Homeowners insurance cost?

[P055UM 286]

Was wondering if anybody could shed some light on just what makes homeowners insurance so expensive in the US?

 

I am seeing that the average is somewhere $1,250 - $2,000 pa. depending on credit, location etc etc. In the UK, I was paying approx $150 pa. 

 

What gives? I know that some stuff is cheaper here and some is more expensive, but something being 10x pricier just seems plain weird. Anybody know why? Or what I am missing?

 

Thanks!

 

ps. really not trying to start a "thing" or particularly even complain, I am just curious

[African Zealot 1,455]

Big business, lobbyists, racketeering, and the overall corruption in the US system.

 

Rant over! 

 

😁

[Boiler 45,651]

Houses are larger and more flimsy built, extreme weather condition, plus of course the legal liability aspect etc etc

[P055UM 286]

10 minutes ago, Boiler said:

Houses are larger and more flimsy built, extreme weather condition, plus of course the legal liability aspect etc etc

I think I had settled on the flimsy construction element. Good to know I wasn't too far off base.

[Crazy Cat 41,975]

Risk analysis, Repair costs, material costs, replacement costs.........end of story.

Edited July 14, 2022 by Crazy Cat

[Crazy Cat 41,975]

$150 per year would be closer to a low end renter's insurance plan. 

[P055UM 286]

45 minutes ago, Crazy Cat said:

$150 per year would be closer to a low end renter's insurance plan. 

Yeah, we pay around $100 for renters on our small apartment right now. Probably would be comparable back home.

 

Very interesting though, healthcare aside, being its own thing, I don't think I've come across anything with such a wide price gap since I moved here.

[Crazy Cat 41,975]

3 minutes ago, AW1704 said:

Yeah, we pay around $100 for renters on our small apartment right now. Probably would be comparable back home.

 

Very interesting though, healthcare aside, being its own thing, I don't think I've come across anything with such a wide price gap since I moved here.

I pay less than $200/year for our apartment, too. 

[belinda63 3,038]

I pay $1100 a year for replacement of up to $65000 with a $1000 deductible

 

[P055UM 286]

13 minutes ago, belinda63 said:

I pay $1100 a year for replacement of up to $65000 with a $1000 deductible

 

I just checked my last home insurance policy from back home. Approx $150/year for $1,000,000 rebuild (lol, the house probably wouldn’t have even cost 1/10 of that) and $100,000 contents. Deductible approx $500. 
 

Other stuff is cheaper here though so it probably evens out. It’s all good  

[Mike E 11,740]

It depends on locale. 
 

The house I built in Colorado with my ex-wife requires $4000 a year in part because 10 years ago a wild fire forced us to evacuate.  5000 sq ft.  
 

The house I bought this week in Arizona is 2300 sq ft and its premium is $900 a year.

 

My premium on my 1400 sq foot California town home was $600 even though the structure was insured by the HOA. 
 

In Florida and Colorado there has been a grift going on for at least 30 years where roofing contractors inspect the house and claim wind damage and force the insurance companies to buy new roofs. The problem is the stupid brittle and fragile concrete tile roofs HOAs insist

on. 
 

The only type of roofs that should be used in this country are flat Pueblo / Mesa roofs where snow is light and steel roofs everywhere else.  
 

There is a reason why the native occupants of this country never advanced beyond the Stone Age: the climate is simply too harsh.  

 

Edited July 15, 2022 by Mike E

[JeanneAdil 6,539]

combine homeowner's and auto (and any other like boat or RV)  and get the discount

i have a Denali,  Mustang and Miata and with all them ,   my homeowner's is $67 a month (4 bedroom ,  3 bath house with additional guest house )

 

And shop for insurance quotes /  here no one can beat Farm Bureau /  i get offers all the time and when i call and ask for a quote ,  they can't beat what i have 

[WaterLeaf 201]

I'm paying renters insurance, but I pay a decent premium around $200 for an apartment because of additional values to be covered.

 

Home insurance can all differ especially in location and what coverage. Sometimes some home insurance will not cover something additional unless it's paid for. Some insurance are also serious when it comes to things like getting electrical panel hooked up only by an licensed electrician as well or they won't cover you (depending on states, policy, etc.)

 

Mobile homes/manufactured home/modular homes may be a bit lower in cost. I just got a manufactured home (2022 built) so I didn't look over the policy well like I should have, but wasn't told about what insurance I would have so I'm going to get an additional insurance for liability reason. Anything can happen.

Edited July 15, 2022 by WaterLeaf

[Thunderbolt 172]

People really pay $1000 and up for home insurance? We are paying around $350/year for a townhouse. 

We don't have big streamline insurance company, just a small local (County) firm. It was recommended to us by a friend.

I remember calling big insurance company, and at that time they wanted something in the range of $500. So I highly recommend shopping around for a local insurance broker. 

[Bob in Boston 734]

Depends where you live. We have Earthquakes, Wild fires, Tornados, Huricanes and too much snow causing cave ins on the roof. Mud slides are also common in some areas. These items sometimes wipe out entire communities. Then their is liability and burglary ins. Live in a big city this will jack up your rates too. I live in a suburb of Boston. $650000 home I pay about $900 a year. Shop around as prices can vary as much as $500 a year for the same coverage.