Based on our in-depth analysis of 16 providers, we at the MarketWatch Guides team have chosen Farmers, Allstate and State Farm as the best homeowners insurance companies in Louisiana. Insurance Services Office (ISO) data shows that about 5.3% of properties nationwide experienced a claim in 2021. And according to data we obtained from Quadrant Information Services, the average cost of homeowners insurance in Louisiana is $6,479 per year.
The 5 Best Homeowners Insurance Companies in Louisiana
After conducting in-depth research, these are Louisiana’s best homeowners insurance providers:
- Allstate: Our to pick
- State Farm: Best for value
- USAA: Best for military members and veterans
- Farmers: Best for eco-friendly homeowners
- Armed Forces Insurance: Best for veteran resources
According to 2024 homeowners insurance data from Quadrant Information Services, the average cost of homeowners insurance in Louisiana is $6,479, which is higher than the national average of $2,728.
Allstate
Best for discounts
4.5
Cost: 4.6/5
Customer Experience: 4.3/5
Industry Standing: 4.3/5
Coverage: 4.6/5
Our Review
A.M. BestA+J.D. Power809/1000Annual Cost$1,797
Why We Chose Allstate
Allstate may be a good fit for Louisiana homeowners who want to extend their policy coverage by purchasing endorsem*nts. The company has many valuable options, including water backup, scheduled personal property and green improvement reimbursem*nt. Its endorsem*nts can help you get comprehensive coverage in case of damage.
If Allstate’s premiums are too expensive, you can lower the cost by qualifying for discounts. Most discounts, such as protective devices, responsible payment and staying claims-free, can be easy to qualify for.
Pros and Cons of Allstate
Pros Provides several valuable additional coverages Offers a separate policy for flood damage through the NFIP Has several available discounts Cons Might charge higher rates than some providers Received a below-average score in J.D. Power’s customer satisfaction study
Discounts and Endorsem*nts
You can qualify for these Allstate discounts with your homeowners policy:
- Claims-free
- Early signing
- Easy pay
- Homebuyer
- Multi-policy
- Responsible payment
- Welcome and loyalty
Allstate has these endorsem*nts to help you extend your policy’s coverage:
- Business property
- Electronic data recovery
- Green improvement reimbursem*nt
- Identity theft restoration
- Musical instruments
- Scheduled personal property
- Sports equipment
- Water backup
- Yard and garden
What Customers Think of Allstate
We went through Allstate’s Trustpilot reviews to understand the likes and dislikes of its policyholders.
What Customers Like
- Reliable agents: Many customers, such as this one, highlighted Allstate’s agents for their expertise and assistance.
- Steady service: A long-term policyholder commended the insurer for its consistent and reliable service throughout the years.
What Customers Don’t Like
- Additional charges: A customer who recently bought coverage from the company was unhappy because of unexpected extra fees.
- Denied coverage: A policyholder was upset because Allstate refused to cover a property and failed to provide a timely refund.
Our team reached out to Allstate for comment on the above-listed reviews but did not receive a response.
State Farm
Best for Value
4.7
Cost: 4.6/5
Customer Experience: 4.9/5
Industry Standing: 4.2/5
Coverage: 5/5
Our Review
A.M. BestA++J.D. Power829/1000Annual Cost$939
Why We Chose State Farm
State Farm is ideal for Louisiana homeowners who recently bought their property. The insurer offers several online guides on helpful topics such as choosing the right coverage amount and creating a home inventory. It also has a vast network of local agents to help you find suitable coverage.
You can contact your local agent to understand your area’s risk and find coverage at a competitive rate, which can benefit you in the state’s unstable insurance market.
Pros and Cons of State Farm
Pros Provides many helpful digital resources Lets you connect with a local agent Has an above-average customer satisfaction score in J.D. Power’s study Cons Does not offer an endorsem*nt for severe weather events Has limited number of saving opportunities are available
Discounts and Endorsem*nts
State Farm trails the competition in terms of discounts on homeowners policies. However, you might qualify for these three savings options:
- Bundling
- Home security
- Roofing
You can buy these endorsem*nts for additional protection:
- Earthquake
- Home systems
- Identity theft
- Water backup
What Customers Think of State Farm
We looked at State Farm’s Trustpilot reviews to identify its benefits and drawbacks.
What Customers Like
- Helpful agents: Several customers, such as this one, praised the company’s agents for providing helpful service.
