The potential risk of extreme natural events in Arizona makes home insurance a necessity for homeowners. Luckily, Arizona enjoys a lower-than-average cost for their insurance and we analyzed the largest companies by market share in home insurance, comparing costs, coverage options, available discounts, J.D. Power ratings, and financial ratings like AM Best and S&P to find the best choices for homeowners in the state.
After reviewing top carriers for Arizona homeowners insurance, we’ve selected State Farm as the state’s top carrier. It’s superior customer service, intuitive app, and excellent financial ratings make State Farm rise above the competition. Additional carriers were evaluated and we’ve included them as well.
The 5 Best Homeowners Insurance Companies in Arizona
|State Farm||Auto-Owners Insurance||American Family Insurance||USAA||COUNTRY Financial|
|Our review||Our review||Our review|
|A.M Best Financial Strength Rating||A++||A++||A||A++||A+|
|J.D. Power 2019 Overall Customer Satisfaction Score||4/5||4/5||3/5||5/5||3/5|
|Online Quote Tool||✓||X||✓||✓||X|
Average Cost of Homeowners Insurance in Arizona
The average cost of homeowners insurance in Arizona is $847 a year, $350 lower than the national average of $1,211. The price of your personal quote, however, depends on several factors, including if you live in an area prone to unpredictable weather and the size and age of your house.
Home Insurance Add-Ons That Will Further Protect You
Arizona is susceptible to certain natural disasters such as flooding. Homeowners policies rarely cover flood insurance, so expect to purchase it as an add-on. Another concern for Arizona residents is earthquakes. Arizona has a seismic belt that runs from the northwest to the southeast. Homeowners insurance doesn’t cover earthquakes by default, so earthquake insurance has to be added separately.
Helpful Resources for Arizona Homeowners
The Arizona government designed a website to help homeowners navigate their way through buying insurance. It offers advice on how to reduce costs, insurance terms that shoppers should know, questions to ask, and more.
The website also offers contact information for National Flood Insurance Program associates and a guide to reviewing your coverage. There are several comprehensive guides to help homeowners find the right insurance and maintain the best coverage.
To determine the best homeowners insurance companies in Arizona, we started with the state’s largest companies by market share. We analyzed their financial standings from AM Best, S&P, and Moody’s. We also looked at their overall customer satisfaction ratings from the J.D. Power 2019 Home Insurance Study, while comparing in the process, the average annual premiums, offerings, and discounts.
We worked with Quadrant Information Services to provide data on home insurance rates by company, state, and age of home. Quadrant makes this information available using rate data that insurers are required to file with the state Department of Insurance. Rates are based on a sample profile created by Reviews.com for comparative purposes.
Best Arizona Homeowners Insurance Companies
- Strong customer service ratings
- Convenient app
- Fewer discount options
- High average premiums
State Farm has a high overall customer service rating from J.D. Power. One of the tools customers appreciate is their mobile app, through which they can manage policies, transfer money, file claims, and more.
However, the annual premiums for State Farm in Arizona are on the higher end of average. What’s more, customers looking to save extra money with possible discounts might have trouble finding them with this provider. Although they do offer discounts, there are less than what some other companies offer.
- Highly rated company overall
- Several discount options
- No online quotes or claims
Auto-Owners Insurance has been around for 100 years, and in that time they have built a strong reputation. They boast superior financial strength rating from A.M Best, so you can trust them to pay out any claims filed, and a high customer satisfaction rating from J.D. Power.
Arizona homeowners who like handling insurance business online may be a little disappointed, however, as Auto-Owners Insurance focuses on in-person or telephone contact, so customers can’t get quotes or file claims digitally.
American Family Insurance
- Digital tools
- Personalized homeowners coverage assistant
- Limited added coverage
American Family Insurance offers customers a great online experience. Their website has a collection of helpful resources for their customers. These tools include an insurance calculator, an inventory worksheet, and a first-time buyer’s guide, among other resources.
Arizona homeowners can also get help from a professional through the company’s personalized coverage assistant which details every policy American Family Insurance offers to determine what kind of coverage is best for them.
One issue homeowners might run into is the lack of options for added coverage for customers who seek added protection.
- Military uniform coverage
- High customer ratings
- Only available to the military
USAA is only available to current military members, veterans, and their families, but that community may find USAA helpful as their homeowners insurer.
USAA has unique coverage offerings, such as the protection of military uniforms. Active military members can get a replacement for a lost or stolen uniform. Policies like this are the reason why USAA has the highest rating in J.D. Power’s customer satisfaction survey.
- Multiple coverage options
- Several possible discounts
- Average customer rating
COUNTRY Financial has three policy tiers for homeowners insurance. Arizona homeowners can choose between basic coverage, premier coverage, or a combination of both. It also offers several possible discounts for customers. You can get discounts for the age of your wiring, a new roof, alarm credit, and more.
One thing to note is that COUNTRY Financial’s J.D. Power rating is only average as compared to some other companies we’ve reviewed. If you want swift and high-rated customer service, you may need to look elsewhere.
The Cheapest Homeowners Insurance Companies in Arizona
|Homeowner Insurance Companies||Average Annual Premium|
|CSAA Fire and Cas Ins Co||$607|
|American Family Insurance||$720|
|Farm Bureau Prop & Cas Ins Co||$748|
|Armed Forces Ins Exch||$1,143|
|Average Across Credit Rating Tiers||$1,012|
Cost of Homeowners Insurance by Age of Home
|Age of Home Tier||Average Annual Premium|
|Average Age of Tier||$1,305|
Top 3 Cheapest Homeowners Insurance Companies in Arizona
- Progressive – $447
- Nationwide – $578
- CSAA Fire and Casualty Insurance Company – $607
Top 3 Most Expensive Homeowners Insurance Companies in Arizona
- COUNTRY Financial – $2,019
- Travelers – $1,522
- Chubb – $1,399
The cheapest homeowners insurance companies in Arizona are Progressive, Nationwide, and CSAA Fire and Casualty Insurance Company. The most expensive homeowners insurance companies are COUNTRY Financial, Travelers, and Chubb.
These average annual premiums are based on general profiles. To find the best value for the coverage you need, contact each company that you’re interested in and request a personalized quote that fits your circumstances.
Homeowners Insurance FAQ
Is homeowners insurance required in Arizona?
No state law requires Arizona residents to have homeowners insurance. But your mortgage company may require you to purchase homeowners insurance to protect its assets.
What is the cheapest homeowners insurance in Arizona?
The cost of home insurance in Arizona varies depending on each purchaser’s individual situation. We used a general profile to gauge each company’s average annual premium. Based on the profiles used, the cheapest homeowners insurance in Arizona is Progressive, which costs an average of $447 per year.