HomepageInsuranceHomeownersThe Best Homeowners Insurance Companies in Tennessee
Last updated on Oct 28, 2020

The Best Homeowners Insurance Companies in Tennessee

Fact-checked with HomeInsurance.com ​

Find the Best Home Insurance

Please enter a valid zip code

Click at least 2-3 companies to find the very best rate.

    Advertiser Disclosure:
    We recommend products and services based on unbiased research from our editorial team. We make money via affiliate links, which means if you click a link on our site, we may earn a commission. Any commissions we receive do not affect our recommendations; if you want to know more about how that works, read more.

    Tennessee homes range from historic farmhouses to cozy urban bungalows. Our top Tennessee home insurance providers offer coverage for all types of homes. Foremost Insurance writes policies for hard to insure homes, Allstate covers all types of dwellings, and Shelter Mutual offers flexible policies with varying levels of coverage. And some of the companies that performed well in Tennessee, are also among the best homeowners insurance in the U.S. 

    To find the best homeowners insurance companies in Tennessee, we analyzed insurers’ market share and compared their coverages, consumer ratings, discounts, financial ratings, and prices.

    The 5 Best Homeowners Insurance Companies in Tennessee 

    Compare Tennessee’s Top Insurance Companies 


    Average PriceAM Best Financial StrengthJ.D. Power Overall Customer Satisfaction*
    Allstate$1,053A+829
    Auto-Owners Insurance$1,123A++843
    Erie Insurance$971A+839
    Foremost Insurance$1,469AN/A
    Shelter Mutual Insurance$1,392AN/A

    *Based on a 1,000-point scale.

    Allstate

    Based on our research, Allstate offers the second lowest home insurance rates in Tennessee. Allstate’s standard policies include all the basic coverages you expect from a major home insurance provider and its optional coverages help further protect your business property and valuable items such as musical instruments and sports equipment.

    Allstate

    Affordable Premiums

    Why we chose it

    Allstate tops our list as a provider with affordable premiums, a variety of policy options, and extensive discount opportunities. Allstate policies are backed by sound financial ratings and its local agents offer the personal touch when you need to file a claim or buy more insurance.
    • 4 Reviews Score
    • A+ AM Best Rate AM Best rates car insurance provider’s creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim.
    • 829* J.D. Power J.D. Power scores are based on surveys for customer satisfaction and product quality.
    • A+ BBB Rating The BBB rates companies based on trustworthiness and performance. The company uses a variety of factors, including how the company handles customer complaints.

    Why we chose it

    Allstate tops our list as a provider with affordable premiums, a variety of policy options, and extensive discount opportunities. Allstate policies are backed by sound financial ratings and its local agents offer the personal touch when you need to file a claim or buy more insurance.

    Pros

    • Diverse discount opportunities
    • Informative website and digital tools
    • Above-average customer service

    Cons

    • NAIC complaint index high
    Read More

    Discounts available

    • Early signing discount
    • Home buyer discount
    • Hail-resistant roof discount

    Unique features

    Allstate’s discount list is longer than most national insurers. You could save up to 10% on your premiums if you sign up for your new policy at least 7 days before the current one expires.

    *J.D. Power 2020 Home Insurance Customer Satisfaction Survey, based on a 1,000-point scale.

    Further Reading on Allstate:

    Auto-Owners Insurance

    Although Auto-Owners Insurance doesn’t offer the cheapest home insurance rates, it does provide a well-rounded selection of standard and optional coverages to protect Tennessee homeowners. The provider’s optional coverages help protect your most valuable possessions, cover identity theft expenses, and help pay for damages caused by dreaded sewer disasters.

    Auto-Owners

    Great Optional Coverages

    Why we chose it

    Most home insurance companies offer comprehensive standard policies, but Auto-Owners pulls ahead of the pack with its optional coverages. Its Homeowners Plus option pays for damages caused by leaking household appliances, plus food spoilage costs caused by power outages. The provider’s equipment breakdown coverage pays to replace faulty mechanical systems and its identity theft expense coverage pays up to $15,000 in identity restoration costs.
    • 4 Reviews Score
    • A++ AM Best Rate AM Best rates car insurance provider’s creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim.
    • 843* J.D. Power J.D. Power scores are based on surveys for customer satisfaction and product quality.
    • A+ BBB Rating The BBB rates companies based on trustworthiness and performance. The company uses a variety of factors, including how the company handles customer complaints.

