8 Best Homeowners Insurance Companies in Delaware of 2023
In Delaware, homeowners recognize the importance of protecting their homes, often their most significant investments. Homeowners insurance is crucial to safeguard against the financial repercussions of unforeseen disasters, such as damage from hurricanes and severe winds prevalent in the state. This coverage ensures the repair or reconstruction of your home in case of fire and the replacement of stolen, damaged, or destroyed personal belongings.
Selecting the ideal home insurance company in Delaware can be overwhelming, given the multitude of providers offering coverage in the state. To find a policy that offers financial security while fitting your budget, it's essential to conduct thorough research. At PropertyNest, we aim to make this process more manageable for Delaware homeowners by ranking various insurers by category, eliminating guesswork, and helping you secure the best coverage for your home.
The Best Homeowners Insurance Companies in Delaware
- Allstate: Best That Rewards You for Being Claims-Free
- Liberty Mutual: Best for Optional Coverages
- Farmers: Best for Policy Endorsements
- Travelers: Best for Many Ways to Protect Your Personal Property
- State Farm: Best for Scheduled Personal Property
- Amica Mutual: Best for Generally Known to Offer Some of the Lowest Rates
- Progressive: Best for Many Discounts
- Nationwide: Best for Better Roof Replacement
Allstate: Best Homeowners Insurance That Rewards You for Being Claims-Free
Allstate’s large size, reach, and strong financial standing means your claims will be processed faster, and you’ll get reimbursed promptly.
Speaking of claims, Allstate offers many incentives to policyholders who don’t make any claims.
- Claim-Free Rewards: You'll save on your rate if you have no recent claims with your prior insurance and switched to Allstate.
- Claim-Free Bonus: 5% back on your yearly renewal if you don't have a claim.
- Deductible Rewards: Get $100 off your deductible when you sign up with Allstate and an additional $100 off each year you stay claims-free, up to $500.
Allstate Homeowners Insurance Discounts
- Multi-Policy: Save up to 25% by bundling home and auto.
- Payment Discount: Save up to 5% by signing up for automatic premium payments.
- Security Devices: Security features and protective devices.
- New Customer: New customers save up to 10% annually by switching from another insurer.
- New Home: Purchase a new home or recently constructed home.
Read a full Allstate homeowners insurance review.
| J.D. Power (out of 1,000) | 815 |
|---|---|
| A.M. Best - Financial Strength Rating | A+ |
| NAIC Complaint Index | 2.05 |
| BBB | A- |
Liberty Mutual: Best Homeowners Insurance for Optional Coverages
Liberty Mutual may not have the most competitive rates, but its optional coverages that you can add can make your standard policy more comprehensive in scope.
- Replacement Cost: Property stolen or damaged will be replaced using today’s cost, not the depreciated cost.
- Blanket Jewelry: Replaces lost or stolen jewelry with no deductible or appraisal.
- Water Backup: Covers losses if water backs up from a sewer or drain or overflows from a sump pump.
- Inflation Protection: Automatically adjust your coverage limits at your policy’s renewal to keep pace with inflation.
Liberty Mutual Homeowners Insurance Discounts
- Multi-Policy Discount: Bundle home with other insurance products such as auto and life.
- Claims-Free: If you never made a claim with another insurer for five years or more before moving to Liberty Mutual.
- Protective Devices Discount: Install smoke, fire, and burglar alarms and security features like surveillance cameras.
- Newly Purchased Home: If you buy a new or recently constructed home.
Read a full Liberty Mutual home insurance review.
| J.D. Power (out of 1,000) | 805 |
|---|---|
| A.M. Best - Financial Strength Rating | A |
| BBB | A+ |
| NAIC Complaint Index | 2.37 |
Farmers: Best Homeowners Insurance for Policy Endorsements
Farmers serve over 10 million households and hold over 19 million policies.
It’s known for two standard benefits in your homeowners insurance policy. One takes $50 off your deductible each year you remain a policyholder.
