Reviews Report
- The top five North Carolina homeowners insurance companies selected all had strong financial strength ratings and ranked well for customer satisfaction in J.D. Power’s 2020 study.
- Allstate could be a good choice for homeowners looking for heavily personalized coverage.
- Travelers’ average annual premiums are well below the statewide average for home insurance.
North Carolina homeowners insurance is available through many carriers, which means homeowners may benefit from guidance in helping choose which provider is best. Although North Carolina home insurance isn’t mandatory (except if you have a mortgage), a policy can bring homeowners peace of mind knowing they’re protected financially in case of an expensive and disastrous event. Reviews.com compared rates, policy options, strengths and drawbacks from multiple carriers to narrow the list of homeowners insurance companies in North Carolina to five of the best.
Reviews.com used 2021 Quadrant Information Services data from Bankrate.com to map the average North Carolina home insurance premiums, and a unique in-house methodology to compare discounts, coverage, and third-party evaluations to rank and review the best home insurance companies in this state. The average homeowners insurance in NC is $1,295 per year for $250,000 in dwelling coverage. It may help to compare quotes from carriers that provide home insurance in North Carolina to make sure you get the rates available for the coverage you need.
The 5 Best Home Insurance Companies in North Carolina
- Nationwide: Best North Carolina Home Insurance for Savings
- USAA: Best North Carolina Home Insurance for Military-Focused Coverage
- Erie: Best North Carolina Home Insurance for Basic Coverage
- Allstate: Best North Carolina Home Insurance for Coverage Options
- Travelers: Best North Carolina Home Insurance for Cheap Coverage
Compare the Best Home Insurance Companies in North Carolina
| Average Annual Premiums* | AM Best Financial Strength AM Best rates insurance providers creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim. | J.D. Power Customer Satisfaction** J.D. Power scores are based on surveys for customer satisfaction and product quality. | ||
|---|---|---|---|---|
| Pin Nationwide | $1,633 | A+ | 808 | |
| Pin USAA | $1,421 | A++ | 889 | |
| Pin Erie Insurance | $1,557 | A+ | 839 | |
| Pin Allstate | $1,961 | A+ | 829 | |
| Pin Travelers | $1,016 | A++ | 803 |
Information accurate as of August 2021
*Data provided by Bankrate.com
**J.D. Power 2020 Home Insurance Satisfaction Study. Based on a 1,000-point scale.
Nationwide
Best for Savings
Why we chose it
Why we chose it
Pros
- Brand New Belongings policy
- Wide range of discounts
- Better roof replacement
Cons
- Lower-than-average customer satisfaction
- Mobile app not geared toward home insurance management
Add-on Coverage
- Better roof replacement
- Replacement cost
- Identity theft
- Valuables Plus
- Water backup
- Earthquake
- Flood insurance
Available Discounts
- Multi-policy
- Protective device
- Claims-free
- Home renovation credit
- Roof rating
- Recent home purchase
- Prior insurance
- Gated community
More Nationwide Insurance Reviews
* Data provided by Bankrate.com
**J.D. Power’s 2020 U.S. Home Insurance Study. Based on a 1,000-point scale.
USAA
Best for Military-Focused Coverage
Why we chose it
Why we chose it
Pros
- Outstanding customer service
- Policies tailored to military family needs
- Competitive pricing
Cons
- Only available to current and former military members and their families
- Limited discounts
Add-on Coverage
- Earthquake
- Flood insurance
- Home sharing
Available Discounts
- Save up to 10% if you bundle with auto
- Claims-free discount
- Home security system/protective devices discount
More USAA Insurance Reviews
* Data provided by Bankrate.com
**J.D. Power’s 2020 U.S. Home Insurance Study. Based on a 1,000-point scale.
Erie
Best for Basic Coverage
Why we chose it
Why we chose it
Pros
- Thorough base policy
- Offers flood insurance
- Great customer satisfaction ratings
Cons
- No mobile app for home insurance
- Not many online capabilities
- Can’t file a claim online
Add-on Coverage
- Water backup/sump overflow
- Identity recovery
- Service line protection
Discounts Available
- Protective devices
- Advanced quote
- Multi-policy
More Erie Insurance Reviews
* Data provided by Bankrate.com
**J.D. Power’s 2020 U.S. Home Insurance Study. Based on a 1,000-point scale.
Allstate
Best for Coverage Options
Why we chose it
Why we chose it
Pros
- Agents and offices throughout North Carolina
- Many unique coverage options
- Allstate Digital Locker helps you create a quick inventory of your household possessions
Cons
- Higher-than-average premiums
- Lower than average customer satisfaction rating
Add-on Coverage
- Green home
- Identity fraud
- Water backup
- Yard and garden
- Jewelry/valuable items
- Electronic data recovery
- Business property
- Musical instruments
- Sports equipment
Discounts Available
- Multi-policy
- Responsible payment
- Claims-free
- Welcome and loyalty
- New homebuyer
- Protective device
- Early signing
- Easy pay plan
More Allstate Insurance Reviews
* Data provided by Bankrate.com
**J.D. Power’s 2020 U.S. Home Insurance Study. Based on a 1,000-point scale.
Travelers
Best for Cheap Coverage
Why we chose it
Why we chose it
Pros
- National homeowners insurance coverage
- Multiple coverage options
- Discounts available for policy bundles and green homes
Cons
- Below average claims and customer satisfaction
- You might have to complete purchase over the phone
Add-on Coverage
- Green home
- Identity fraud
- Water backup
- Personal articles floater
- Jewelry/valuable items
- Replacement cost
- Special personal property
Discounts Available
- Multi-policy
- Early quote
- Protective device
More Travelers Insurance Reviews
* Data provided by Bankrate.com
**J.D. Power’s 2020 U.S. Home Insurance Study. Based on a 1,000-point scale.
Average Cost of Homeowners Insurance in North Carolina
Bankrate.com’s 2021 data on the average cost of homeowners insurance by state shows that North Carolina rates were roughly $1,295 per year for $250,000 in dwelling coverage. Home insurance rates for North Carolina are close to South Carolina’s annual insurance rate, which is $1,142 per year. North Carolina homeowners tend to pay lower rates than homeowners in Tennessee and Georgia, though, where the average premiums are $1,625 and $1,376, respectively. While these rates represent average quoted annual premiums, each homeowner’s rates will vary based on their home value and unique circumstances.
