The 5 Best Kentucky Homeowners Insurance Companies
Kentucky’s annual premiums for homeowners insurance are on the low side — on average $1,023 per year for an HO-3 policy, compared to the nationwide average of $1,132. That said, how much you’ll pay can vary a lot depending on your home’s size, your assets, and your address. Use our tool to find your best rates:
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With a rich agricultural history and an abundance of natural wonders, Kentucky is a great place to call home. What’s more, the cost of living in the Bluegrass State is significantly cheaper than the rest of the country, meaning home ownership is an achievable reality for Kentuckians young and old. Due to its central location, however, Kentucky is also home to plenty of severe weather; think tornados, flash floods, and the occasional snowstorm.
To protect your property and belongings against unexpected damage, it’s essential to find a comprehensive home insurance plan that covers your specific needs. Luckily homeowners insurance in Kentucky is fairly affordable too; the average annual rate is $1,023 compared to the national rate of $1,132.
Whether you’re a city dweller living in artistic Louisville or a fourth-generation farmer, you’ll want to ensure your plan fully covers the replacement cost of your home (which does change, so it’s useful to revisit your policy every few years). If you’re buying homeowners insurance in Kentucky for the first time, you’ll want an affordable rate from a well-vetted company. Premiums vary depending on where you live in the state so we always recommend applying for a quote yourself. Use the tool below to get started.
How We Found the Best Homeowners Insurance in Kentucky
We evaluated the five largest homeowners insurers in Kentucky using a similar approach to the one applied in our countrywide review of insurance companies. To select the best homeowners insurance company, we looked at factors such as coverage options, financial strength, customer service, online tools, and more. We talked to experts in the state to ensure we covered all our bases and went through the quote process to get a comprehensive understanding of each provider’s strengths and weaknesses. Here’s what we found out.
Kentucky Homeowners Insurance Reviews
Overall, Allstate scored high almost entirely across the board when we evaluated its insurance offerings. What really impressed us was the stellar learning center available on its website, which is ideal for any first-time insurance purchaser trying to wrap their brain around confusing industry terms. We found the Common and Costly Claims tool particularly useful, as it allows you to see the dollar average of common claims based on zip code. This helps you get an understanding of what sort of add-ons you might need or specific coverage you might like to prioritize.
The variety of discounts offered also helps keep Allstate’s quotes relatively low. It offers the sort of discounts common among industry leaders, as well as a few not-so-common ones, such as the 10 percent welcome discount just for signing up. The multi-policy discount could save you as much as 30 percent, which beats out State Farm’s savings of 22 percent for the same discount.
The downside? Allstate doesn’t rank so hot when it comes to claims management. In fact, Allstate scored the lowest among 14 companies in a Consumer Report’s homeowners insurance survey. Though its claims process may run into hiccups, we didn’t consider it enough to discredit all the benefits of choosing a plan with Allstate.
Liberty Mutual is a well-rounded provider that maintains the high standards set by other national brands such as Allstate and State Farm. The company also offers some unique benefits, like an Emergency Home Repairs service available 24/7. This means that if you report a loss covered by your plan, Liberty Mutual sends out a professional immediately to repair the damage. That’s top-notch service that many customers come to appreciate after the unexpected stress of weather or accidental damage.
Compared to Allstate and State Farm, Liberty Mutual’s online experience is really strong. The endorsements and discounts are easy to find on the site, and the coverage options are clearly outlined. Though we were instructed to call an agent when we attempted to go through the quote process, the agent was accommodating and knowledgeable. What’s more, you can trust that Liberty Mutual will pull through for you should you need to issue a claim. The company has solid financial rankings from A.M. Best and Standard & Poor’s, though both Allstate and State Farm outperformed Liberty Mutual on this front by a slight margin.