    Why we chose it

    Most home insurance companies offer comprehensive standard policies, but Auto-Owners pulls ahead of the pack with its optional coverages. Its Homeowners Plus option pays for damages caused by leaking household appliances, plus food spoilage costs caused by power outages. The provider’s equipment breakdown coverage pays to replace faulty mechanical systems and its identity theft expense coverage pays up to $15,000 in identity restoration costs.

    Pros

    • Customer satisfaction rating
    • Sound financial ratings
    • Good selection of optional coverages

    Cons

    • Higher rates than some carriers
    • Not available in some states
    Read More

    Discounts available

    • Multi-policy discount
    • Green discount
    • Automatic backup generator discount

    Unique features

    Auto-Owners’ optional coverages help protect your home and possessions. Guaranteed home replacement cost coverage helps cover the cost of rebuilding your home when your dwelling coverage falls short and the ordinance of law add-on helps bring your home up to code following a covered loss.

    *J.D. Power 2020 Home Insurance Customer Satisfaction Survey, based on a 1,000-point scale.

    Further Reading on Auto-Owners Insurance:

    Erie Insurance

    Erie Insurance backs its homeowners policies with good financial and customer satisfaction ratings. Although the carrier offers few home insurance discounts, you can save up to 25% when you buy multiple policies. Some standard Erie homeowners policies include guaranteed dwelling replacement cost coverage, along with $500 in pet coverage and personal liability that covers you even when you’re away from home.

    ERIE Insurance

    Great Standard Policies

    Why we chose it

    With good financial ratings, high customer satisfaction scores, and low rates, Erie Insurance was certain to make our cut. But we’re equally impressed with Erie’s standard coverages. Most carriers charge extra for pet coverage, but Erie includes up to $500 in pet coverage in all standard policies. Erie’s personal liability coverage protects you when you’re on the road and its personal property coverage helps replace lost and misplaced belongings.
    • 4.25 Reviews Score
    • A+ AM Best Rate AM Best rates car insurance provider’s creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim.
    • 839* J.D. Power J.D. Power scores are based on surveys for customer satisfaction and product quality.
    • A+ BBB Rating The BBB rates companies based on trustworthiness and performance. The company uses a variety of factors, including how the company handles customer complaints.

    Why we chose it

    With good financial ratings, high customer satisfaction scores, and low rates, Erie Insurance was certain to make our cut. But we’re equally impressed with Erie’s standard coverages. Most carriers charge extra for pet coverage, but Erie includes up to $500 in pet coverage in all standard policies. Erie’s personal liability coverage protects you when you’re on the road and its personal property coverage helps replace lost and misplaced belongings.

    Pros

    • Customer satisfaction ratings
    • Low rates
    • Multi-policy discounts from 16% to 25%

    Cons

    • Limited availability
    • Not many discounts
    Read More

    Discounts available

    • 16% to 25% multi-policy discount
    • Safety and security devices discount
    • Advanced quote discount

    Unique features

    Erie’s standard home insurance policies go the extra mile by providing $500 in pet coverage and liability coverage that protects you even when you vacation abroad. And Erie’s guaranteed replacement cost dwelling coverage pays to rebuild your house based on current construction costs, not your home’s actual cash value.

    *J.D. Power 2020 Home Insurance Customer Satisfaction Survey, based on a 1,000-point scale.

    Further Reading on Erie Insurance:

    Foremost Insurance

    Foremost didn’t make the cut in J.D. Power’s 2020 U.S. Home Insurance Study and has good, but not exceptional financial ratings. However, Foremost excels by covering property and homeowners that other providers turn down. Foremost specializes in non-standard home insurance coverage, for older homes with a market value below rebuild costs and for homeowners with credit problems. 