The second prevents your rate from increasing after you make your first claim.
These two standard coverages are unique to the insurer.
But you may want to add a few endorsements to personalize your policy.
Farmers offers the following endorsements:
- Personal Article Floaters. Allows you to insure valuables at higher limits, such as expensive jewelry.
- Eco-Rebuild. Provides up to $25,000 additional insurance coverage to rebuild your home using eco-friendly appliances and building materials.
- Replacement Cost (RCV). If your items are stolen or destroyed in a covered peril, RCV will pay you in full using today’s prices.
In addition, like Progressive and Liberty Mutual, Farmers has a ton of discounts to lower your rate. These include standard ones like multi-policy, being claims-free, receiving documents electronically, and making your home safe. But we’ve listed the unique discounts that many insurers don’t offer.
Farmers Homeowners Insurance Discounts
- Affinity Discount: Rewards members of some professions, associations, and businesses.
- Preferred Payment: If you make payments in full, twice a month, or with automated payments.
- Good Payer: Making one year of consistent on-time payments.
- UL-Approved Roofing Materials: If you have UL-certified fiberglass or asphalt shingles.
- Nonsmokers: If you don’t smoke for a certain period because nonsmoking poses less risk of fire damage.
- Green Certification: If your home has ENERGY STAR, LEED, or EPA certification for its environmentally conscious construction.
Read a full Farmers homeowners insurance review.
| J.D. Power (out of 1,000) | 792 |
|---|---|
| A.M. Best - Financial Strength Rating | A |
| BBB | A- |
| NAIC Complaint Index | 0.56 |
Travelers: Best for Many Ways to Protect Your Personal Property
Travelers is a reputable, well-established insurance company offering homeowners insurance at a very affordable rate.
It also offers an array of personal property coverage to add to your policy.
Travelers Homeowners Insurance Coverage
- Special Personal Property Coverage: Provides broader protection for your possessions in case of a covered loss. It can cover your personal property in more situations than a homeowners policy.
- Jewelry and Valuable Items: Provides higher limits and expanded protection for high-cost property such as jewelry and artwork.
- Personal Articles Floater: You can add this as a separate valuable items policy if you need more coverage or higher coverage for your expensive property.
- Contents Replacement Cost: This is essentially replacement cost value (RCV). If your laptop, for example, gets damaged in a fire, RCV will pay for the full cost of your laptop at today’s prices and without any depreciation deduction.
Travelers Homeowners Insurance Discounts
- Multi-Policy: Bundle home with a car or other products.
- Claims-Free. If you haven’t claimed for a certain time, you’ll get a discount.
- New Home: If you bought a new home within 12 months.
- Home Security: If you install protective devices or home security systems.
- Going Green: Get up to 5% for having A LEED-certified “green home,” as the US Green Building Council determined.
| J.D. Power (out of 1,000) | 794 |
|---|---|
| A.M. Best - Financial Strength Rating | A++ |
| BBB | A |
| NAIC Complaint Index | 3.88 |
State Farm: Best for Scheduled Personal Property
State Farm received a high score for customer satisfaction and offers home insurance at an affordable price.
To make sure your expensive items are insured to their total value, you should schedule them.
State Farm’s scheduled personal property is an optional coverage to your home insurance that can pay for your high-value possessions in full.
Scheduling a valuable means, you’ll schedule it for its total value.
State Farm Homeowners Insurance Discounts
- Multi-Policy: Bundle home with auto.
- Home Security: Installing protective and security devices.
- Higher Deductible: Choosing a higher deductible means lowering your monthly premium.
Read a full State Farm homeowners insurance review.
| J.D. Power (out of 1,000) | 829 |
|---|---|
| A.M. Best - Financial Strength Rating | A++ |
| BBB | A+ |
| NAIC Complaint Index | 1.77 |
Amica Mutual: Best for Generally Known to Offer Some of the Lowest Rates
- Available in 48 states & Washington, D.C.
