal property coverage that offers to fully cover the cost of replacement and the generous rebuild options in case of catastrophic storm damage.
Coverage and Features
There are three tiers offered by the Farmers home insurance company- standard, enhanced, and premier. Even the basic package includes fairly robust coverage, and there are plenty of add-ons available that you can opt for to customize your plan.
Some of the best features of Farmers homeowners insurance are the guaranteed replacement cost coverage that pays for 100% of the rebuild expenses if your home is destroyed, and the fact that the property is replaced without depreciating it from its original value.
Here are some other notable features and coverage options available in Farmers homeowners insurance policies.
- Eco-rebuild bonus, which pays an extra $25,000 on top of your limit if you rebuild using green materials
- Equipment breakdown cover
- Additional living expense payments for displaced homeowners
- Water backup and pump failure insurance
- Injury liability
- Medical payments for injuries sustained on your property by you or a visitor
- Service line damage coverage
- Home share insurance
Like the other providers on our list, Farmers offers a few different ways to save money when you insure your home with them. There are many offers, so here are some of the highlights.
- Premiums reduce after three years claim-free and secured even after five years, even if you make a claim
- Cheaper rates for homes with no smokers for at least two years
- Reduced costs when you combine home and auto insurance coverage with Farmers
- Lower rates for homes that are fewer than 14 years old
- Special rates for current or retired teachers, firefighters, and doctors
- Automatic payment bonus: You can save by paying in full, signing up for automatic payments, and consistently paying your bills on time.
- Reduced costs for homes with green certificates from EPA, Energy Star, or LEED
- Possible discounted rates for Louisiana homes with fortified windows, foundations, roofs, or walls
5: The Hanover
If you don't mind paying a little more to secure higher limits and a more robust and well-rounded protection plan for your investment, The Hanover is worth consideration. It is an excellent home insurance provider that only works in a handful of states and costs significantly more than the national average.
Those with high-value homes in a high-risk area of Louisiana may want to consider paying more to secure the maximum coverage if the worst should happen- especially if their property or belongings are worth a lot of money.
Coverage and Features
Homeowners looking for insurance in Louisiana can pick from three tiers through The Hanover.
The Connections Package is for homeowners insurance only, while the Platinum Package offers bundled home and auto insurance coverage. Lastly, the Prestige Package is aimed at higher-value homes that would cost more than $750 to rebuild. As such, the limits are higher.
Each package included an excellent range of insurance features as standard, but there are also plenty of extra endorsement add-ons for optional coverage and customization.
Here are a few of the must-know features.
- Unlimited loss of use coverage
- High personal belongings insurance limits
- Cover for broken HVAC and water heating systems as well as refrigerators and other large appliances
- Lock repair and replacement
- Removal of debris after extreme weather
- Complete roof restoration even if only part is damaged (conditions apply)
- No deductible for claims over $50,000
- Water and pump backup coverage
- Insurance for spoiled food and drinks during power outages
To get a quote for The Hanover homeowners insurance in Louisiana, you should reach out to an agent near your location. This insurer is well-reviewed. Luckily, Louisiana is one of the few states it covers.
The Hanover is undeniably one of the more expensive homeowner insurance providers in Louisiana, but there are still some deals and discounts you may qualify for to reduce your rates.
- Newly-build homes could qualify for lower insurance rates.
- Discounts are often awarded through the Affinity Program to clients who are members of associated organizations
- You may receive a reduced premium if you are a new buyer.
- Some safety devices and features can lower your insurance expenses- including smoke detectors, sprinklers, and central security alarm systems.
Other Louisiana Homeowners Insurance Companies to Consider
- Amica (recommended by the National Association of Insurance Commissioners
- USAA (for military families)
- Liberty Mutual
- ASI Progressive
Homeowners insurance in Louisiana is vital for protecting your investments against everyday damage and the threat of catastrophic events. Due to their location in a high-risk area, many Louisiana homes may require higher premiums with extended limits, and the five companies on this list offer packages that offer the coverage and support that people need.
Remember to assess your greatest needs and top priorities when searching for a home insurance package, and think about more than the cost when picking your winner. Always be sure to check that you have additional flood insurance if your policy does not include it in the package.
The goal is to find insurance that protects your investment long-term and will have your back if you ever need it.