State Farm is an industry leader and it’s not hard to see why. The comprehensive educational materials available on the company website make buying homeowners insurance seem manageable and undaunting, which immediately helps put customers at ease. Securing a quote took us less than five minutes, and the deductions and add-ons are presented to you after you receive your initial quote so you can further fine-tune what you need.
Down the line, the quality customer service continues as State Farm earned a 4 out of 5 for damage amount in a Consumer Reports’ homeowners insurance survey, meaning those who’ve had to file a claim found the experience and the amount paid out to them adequate. We especially recommend State Farm to first-time buyers who can educate themselves on the ins and outs of home insurance through State Farm’s robust learning center. The resources available also include an online quote tool, a home inventory calculator, and 24/7 customer assistance.
USAA is an unusual provider in that it’s only available to current and former members of the US military and families. For this reason, we weren’t able to obtain USAA quotes for homes in Kentucky, though the agent we spoke through over the phone did try to look up if any distant relatives could qualify us for their services.
If you do qualify for USAA’s coverage, you’ll be happy to know that the provider ranked 2nd out of 14 companies in the Consumer Reports customer survey. People who have USAA insurance seem to be really satisfied with it, at least partially due to the company’s strong financial stability and its willingness to cover higher replacement costs than many competitors. Potential downfalls include a somewhat lacking website with educational materials that don’t stack up against Allstate’s or State Farm’s. While USAA does clearly explain its offered discounts on its site, we found its outline of different coverage plans somewhat confusing. That being said, USAA is still a great option if you don’t plan to rely on USAA’s online resources and you have a family member previously or currently in the US military (or meet these requirements yourself).
Kentucky Farm Bureau
Though Kentucky Farm Bureau is a trusted provider in the state, we were disappointed with the lack of online resources, especially the lack of an online quote tool, so we awarded it fifth place in our review. The company does have a local office in every county in Kentucky however, so contacting an agent and receiving a quote can still be an easy, well-explained process so long as you’re willing to drive out to the location nearest you.
When you sign up with Kentucky Farm Bureau, you reap member benefits that go far beyond home insurance. KY Farm Bureau grants you access to banking services, student scholarships, discounts at commercial partners, and more. Though the website leaves a lot to be desired, the home insurance page does outline endorsements and additional coverages well. If you’re someone who prefers a local, in-person experience when it comes to dealing with home insurance, we recommend you talk to a KY Farm Bureau agent about obtaining a quote.
You Should Know Your Home’s Replacement Value
Do you already have homeowners insurance? It’s still worthwhile to reevaluate your policy because policyholders are likely to be underinsured. This is due to the fact that people sometimes insure their homes for the amount they paid for it rather than the amount it would cost to rebuild the home entirely should it be destroyed. Multiply your home’s square footage with the average cost of building materials in your area to get a rough estimate of what that cost might look like.
Wind, Lightening, and Disaster Preparedness
Kentucky declared a state of disaster four times in 2015, which is a sharp increase from previous years where only one to two were recorded per year. While this isn’t necessarily a trend, it is something to note as inclement weather has been increasing in severity in other parts of the country.
Wind, water damage, and lightning are the most common and costly claims in the region, all of which are typically covered in standard plans. That being said, you should prepare yourself for whatever severe weather your home is particularly susceptible to by adding on the necessary endorsements to give you peace of mind.
It Might Be Worth It It To Pay a Little More for Flood Protection
Some of those disasters mentioned above fall into the category of flash flood, a natural event often uncovered by standard policies. Though Kentucky is home to rolling hills and fairly moderate weather, it’s important to know your risk of incurring damage caused by such an event. To calculate your risk, you can input your address here. Most major providers such as Allstate and State Farm will offer water coverage for an additional cost.
The Bottom Line
Kentuckians are lucky to have strong local and national options when it comes to affordable homeowners insurance, which generally costs slightly less than the national average. Because flash floods are a possibility in Kentucky, it’s important you look into additional coverage if you’re in an area susceptible to severe weather. Check out our quote tool below to get started.
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