- Quote access: Online & by phone
Of all the homeowners insurance companies that made our list, Amica stood out for being known to offer some of the lowest rates.
Amica’s average monthly cost is $95 or $1,140 per year.
According to the Insurance Information Institute, this is lower than the national monthly average of $106 per month or $1,272 per year.
However, your rate depends on various factors, including your property value, size, additional coverages, the insurance deductible you choose, the location of your home, and your credit score.
Still, even if you opt for additional coverages or add-ons, your rate won’t skyrocket due to Amica’s many discounts.
Amica offers standard or more common discounts such as multi-policy, claims-free, e-discount, and autopay. The more unique discounts are below.
Amica Mutual Homeowners Insurance Discounts
- Loyalty: If you stay with Amica for at least two years.
- Extra Savings: Save if you renew your policy twice.
- Alarm System: Safety features and home security systems.
- Automatic Detection Devices: Discount for water and gas leak sensors. It’s an added savings opportunity for houses with extra protection from leaks.
- New and Remodeled Homes: Discount for new or recently constructed homes.
| J.D. Power (out of 1,000) | 849 |
|---|---|
| A.M. Best - Financial Strength Rating | A+ |
| BBB | A+ |
| NAIC Complaint Index | 0.32 |
Progressive: Best for Many Discounts
- Available in 50 states & Washington, D.C.
- Quote access: Online, by phone, and through independent agents
Progressive is a top-rated insurance company in business since the 1930s.
Like Liberty Mutual, Progressive offers the most discounts to policyholders that can help lower their premiums. There are too many to list, but here are the most popular ones.
Progressive Homeowners Insurance Discounts
- Multi-Policy Discount: 5% discount when you bundle home and auto.
- Safety Devices: Install burglar fire, and smoke alarms.
- Quote in Advance: Get a quote at least ten days before your policy begins.
- New Purchase: Purchase a new home or a recently constructed home.
- Electronic Delivery: Get policy discounts via email rather than paper.
- Home Security: Install video surveillance cameras and home security systems like door and window sensors.
| A.M. Best - Financial Strength Rating | A+ |
|---|---|
| NAIC Complaint Index | 1.66 |
Nationwide: Best for Better Roof Replacement
Nationwide is one of the largest home insurance companies in the US. It is noted for its outstanding coverage.
For example, Nationwide has better roof replacement, a rare add-on coverage. Not all insurers offer this plan.
Better roof replacement allows you to rebuild after a covered loss, using materials guaranteed to improve the safety and durability of your property.
In addition, the insurer also offers extended reimbursement. It helps cover the cost of rebuilding your home and extends your coverage by 20% if necessary.
Nationwide Homeowners Insurance Discounts
- Multi-Policy: Bundle home with auto.
- Protective Device: Making your home safe.
- Claims Free: If you’ve never made a claim, you can get a discount.
- Home Improvement: Improving your home’s electrical, heating, and cooling systems.
- Gated Community: Living in a gated community or entrance has security guards.
| J.D. Power (out of 1,000) | 816 |
|---|---|
| A.M. Best - Financial Strength Rating | A+ |
| BBB | A+ |
| NAIC Complaint Index | 0.88 |
How We Picked the Best Homeowners Insurance in Delaware
We looked at several factors to determine the best companies that provided homeowners insurance, including price, coverage options, and discounts.
Discounts
We narrowed our focus to insurance companies with the most discounts. That was to ensure that a prospective policyholder could purchase a policy at the lowest possible rate. In particular, we looked at Liberty Mutual, Progressive, and Farmers because all three insurers offered the most discounts.
Coverage
A standard homeowners insurance policy does not have enough coverage to tailor it to your needs.
So, we evaluated companies by the number of coverage options available to policyholders. We also considered coverages that were unique to the insurer or standard in the basic policy.
In most cases, the best coverages are available as add-ons, so we looked at those you had to purchase separately.
