The five insurance providers that we looked to find the best homeowner insurance in Hawaii included two major players in the industry (Allstate and State Farm) as well as several regional carriers. All our choices, large or small, do a good job of providing reasonably-priced, comprehensive homeowner insurance in the island-state, and were evaluated for financial stability, customer service, and breadth of coverage. That information, coupled with some well-chosen quotes, should enable you to pick the company that is best suited for you.
The Five Best Homeowners Insurance Companies in Hawaii
- State Farm
- First Insurance Company of Hawaii
- Hawaiian Insurance and Guaranty Company
- Universal North American Insurance
|Allstate||State Farm||First Insurance of Hawaii||Hawaiian Insurance and Guaranty||Universal North American|
|Our review||Our review||Our review||Our review||Our review|
|A.M. Best Financial Strength Rating||A+||A++||A+||B||A-|
|J.D. Power Overall Customer Satisfaction Score (Relevant region)||3/5||3/5||N/A||N/A||N/A|
|Online Quote Tool||✓||✓||X||X||X|
|Compare rates||Compare rates||Compare rates||Compare rates||Compare rates|
Average Cost of Homeowners Insurance in Hawaii
The average cost of homeowner insurance in Hawaii is $398 for a simple policy. This is well below the national average of $1,211 but it doesn’t tell the whole story. Hawaii homeowners will want to consider additional coverage for hurricanes, which is usually not included in basic policies.
In addition, if you live in some areas of the Island of Hawaii, better known as the “Big Island”, there is a risk of lava flow, a disaster not commonly covered by most policies. You’ll want to talk to your agent about add-ons, called amendments, that can provide coverage for these perils. Unfortunately, that will add additional costs to your premium — but it’s money well spent if it saves you from a disaster.
Home Insurance add-ons that will further protect you-
In addition to hurricane and lava coverage, there may be other coverages that could be useful for you. A handy tool that can help you find out what the most common perils are in your area is Allstate’s Common & Costly Claims tool, which allows you to put in your zip code to see what sort of disasters are prevalent in your area.
For example, the most common claim in the coastal 96740 zip is water damage. So you’d want to be sure that your policy covers all types of water damage, from flood waters to sewer backups — both of which may require supplemental insurance.
Helpful Resources for Hawaii Homeowners
One helpful resource for all Hawaii residents is the state’s Insurance Division of the Department of Commerce and Consumer Affairs. This site includes valuable consumer information including lava flow insurance and directions for filing an insurance-related complaint.
Another website that can help you make decisions about your insurance is the Federal Emergency Management Agency’s (FEMA) Flood Map Service Center. Here, you can input your address and find out if your home is in a designated flood zone. If it is, talk to your agent about supplemental flood insurance, which is available through most insurers but is not part of a basic policy.
Need to know the basics on homeowner insurance, like what documentation you’ll need and the steps you need to take? The National Association of Insurance Commissioners (NAIC) has a helpful booklet, A Consumer’s Guide to Home Insurance, that you can download for free.
Using the methodology that we developed for our best homeowners insurance review, we took a close look at the top homeowner insurance companies in Hawaii by market share. These are the companies that have the strongest presence in the state, with agents who have feet-on-the-ground information that can help you choose the best coverage for your home.
We looked at the financial strength of each company as determined by AM Best and Standard & Poors, so that you can be sure you’ll receive your claim check in a timely manner even if there is a regional disaster. We looked at customer service rankings to help determine whether you are likely to connect with a friendly, competent company representative when you need one.
Lastly, we took a deep dive into each website, to see how easy it was to do simple things like pay your bill or get an online quote. We noted whether the site included supplemental informational material to help you learn more about insurance and better understand your own policy.
Best Hawaii Homeowners Insurance Companies
- Robust discount list
- Easy-to-use website
- Easily customized coverage
- Lackluster customer service
Allstate was tied with North American Insurance Company for the lowest sample quote of all we gathered, and the company has much to recommend it. It has an A+ rating from AM Best, meaning it has the financial resources to pay out even after a wide-spread disaster. It has a great website that makes it easy to take care of the business of managing your policy online, and a decent blog that can help you get up to speed if you’re an insurance newbie.
In addition to standard coverage options, Allstate features some nice optional ones as well, such as electronic data recovery and green improvement reimbursement, that most insurers don’t offer. Similarly, its robust discount list includes a 55 and retired discount, early signing, and a 10% welcome discount that can bring your premium down even more.
The only quibble we have with Allstate is that its customer satisfaction rankings are not at the top of anyone’s list. J.D. Power gives the company 814 out of 1,000, below the industry average of 816. Similarly, Consumer Reports gives it an 82 out of 100.
- Financially stable
- Excellent quote tool and website
- Solid customer service
- Discounts are limited
As the #1 writer of homeowner insurance in the U.S., State Farm is the Big Kahuna for homeowner insurance in Hawaii. It enjoys AM Best’s highest rating — A++ — which means, basically, that it couldn’t be any more financially stable than it is.