    Foremost Insurance

    Non-standard Coverage

    Why we chose it

    Although Foremost doesn’t rank as highly as other carriers for its customer satisfaction or financial strength, we think it’s important to recommend insurers for all types of homeowners. Tennessee homeowners who own older, hard to insure houses, as well as those who’ve experienced credit problems can often purchase the home insurance they need through Foremost Insurance.
    • N/A Reviews Score
    • A AM Best Rate AM Best rates car insurance provider’s creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim.
    • N/A J.D. Power J.D. Power scores are based on surveys for customer satisfaction and product quality.
    • A+ BBB Rating The BBB rates companies based on trustworthiness and performance. The company uses a variety of factors, including how the company handles customer complaints.

    Why we chose it

    Although Foremost doesn’t rank as highly as other carriers for its customer satisfaction or financial strength, we think it’s important to recommend insurers for all types of homeowners. Tennessee homeowners who own older, hard to insure houses, as well as those who’ve experienced credit problems can often purchase the home insurance they need through Foremost Insurance.

    Pros

    • Writes policies for homes that don’t qualify for standard coverage
    • Accepts applicants with credit problems

    Cons

    • Customer satisfaction
    • Good, but not great financial strength
    Read More

    Available discounts

    • None

    Unique features

    Foremost’s non-standard homeowners policies can cover homes that have a lower market value than their rebuild cost, like older or historic homes. The provider also covers homeowners who’ve been turned down because they have more than one dog and folks with credit issues.

    **Some providers don’t have enough third-party ratings to calculate a score.

    Further Reading on Foremost Insurance:

    Shelter Mutual Insurance

    Shelter Mutual Insurance has earned average financial ratings and didn’t rank in the 2020 J.D. Power Home Insurance Study. But Shelter stands out in the crowd with its flexible home insurance policies. Shelter offers two levels of homeowners coverage. A Shelter home insurance policy provides maximum protection, while a dwelling insurance policy gives you the option to add covered perils based on your needs.

    Shelter Mutual Insurance Company

    Flexible Homeowners Policies

    Why we chose it

    Some homeowners need more protection than others do. Shelter’s flexible homeowners policies enable you to choose a comprehensive policy, which covers most major perils, or a policy that allows you to pick and choose the perils for which you want protection. Shelter also offers an impressive selection of optional coverages for everything from boat docks to home-based businesses.
    • N/A Reviews Score
    • A AM Best Rate AM Best rates car insurance provider’s creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim.
    • N/A J.D. Power J.D. Power scores are based on surveys for customer satisfaction and product quality.
    • A+ BBB Rating The BBB rates companies based on trustworthiness and performance. The company uses a variety of factors, including how the company handles customer complaints.

    Why we chose it

    Some homeowners need more protection than others do. Shelter’s flexible homeowners policies enable you to choose a comprehensive policy, which covers most major perils, or a policy that allows you to pick and choose the perils for which you want protection. Shelter also offers an impressive selection of optional coverages for everything from boat docks to home-based businesses.

    Pros

    • Flexible coverage options
    • Claims-free discount
    • Inflation protection coverage

    Cons

    • Customer satisfaction ratings
    • Average financial strength
    Read More

    Discounts available

    • Claim-free discount
    • New home discount
    • Protective devices discount

    Unique features

    Shelter’s flexible homeowners policies enable you to choose protection against a comprehensive set of perils or only the ones you consider the greatest threat to your home. Shelter also offers a large selection of optional coverages, which can help offset the cost of fire department charges, cover fraudulent credit card charges, pay for debris removal, and much more.

    **Some providers don’t have enough third-party ratings to calculate a score.

    Average Cost of Homeowners Insurance in Tennessee

    Based on 2019 National Association of Insurance Commissioners data, Tennesseans pay an average annual home insurance premium of $1,196, slightly below the $1,211 national average. Mississippi homeowners pay significantly more for homeowners insurance, around $1,537 on average, while North Carolinians pay more than $100 per year less than Tennesseans.

    Home Insurance Add-Ons That Will Further Protect You 

    Most standard home insurance policies don’t cover earthquake and flood damage, risks that many Tennessee homeowners may face. The United States Geological Survey projects that Memphis, which lies on the New Madrid fault, faces a 25% to 40% chance of experiencing a magnitude 6 or greater earthquake in the next few decades.

    Tennessee often experiences flooding due to heavy rainfall, levee failures, and rivers overflowing their banks. Heavy rainfall inundated Middle and West Tennessee in 2010, killing 26 people and causing an estimated $2 billion in damages, according to the National Weather Service.