Technology
If a company’s website and the mobile app allowed you to manage most of your insurance needs, such as getting a quote, buying a policy, and filing a claim, to name a few, then that’s a company we considered.
Customer Reviews
We looked at many sites that offered vetted customer reviews for homeowners insurance companies to also narrow down our options. The ones with the most positive reviews were more favorable to us.
Price
Insurance providers that had low premiums or had plenty of options to lower your premium like discounts were more favorable to us.
Is It Mandatory to Buy Homeowners Insurance in Delaware?
You aren’t required to buy homeowners insurance, and it’s not mandatory by law in Delaware.
But most homeowners have a home mortgage; in that case, your lender will likely require a policy to protect its investment.
The lender will want coverage equal to at least the value of your loan.
What is Homeowners Insurance?
Homeowners insurance protects your home—and the contents within—from the financial impact of unforeseen or unexpected disasters.
The insurance will pay to have your home repaired or rebuilt after damage from theft, vandalism, a fallen tree, or a fire. It will also cover you from natural disasters such as heavy winds and hurricanes, major concerns in Delaware.
And if your belongings are stolen or destroyed, homeowners insurance will replace them.
If you don’t have homeowners insurance, you will have to pay out-of-pocket for your destroyed home or personal items.
Many homeowners don’t have that kind of money to replace their belongings or rebuild their houses.
That’s why, for homeowners in Delaware, home insurance is a must. It can cost a lot, but considering everything your policy covers, you’ll see that the price is negligent.
What is a Covered Peril?
A covered peril is an event in which your insurer agrees to reimburse you after you file a claim.
Covered perils include:
- Fire, wildfire, and smoke damage.
- Weather conditions like lightning, hurricanes, windstorms, hail, and the weight of ice, snow, or sleet.
- Explosions.
- Theft, vandalism, and malicious mischief.
- Damage from an aircraft, a car, or another type of vehicle.
- Water damage unrelated to natural floods.
What Does a Basic Homeowners Insurance Cover in Delaware?
Dwelling
This covers damage to your house. So, if your home is destroyed due to a fire or other covered event or peril, your insurer will cover the cost to rebuild your home.
Medical Payments
It pays if someone is injured on your property and needs medical treatment, regardless of who’s at fault. Also, pay if you, a family member, or a pet like a dog injures someone elsewhere.
Personal Liability
This pays for medical bills, repair, or replacement costs if you are held responsible for physically hurting someone or damaging his or her personal belongings. Personal liability also handles legal fees if that person sues you.
Other Structures
It Covers outdoor stand-alone structures like fences, sheds, and detached garages on your property.
Personal Property
It covers the cash value to replace your belongings if your house is robbed or burned. Covered personal property often includes furniture, clothing, electronics, everyday items like kitchenware, as well as high-cost valuables like jewelry.
Loss of Use
If a covered event destroys your property to the point that it is unhabitable, loss of use will pay for your temporary living expenses, including hotel stays meals at restaurants. groceries, toiletries, and more.
Most Common Natural Disasters in Delaware
Homeowners insurance never covers floods and earthquakes.
Floods
Since there are no earthquakes in Delaware, residents here need to focus on adding a separate flood insurance policy on top of their insurance policy because floods are frequent in Delaware, especially near rivers and in flood basins.
Besides flooding, Delaware is besotted by hurricanes and heavy storms.
Wind Damage
Due to storms, Delaware homes can get damaged by wind, especially if the homes are near the Atlantic coast.
Fortunately, hurricanes and heavy storms that lead to wind damage are all covered by your standard homeowners policy.
Wind damage, for example, can cover shingles ripped off your roof and tree branches that fall and hit your home.
What Are the Types of Homeowners Insurance?
When you sign up for a policy, your insurer will give you the option of actual cash value (ACV) or replacement cost value (RCV).
For RCV, if your personal items were damaged or destroyed due to a covered peril, your insurer will pay for them in full using today’s costs.