- Effortless policy transition: A customer commended State Farm for the smooth and easy transfer of their homeowners insurance from a different insurer.
What Customers Don’t Like
- Excessive fees: A policyholder expressed dissatisfaction with State Farm for repeatedly charging them unfairly.
- Coverage denial: A customer was disappointed after the insurer denied coverage based on a previous claim.
Our team reached out to State Farm for comment on the above-listed reviews but did not receive a response.
USAA
Best for military members and veterans
4.6
Cost: 4.6/5
Customer Experience: 4.6/5
Industry Standing: 4.3/5
Coverage: 5/5
Our Review
A.M. BestA++J.D. Power881/1000Annual Cost$3,634
Why We Chose USAA
USAA is another sound option for military service members, veterans and their families. The company offers coverage that can benefit active-duty service members. For instance, it will waive your deductible if your military gear or equipment is lost. The insurer also includes replacement cost coverage in its standard policy.
You can qualify for several discounts with this insurer. For example, the company might offer you up to 15% off on your policy if you have not filed any claims for five years or more.
Pros and Cons of USAA
Pros Received the highest score in J.D. Power’s customer satisfaction study Provides several valuable endorsem*nts Lets you purchase a separate policy for flood damage Cons Must be a USAA member to get a quote Coverage might not be available everywhere in the state
Discounts and Endorsem*nts
USAA provides these discounts with its homeowners policies:
- Bundling
- Claims-free
- Connected home
- Loyalty
- Multi-product
- Protective device credit
You can buy these coverages for extra protection:
- Earthquake
- Electronics coverage
- Home protector
- Home sharing coverage
- Personal injury
- Water backup
What Customers Think of USAA
We analyzed USAA’s Trustpilot reviews to understand the prevailing likes and dislikes of its policyholders.
What Customers Like
- Reliable service: A policyholder praised the company for its consistent and reliable service over the years.
- Expert agents: Several customers, such as this one, appreciated the company’s skilled and helpful agents.
What Customers Don’t Like
- Expensive rates: A customer was upset that the company charged high premium prices.
- Coverage refusal: Many policyholders, including this one, were dissatisfied when the company denied their roof-damage claim.
Our team reached out to USAA for comment on the above-listed reviews but did not receive a response.
Farmers
Best for eco-friendly homeowners
4.3
Cost: 4.4/5
Customer Experience: 4.9/5
Industry Standing: 3.6/5
Coverage: 4.6/5
Our Review
A.M. BestA++J.D. Power829/1000Annual Cost$1,119
Why We Chose Farmers
Farmers may suit Louisiana homeowners who prefer to customize their coverage to make it fit their needs. The company lets you modify your deductible and coverage limits to adjust your premium costs. It also offers more options than other providers. Though the company’s rates may be higher than other providers we reviewed, you could benefit from its multiple discounts to lower costs.
Farmers has many valuable endorsem*nts. For instance, you can buy flood damage coverage — a potentially valuable rider since floods and other natural disasters are major risks in Louisiana.
Pros and Cons of Farmers
Pros Lets you significantly customize your coverage Provides many saving opportunities Offers additional coverage against severe weather events Cons Below-average score in J.D. Power’s customer satisfaction study
Discounts and Endorsem*nts
Although Farmers lists many discounts on its website, you might not qualify for all of them. Potential discounts include:
- Affinity
- Claims-free
- Connected home
- ePolicy
- Good payer
- Green certification
- Home safety
- Multiline
- New home
- Preferred payment
- Protective devices
- Rent to own
- UL-approved roofing materials
The company also has these endorsem*nts to help you customize your policy:
- Earthquake
- Eco-rebuilds
- Flood damage
- Identity theft protection
- Mobile and manufactured home
- Replacement cost coverage
What Customers Think of Farmers
We read many online reviews on Trustpilot to identify what Farmers’ customers like and dislike about the provider’s service.
What Customers Like
- Excellent service: One policyholder praised the overall service provided by Farmers, highlighting fast responses to inquiries and prompt claims settlement.
- Attentive agents: Several customers, such as this one, noted the polite and helpful agents of the company.
What Customers Don’t Like
- Insufficient coverage: A customer expressed dissatisfaction with Farmers for failing to cover water damage in their kitchen despite consistently paying premiums for many years.
- Policy termination: One policyholder complained that the company terminated a policy based on incorrect information.