It’s website may be our favorite among insurance companies. It’s well laid out, features an excellent blog, and has a more detailed quote tool than any other we’ve seen. It may take you a few minutes to get a quote because you’ll be asked quite a few questions; but that’s good. The quote you get will be customized and adjusted to reflect your property, situation, and wishes.
For a company with State Farm’s street cred, it’s surprising that its discount list is so small. There’s a multiple policy discount, one for burglar or fire alarms, and one if you use certain types of roofing material — and that’s it. But that said, its quotes tend to be reasonable, so you should be able to craft a policy that gives you excellent coverage for a minimal cost.
First Insurance Company of Hawaii
- Solid financial backing
- Low premium rates
- Good customer service
- Few optional coverages
- Few discounts
First Insurance Company of Hawaii is a regional company whose agents are experienced in the particular needs of Hawaii homeowners. Although it’s a fairly small company,owned by an international insurance corporation known as Tokio Marine, they enjoy the financial backing that might not be available as a stand-alone enterprise.
The Better Business Bureau gives First Insurance Company a solid A+ for customer service, and our friendly agent gave us a quote that was at the lower end of the scale.
Having said that, the company offers few optional coverages or discounts, so it’s hard to customize your account the way you would with a larger company. One that stood out for us, though, was a 40% discount for going claim-free — a significant savings that is higher than we saw with any other company.
Hawaiian Insurance & Guaranty Company
- Liberal discount list
- Experienced in Hawaii
- Possibly pricey
- “B” financial rating
Hawaiian Insurance & Guaranty Company (HIG) has been writing policies in the Aloha State since 1915. That means more than 100 years of experience in dealing with the changeable — and sometimes violent — Hawaii weather and the challenges that can bring to homeowners.
We found a few minor red flags, however. The company has a “B” rating from AM Best — which is a passing grade, meaning that the company is fairly sound financially, but it’s lower than anyone else on our list. We also received our highest price quote from HIG, but remember that your own quote will differ.
One thing we did like was the company’s discount list, which is extensive for such a small company. It includes a loss-free discount, one for superior construction, and even a discount if you’re a union member.
Universal North American Insurance
- 24/7 customer service
- Online claim tool
- Clunky website
Like First Insurance Company, Universal North American is a smaller company owned by a larger conglomerate: in this case, Universal Insurance Company of Puerto Rico, which offers insurance across the U.S. That means you’ve got a bit more stability and financial backing, which is reflected in the company’s decent A- rating with AM Best.
Unlike our other smaller companies, Universal North American does have an online claim tool for claims that do not require emergency assistance. The website itself, however, is bare-bones, with little information available for customers and an “information center” that does nothing except offer links to sites like The Weather Channel and NPR.
The company does provide 24/7 claims service and a listing of preferred, licensed vendors if you need to hire a repair person. It has an A- rating with the Better Business Bureau, so clearly the company takes customer service seriously.
The Cheapest Homeowner Insurance Companies In Hawaii
|Homeowner Insurance Companies||Average Annual Premium|
|Universal North Amer Ins Co||$250.00|
|First Insurance Co of Hawaii||$274.00|
|Hawaiian Ins & Guar Co Ltd||$442.00|
Homeowner Insurance by Age of Home
|Credit Rating Tier||Average Annual Premium|
|Average Across Credit Rating Tiers||$398|
Quadrant home insurance rate data as of 12/01/2019.
Top Three Cheapest Homeowner Insurance Companies in Hawaii
•Allstate – $250
• Universal North American Insurance – $250
• First Insurance Company of Hawaii – $274
Top Two Most Expensive Homeowner Insurance Companies in Hawaii
• State Farm – $369
• Hawaiian Insurance & Guaranty Company – $442
There was not that big a range between the cheapest and most expensive homeowner insurance quotes that we received for our sample home. The takeaway from that is the fact that each company has a slightly different way of determining premiums, so if you ask five companies for quotes, you are likely to get five different answers for roughly the same coverage.
Although cost shouldn’t be the only factor you consider in your own insurance, you do want to get the best policy for the least amount of money. So your first step should be to gather a range of quotes, keeping in mind that your own quotes will be different than what we received, based on the value of your home and its location, your own credit worthiness, and other factors.
Homeowners Insurance FAQ
The two cheapest quotes we received were from Allstate and Universal North American — a large, national company and a regional insurer. Both are worth considering, as are our other choices. Remember: your own premium may be different, and one of our higher-end companies could offer you the lowest costs.
It’s impossible to pick one “cheapest provider” for everyone, since each property is unique as are the circumstances of each homeowner. All five of our chosen companies offer reasonable rates, decent customer service, and a range of options for coverage.