But with ACV, your insurer will only reimburse you for your items at their depreciated value, the price you paid for them at the time of purchase.
Many want RCV, but it’s more expensive than ACV.
But if you need full-cost protection, RCV is always better than ACV.
How Much Homeowners Insurance Do I Need?
The amount of home insurance you need depends on your personal property and how valuable it is.
Depending on the value of your belongings, you can opt for higher coverage limits for various parts of your policy.
This usually includes high-cost valuables that your standard policy can’t cover in full for most homeowners.
To determine how much personal property coverage to buy, take a home inventory of everything in your home using photos or any documentation, and estimate what it would cost to replace your belongings.
You may think you don’t have enough property to cover, but remember that every single thing you own can be covered, from everyday items like clothing and furniture like sofas and beds to appliances and heating and cooling systems.
Do I Need Extra Coverage for My Valuables?
The personal property coverage in a standard homeowners policy pays up to a certain limit for damaged or stolen belongings.
So, if you own high-value items, like jewelry, fine art, or musical instruments, the coverage provided in your basic policy may not be enough to replace them if you have to file a claim.
For example, if your engagement ring is stolen, there may be a cap of $500 or $1,000 or more to replace it, depending on the insurer, and you could be subject to your policy’s deductible.
To make sure your expensive jewelry is insured to its full value, you should schedule it.
Scheduling your personal property means you’ll list it for its full value. So, if you schedule your engagement ring, for example, it will be removed from your personal property limits and insured separately.
What Factors Determine My Insurance Rate?
Location
The area where you live affects your premium. You'll pay less if you live in a safe neighborhood with a low crime rate and your home is not in an area prone to natural disasters.
Construction of Home
Homes constructed with materials resistant to certain types of damage, like fire or heavy wind, can get you a lower rate.
Distance to Nearest Fire Station
The closer you are to a fire station, the faster firemen and firewomen are likely to get to you if a fire starts in your home.
Deductible
Your deductible is the amount you agree to pay out of pocket if you file a claim. Choosing a higher deductible means that the insurer will pay less if you file a claim, which can lead to a lower policy rate.
Additional Coverages
The more optional coverages or add-ons you add to your policy, the more you pay.
Credit Score
Homeowners with lower credit are statistically more likely to file a claim than homeowners with higher credit scores.
Claim History
If you have filed homeowners claim within a certain amount of years, your rate will rise. Even if you change your insurer, this new insurer can still see all your past claims and may charge you accordingly.
How Can I Lower My Homeowners Insurance Premium?
The three most popular ways to lower your premium include:
Shopping Around
Get quotes from as many insurers as you can.
A quote is an estimate of your premium cost.
If you compare multiple quotes for the same coverage from different companies, you’ll arrive at the most affordable policies that fit your needs or budget.
Evaluating each insurance company, you may want to consider how the company’s discounts and coverages fit your situation.
But different companies apply different factors to assess your premium. This can result in you getting very different rates for the same coverage.
That's why it’s important to compare quotes from multiple companies to avoid paying more for the same, cheaper coverage elsewhere.
Getting Discounts
If you are looking to reduce the cost of a policy, you should ask your insurer for any discounts that may apply to you. Discounts are things offered by an insurance company that will lower your premium.
Making Your Home Safe
Install security features in your home, such as home security systems, surveillance cameras, fire, smoke, burglar alarms, and deadbolts. You’ll get a lower rate because then your home will be less susceptible to a break-in or a fire.
How Much is Homeowners Insurance in Delaware?
According to the Insurance Information Institute, the average annual premium for homeowners insurance in the United States is $105 per month or $1,260 per year.
Given the threat of severe storms, heavy winds, hurricanes, and flooding, Delaware homeowners will want a solid homeowners insurance policy with enough added coverage to ensure their homes are well protected.
But even with these weather threats, the average cost of homeowners insurance in Delaware is just $82 per month or $980 per year. This is significantly lower than the national average.
Read more: How Much Does Homeowners Insurance Cost?