North Carolina includes several islands such as Hatteras, Roanoke and Pleasure Island and is located along the Atlantic where hurricanes threaten landfall each year. In fact, the state is the third-most prone to hurricanes in the country. However, more destructive hurricanes seem to skip the state which could be the reason average homeowners insurance rates in this state are comparatively lower — no Category 5 hurricanes have ever hit North Carolina.
The Cheapest Homeowner Insurance Companies in North Carolina
| Home Insurance Company | Average Annual Premium* |
| UNIVERSAL Ins CO Grp | $785 |
| Bankers Ins Grp | $867 |
| Kemper | $905 |
| Lititz Mut Grp | $954 |
| Lighthouse Prop Ins Corp | $954 |
| North Carolina Farm Bureau | $982 |
| Travelers | $1,016 |
| Heritage Ins Holdings Grp | $1,017 |
| State Auto Insurance | $1,066 |
| MetLife | $1,267 |
| USAA | $1,421 |
| State Farm | $1,487 |
| Erie | $1,557 |
| Nationwide | $1,633 |
| United Ins Holdings Grp | $1,774 |
| Allstate | $1,961 |
*Based on $250,000 in dwelling coverage
Top 3 Cheapest Homeowners Insurance Companies in North Carolina
- UNIVERSAL Ins CO Grp – $785 average annual premium
- Bankers Ins Grp – $867 average annual premium
- Kemper – $905 average annual premium
Top 3 Most Expensive Homeowners Insurance Companies in North Carolina
- Allstate – $1,961average annual premium
- United Ins Holdings Grp – $1,774average annual premium
- Nationwide – $1,633 average annual premium
Common Home Insurance Perils in North Carolina
North Carolina is situated on the Atlantic Coast and has some perils homeowners may want to take into account when considering homeowners insurance choices. The state has historically ranked in fifth place of states most likely to suffer a natural disaster. The most common perils include:
- Hurricanes: 84 storms since 1851, averaging one hurricane every two years.
- Tornadoes: The “Carolina Alley” spanning North and South Carolina is the fourth-most-active tornado zone in the country. April to early June is the most dangerous season for tornadoes — although they can occur at any moment.
- Wildfires: Robeson County was specifically named in the report of states most likely to get hit by a natural disaster as “very high risk” for potential damage from wildfires.
Add-on home insurance coverage in North Carolina
It’s primarily a matter of time before a natural disaster will occur in this state. While a standard homeowners insurance policy protects you financially against a variety of incidents, other perils must be insured separately. Flooding is one peril you will have to purchase separate coverage for, and is especially important to consider if you live in a floodplain or near the coast.
In addition, some homeowners insurance policies include a separate deductible for hurricanes, which may factor into your policy choices. While some private companies offer flood insurance, others will facilitate the purchase of this separate policy through a government program. Additionally, you may want to explore these resources on your own to prepare for potential floods, hurricanes, or other natural disasters that could affect your home:
- FEMA: The federal government works with insurance companies and homeowners to provide affordable flood insurance.
- Red Cross: The American Red Cross provides online resources to better prepare for disasters.
- ReadyNC: The state-organized website offers preparedness kits, tools, resources and useful contact information in case of an emergency.
North Carolina Home Insurance FAQ
Methodology
We evaluated the companies based on their third-party agency ratings for customer experience, financial stability, as well as coverage options to determine which might be the best providers.
To compare home insurance companies across the board, we considered the following factors:
- Coverage: The more options a home insurance company has for insurance add-ons and coverages, the higher it scores in our methodology.
- Customer Experience: We reviewed the National Association of Insurance Commissioners’ National Complaint Index and compared each homeowners insurance company’s complaint rating.
- Customer Satisfaction: With J.D. Power’s 2020 Home Insurance Satisfaction Study, we assigned a score to each company based on the rating it received.
- Financial Stability: Reviews.com utilized AM Best ratings to assign a score based on each home insurance company’s financial stability.
- Discounts: We reviewed and compared the number of discounts advertised on each home insurance company’s website. The more available discounts, the higher the score in this metric.
Rates are based on quoted annual premiums from Bankrate.com. These are sample rates and should be used for comparative purposes only. Your quotes may be different.
The coverage limits for home insurance rates reflect the following coverage and limits:
- Coverage A, Dwelling: $250,000
- Coverage B, Other Structures: $25,000
- Coverage C, Personal Property: $125,000
- Coverage D, Loss of Use: $50,000
- Coverage E, Liability: $300,000
- Coverage F, Medical Payments: $1,000
The homeowners also have a $1,000 deductible and a separate wind and hail deductible (if required).
About the Authors
Cynthia Paez Bowman is a contributing writer for Reviews.com. Over the last two years, she has covered insurance, home security and more. She has been featured in MSN, Bankrate, Coverage.com, The Simple Dollar and GOBankingRates. She has dual bachelors degrees in International Business and Journalism from American University in Washington, D.C. “Is It Getting Harder to Get Home Insurance in High-Risk Areas?” is Cynthia’s favorite story on Reviews.com.