Our team reached out to Farmers for comment on the above-listed reviews but did not receive a response.
Armed Forces Insurance
Best for veteran resources
4.3
Cost: 4/5
Customer Experience: 4.4/5
Industry Standing: 4/5
Coverage: 5/5
A.M. BestA++J.D. Power829/1000Annual Cost$1,119
Why We Chose Armed Forces Insurance
Armed Forces Insurance works for Louisiana-based military members looking for an insurer that lets them lower their policy costs with discounts and offers coverages tailored to a military lifestyle. Although the insurer does not provide some common options, you can qualify for discounts when buying a new home, installing a roof and more.
Fill out a short quote form on the company’s website and work with an agent to understand your available coverage options and the endorsem*nts that fit your situation.
Pros and Cons of Armed Forces Insurance
Pros Offers many valuable discounts Provides several military-specific endorsem*nts Lets you work with an agent for a quote Cons Limited information is available on its website Is only available to military members
Discounts and Endorsem*nts
Policyholders can qualify for these discounts through Armed Forces Insurance:
- Building code effectiveness grading credit
- Central station burglar and fire alarm discounts
- Companion policy credits
- Gated or guarded community discount
- New home credit
- New roof credit
- Windstorm mitigation feature credits
You can also buy these endorsem*nts:
- Animal liability coverage
- Earthquake coverage
- Flood coverage
- Identity theft expense coverage
- Water backup and sump overflow coverage
What Customers Think of Armed Forces Insurance
We looked at the Better Business Bureau (BBB) and Trustpilot reviews of the company to identify the factors that its customers like and dislike about its service.
What Customers Like
- Timely service: A customer commended the company for providing timely and fair service in case of water damage to their property.
What Customers Don’t Like
- Refusal to provide coverage: A military member was upset that the company refused to provide homeowners coverage.
Our team reached out to Armed Forces Insurance for comment on the above-listed negative reviews but did not receive a response.
Average Cost of Homeowners Insurance in Louisiana
The average cost of homeowners insurance in Louisiana is $6,479, which is higher than the national average of $2,728, according to our analysis of homeowners insurance data provided by Quadrant Information Services. The annual cost of homeowners insurance varies based on your location, which can cause your home to be more or less susceptible to risk. Use the tables below to determine the average cost in your specific area before getting quotes from multiple providers.
Cheapest Homeowners Insurance in Louisiana
Cost is an important factor in selecting a home insurance company, so we have compiled a list of the most affordable providers in Louisiana to help you find the best coverage at the lowest cost. The cheapest provider in the state is State Farm at $939 annually.
How To Save on Homeowners Insurance
Homeowners insurance rates in Louisiana have increased significantly over the past few years. Louisiana’s Department of Insurance approved an increase of 63% in the rates of Louisiana citizens’ policies beginning in 2023 — an example of how risky the insurance market is in this hurricane-prone state.
You can usually save money on your policy cost by reducing the property damage risk. Some steps you can take include:
- Disaster-proofing your property: To protect your property against damage, you can install storm shutters and impact-resistant windows. You can also benefit from the Louisiana Fortify Homes Program (LFHP), which the state has designed to help homeowners strengthen their roofs and protect against strong winds. These steps will reduce the risk of severe weather damage to your property and might lower your rates.
- Improving your home’s security: You can protect your property against theft and vandalism by installing burglar alarms, security cameras and motion sensors. Taking these measures can significantly benefit you if you live in areas with high crime rates.
- Comparing rates: It’s essential to shop around and compare quotes from several providers before purchasing your policy. It can help you get a better deal as each insurer has different criteria for assessing your application.
Compare Home Insurance Discounts
Another way to lower your premiums is to earn discounts. Our table shows the discounts offered by the insurers discussed in this guide to help you understand your saving opportunities.
| Provider | Multi-Policy | New Homeowner | Claims-Free | Protective Devices | Military or Veteran |
|---|---|---|---|---|---|
| Farmers | ✔ | ✔ | ✔ | ✔ | |
| Allstate | ✔ | ✔ | ✔ | ||
| State Farm | ✔ | ✔ | |||
| Armed Forces Insurance | ✔ | ||||
| USAA | ✔ | ✔ | ✔ |
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We at the Guides Home Team gathered 2024 home insurance quotes for the providers in this article using data from Quadrant Information Services. Quadrant is a leading source of property and casualty insurance solutions and data.