    If you live near the New Madrid fault line or in an area prone to flooding, speak with your insurance agent about adding earthquake or flood insurance to your homeowners policy. 

    The Cheapest Homeowner Insurance Companies in Tennessee

    Homeowners Insurance CompaniesAverage Annual Premium
    Erie Insurance$971
    Allstate$1,053
    USAA$1,098
    Auto-Owners Insurance$1,123
    Shelter Mutual Insurance Company$1,392
    Foremost Insurance$1,469
    Tennessee Farmers Mutual Insurance Company$1,517
    State Farm$1,805
    Celina Mutual Insurance Company$2,107
    Average Cost Across Insurance Companies$1,392

    Cost of Homeowners Insurance by Age of Home

    Age of Home (years)Sample Annual Premium
    5$1,392
    20$1,857
    35$1,889
    50$1,890
    Average Across Age of Home Tiers$1,757

    Top 3 Cheapest Homeowners Insurance Companies in Tennessee 

    • Erie Insurance – $971
    • Allstate – $1,053a
    • USAA – $1,098

    Top 3 Most Expensive Homeowners Insurance Companies in Tennessee

    • Celina Mutual Insurance Company – $2,107
    • State Farm – $1,805
    • Tennessee Farmers Mutual Insurance Company – $1,517

    Helpful Resources for Tennessee Homeowners

    The Tennessee Department of Commerce and Insurance publishes annual data on rate changes among major home insurance providers, enabling you to compare how well your insurer competes with other carriers.

    Meanwhile, the federally funded Tennessee Weatherization Assistance Program helps cover the cost of weatherizing the homes of elderly and low income homeowners through a network of nearly 20 nonprofit statewide agencies. Some weatherization improvements can help lower your home insurance price tag, so it will be worth checking if you qualify for the program.

    And for information about obtaining home loans, making emergency home repairs, preventing foreclosure, and much more, the Tennessee Housing Development Agency’s website provides a wealth of educational resources for homeowners.

    Homeowners Insurance FAQ 

    Is homeowners insurance required in Tennessee?

    Tennessee law doesn’t require you to buy home insurance. However, if you don’t purchase a policy, you’ll have to pay out of pocket following a disaster. Your mortgage lender will probably require you to keep the property insured for the duration of the loan. To help you understand the process, check our guide to buying homeowners insurance.

    What is the cheapest homeowners insurance in Tennessee?

    Based on our research, Erie Insurance offers the most affordable home insurance in Tennessee, with average annual premiums running around $971. This is an average calculated using a standard profile, but insurance premiums are highly personalized and your cost will vary depending on your unique needs and circumstances.  Factors like the age of the house, crime rates in the neighborhood, protective systems, and others impact what you end up paying for your home insurance. Cost is just one factor to consider when shopping for homeowners insurance. Look for an insurer that can offer the best combination of price, coverages, and discounts, and get multiple quotes to choose what fits your needs.

    Does home insurance cover earthquake damage?

    Most standard homeowners policies don’t pay for damage caused by earthquakes. If you live in West Tennessee, on or near the New Madrid fault, talk with your insurer about adding earthquake coverage to your home insurance policy.

    Methodology

    We evaluated the companies based on their customer rating and experience, financial stability, and coverage to determine the best companies. To compare home insurance companies across the board, we then calculated a Reviews.com score based on the following:

    • Customer Ratings– Customer ratings are an indication of satisfaction with the process of filing a claim. We measured this using JD Power Homeowners Satisfaction ratings.
    • Coverage– As there isn’t one company to fit everyone’s needs, we evaluated companies by the amount of coverage options available and add-ons available. 
    • Confidence– It is extremely important for insurance companies to fulfill customers’ claims. Companies with sound financial strength will not have issues paying out claims, regardless of the amount. However, companies with weak financial strength might not be able to pay out claims. We measured this using AM Best.
    • Customer Experience– The amount of complaints a company receives is an indicator of the overall customer experience as it expresses dissatisfaction. We have based this measure on the NAIC National Complaint Index.

    About the Authors

    Michael Evans

    Michael Evans Contributing Writer

    Michael Evans is a freelance finance writer. His work has been published by Bankrate, Fox Business, The Guardian and Yahoo Finance.

    Table Of Contents