Our sample homeowner is a 40-year-old single male with good credit and no prior claims history. Our sample policies featured a $1,000 deductible and the following coverage and limits:
- Dwelling: $350,000
- Other Structures: $25,000
- Personal Property: $150,000
- Loss of Use: $50,000
- Liability: $300,000
- Medical Payments: $1,000
For each provider, we gathered a quote for 50% of the ZIP codes in every state it is licensed in. We used the most populous ZIP codes for our study. We took the average of these individual quotes to calculate national and state average premiums for each provider. Our sample rates are for informational purposes only. Actual premiums will vary.
What Factors Affect Home Insurance Rates in Louisiana?
Insurance companies consider factors like your area’s risk of natural disasters, property condition and personal characteristics to determine how much you will pay for home insurance. We explained these factors below to help you estimate monthly insurance costs in Louisiana.
- Risk of natural disasters: Louisiana faces a significant risk of natural disasters such as flooding and hurricanes due to its location along the Gulf Coast. If your home is located in a city that has experienced hurricane damage in the past, such as New Orleans, Baton Rouge and Lafayette, insurers may consider it risky to provide you with a policy and charge higher rates.
- Proximity to fire services: Insurers will likely charge higher premiums if your home is farther away from fire stations or hydrants, which can increase the risk of fire damage due to house fires or wildfires. For example, you may pay higher rates if your home is in a rural area such as Acadiana.
- Local crime rates: Urban areas like New Orleans or Baton Rouge generally have higher crime rates than rural locations, which increases the risk of theft and vandalism. Insurance providers may offer more expensive policies to homeowners in such areas.
- Age and condition of your home: Properties in historical areas like the French Quarter in New Orleans or those built with outdated construction materials are generally more susceptible to damage. If you own an older home, you may pay higher insurance premiums.
- Credit score: Insurers use your credit score to assess your likelihood of filing a claim, meaning your credit score can influence your premium. If you do not have a strong credit history, you may face higher home insurance rates.
- Claims history: Insurance providers also look at the severity and frequency of your past claims to determine your monthly premiums. Those who have filed multiple claims in the past may see higher home insurance costs.
Common Causes of Home Insurance Claims in Louisiana
While the rich culture, good food and temperate weather make Louisiana hard to resist, the risk of tropical storm damage makes home insurance a must-have in the coastal state. But it’s not the only reason Louisianians file home insurance claims. Here are some potential issues residents face:
Hurricanes and Wind Damage
Louisiana is one of the states most impacted by natural disasters. Data from the state’s emergency response group shows Louisiana has faced 54 hurricanes since 1851. According to a report by The Data Center, Hurricane Katrina in 2005 damaged more than half a million housing units in the state. This devastating event damaged 134,000 housing units in New Orleans alone.
Floods
Floods are another major risk of living in Louisiana. Data from the National Oceanic and Atmospheric Administration (NOAA) shows that flooding from Hurricane Katrina caused an estimated $81 billion in damage in Louisiana.
Theft
Theft is another big insurance risk in Louisiana, especially in New Orleans and Baton Rouge. The most recent data from the FBI shows that there were 20,879 cases of property crime reported in New Orleans, while 11,673 cases were reported in Baton Rouge.
Recommended Home Insurance Coverage in Louisiana
A standard HO3 homeowners policy offers comprehensive coverage for the structure of your property, personal items, liability costs and medical payments for injuries to guests, and might also include additional living expenses.
However, because Louisiana faces a significant risk of damage from natural disasters and other causes, consider buying these endorsem*nts for maximum protection.
- Extra coverage for valuables
- Flood Insurance
- Hurricane and windstorm coverage
- Water backup coverage
Tips for Getting Insured in Louisiana
Louisiana residents might face unique issues when looking for homeowners insurance because the state faces a significant risk of natural disasters like hurricanes and floods. We recommend taking these steps to find comprehensive coverage:
- Consider purchasing flood insurance: Standard homeowners policies do not cover flood damage, which is a significant risk in Louisiana because of frequent storms. You can purchase a flood endorsem*nt from your insurer or a separate policy from a private company or the National Flood Insurance Program (NFIP).
- Understand and optimize your deductibles: You should know the appropriate deductible amount for your situation. Choosing a policy with a higher deductible will lower your premium but increase the out-of-pocket costs in case of a claim. Assess your situation and determine how much you can comfortably pay in case of damage.
- Review and update your policy regularly: Louisiana’s insurance market is frequently changing due to environmental and regulatory factors, which is why it’s important to review your coverage regularly to ensure that it still meets your needs.
Which Major Providers Are Still Writing Home Insurance Policies in Louisiana?
Several local and national insurance providers withdrew from Louisiana because of a significant risk of natural disasters like hurricanes and floods. This has resulted in higher rates for policies and less leverage to negotiate better terms.
However, plenty of insurance companies are still actively writing insurance policies in the state. You can usually buy a policy from these insurance providers:
- Allstate
- State Farm
- Farmers
- USAA
- Armed Forces Insurance
- Louisiana Citizens
- Amica
- Chubb
Which Providers Have Pulled Out of Louisiana Home Insurance
If your insurer has withdrawn from the state, the move is likely permanent. Although your coverage will continue until renewal, you must buy a policy from another insurer afterward.
Contact your provider to know if they still offer coverage in your location. The following insurance companies have withdrawn from the Louisiana insurance market.
- United Property & Casualty Insurance Co.
- Southern Fidelity
- Lighthouse Excalibur
- State National Fire Insurance
- Access Home Insurance
- Americas Insurance
- Gulfstream Property and Casualty
- Weston Property & Casualty
- Aegis Security Insurance
- American Reliable Insurance
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Frequently Asked Questions About Louisiana Homeowners Insurance
On average, it costs $6,479 per year to purchase homeowners insurance in Louisiana, based on data we obtained from Quadrant Information Services. However, your policy costs will depend on relevant factors like location, property features and other property- and owner-related details.
Homeowners insurance rates are high in Louisiana because of the high risk of natural disasters such as hurricanes, floods and severe storms. These risks have forced many insurers to withdraw from the state, contributing to higher premiums.
Data from LDI shows State Farm Fire and Casualty Company is the largest insurer in Louisiana, with a leading market share of 20.6%.
The 3-year rule in Louisiana is a regulation that prevents homeowners insurance companies from canceling the policy of homeowners who have been with them for at least three years. It offers stability for homeowners and prevents insurers from discontinuing coverage unless there is a substantial reason for doing so.
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Methodology: Our System for Ranking the Best Home Insurance Companies
Our team researched 16 home insurance providers to find the best homeowners insurance in Louisiana. We created a scoring system to assess and compare each company’s quality and service, looked at customer reviews on third-party sites and obtained estimates from these providers to understand the quote process.
Here are the factors that account for our provider scores according to our home insurance rating methodology:
- Cost (27%): We compare cost data for homes nationwide to assess how competitively priced each provider is. We also consider each company’s available discounts when determining its overall cost of coverage.
- Coverage (28%): We analyze the comprehensiveness of each provider’s standard home insurance policy and compare optional policy endorsem*nts to determine the quality of coverage.
- Availability and ease of use (15%): We evaluate each company’s customer service options such as live chat, a customer support phone line and multiple channels for filing claims and generating quotes. Similarly, we score providers based on their digital resources, such as a mobile app or online customer portal.
- Brand trust (15%): We gauge reputation by evaluating consumer reviews and third-party financial strength and customer experience ratings, including from J.D. Power, AM Best and customer review aggregators.
Companies with the best customer service exhibit 24/7 availability, useful digital tools and a quick claims-filing process. Providers that offer extensive discount options, endorsem*nts, customizable coverage options and unique features score significantly higher than those that don’t, putting them toward the top of our recommendations to readers.
AM Best Disclaimer
How We Gather Cost Data
We at the Marketwatch Guides Team gathered home insurance quotes for the providers in this article using 2024 data from Quadrant Information Services. Quadrant is a leading source of property and casualty insurance solutions and data.
Our sample homeowner is a 40-year-old single male with good credit and no prior claims history. Our sample policies featured a $1,000 deductible and the following coverage and limits:
- Dwelling: $350,000
- Other Structures: $25,000
- Personal Property: $150,000
- Loss of Use: $50,000
- Liability: $300,000
- Medical Payments: $1,000
For each provider, we gathered a quote for 50% of the ZIP codes in every state it is licensed in. We used the most populous ZIP codes for our study. We took the average of these individual quotes to calculate a national average premium per provider. Our sample rates are for informational purposes only. Actual premiums will vary.
If you have feedback or questions about this article, please email the MarketWatch Guides team at [email protected].
