7 Best Homeowners Insurance Companies in Indiana 2023

Indiana homeowners understand the need to protect their homes from the state’s sometimes-harsh weather as well as other unexpected events.

Whether your home is in a big city like Detroit, a suburb such as Gary, or a small town like Goshen, buying homeowners insurance is a must.

Homeowners in the Hoosier State must keep in mind that high winds, heavy snow, and flooding can all be issues and can potentially cause damage that requires expensive repairs to a home’s roof and structure.

State law in Indiana does not mandate the purchase of homeowners insurance; however, lenders typically require homeowners coverage as a prerequisite for lending.

A standard policy for homeowners insurance provides coverage to repair or rebuild your house and other structures on the property; it also covers your personal liability and protects your personal property.

The average cost of homeowners insurance in Indiana is about $1,500 per year, which works out to $125 per month.

At PropertyNest, we want all Indiana homeowners to have the coverage they need, so we’ve researched the best companies to take the guesswork out of buying homeowners insurance.

Here are the best homeowners insurance companies in Indiana.

Liberty Mutual: Best for Flood Insurance

Liberty Mutual is an insurance carrier with more than a century of experience, and as such, it is highly regarded for its financial strength and service.

We chose Liberty Mutual for our list because they make it easy for Indiana homeowners to obtain flood insurance through their partnership with the National Flood Insurance Program.

While flood insurance is a separate policy, homeowners who live in a flood-prone area will appreciate the convenience of getting their policy at the same time as their homeowners policy.

We also like that Liberty Mutual offers a wide array of discounts and riders to allow for affordable customization of coverage.

You can obtain an online quote in just a few minutes simply by entering your name and address and answering a few basic questions.

Liberty Mutual says that the cost of a policy can be as low as $85 per month, but Indiana homeowners may pay less than that by layering multiple discounts.

Read a full Liberty Mutual home insurance review.

Lemonade: Best for Customer-Friendly Technology

Lemonade is an online-only insurance company that uses AI to provide rapid quotes and online services, including claims filing.

If you choose to work with Lemonade, everything you need to do can be done either on the company’s website or on their user-friendly app, which is free.

In most cases, you’ll wait no more than three minutes for a response from Lemonade, whether you want a quote or have a question about your policy.

Best of all, some claims are approved and paid immediately, meaning that you won’t have the long and frustrating wait time you might expect with a traditional carrier.

You can buy basic coverage and customize it with riders to get the policy you need.

Every year, Lemonade donates a portion of unclaimed premiums to charity in what they call the Lemonade Giveback.

Lemonade, a basic policy, can cost as little as $25 per month; keep in mind that coverage is based on what your home is worth plus any riders you add, so your costs are likely to be higher than that.

Read a full Lemonade home insurance review.

Allstate: Best for Discounts

Allstate is a widely-respected insurance company and one of the largest homeowners insurance carriers in the US.

They have a user-friendly website, and we particularly like how easy it is to file and track claims online.

We chose them for this list because we recognize that it can be difficult to afford homeowners insurance, and Allstate offers a total of eight generous discounts to help you save.

If you live in a flood-prone area of Indiana, keep in mind that you must buy a separate flood insurance policy as Allstate does not partner with FEMA.

Remember that you can layer two or more discounts to keep your insurance premiums low.

Discounts are important with Allstate because, without them, their average monthly cost is higher than others, coming in at $170.

Read a full Allstate homeowners insurance review.

State Farm: Best for High Coverage Limits

State Farm has been selling insurance for 100 years and is a well-respected company both in terms of financial strength and customer service.

Their costs are higher than others on our list, but we selected them because we believe they’re the best company for people with high-value homes or those who want high liability limits and additional medical coverage for guests.

We appreciate that State Farm is a company that holds itself to a high standard by adhering to a list of company values as represented in its popular “Good Neighbor” ads.

State Farm’s average annual cost for homeowners insurance is $2,370 per year or just under $200 per month.

We want to point out that the high average might be because the company allows homeowners to purchase additional liability coverage and offers a premium policy for expensive homes.

Read a full State Farm homeowners insurance review.

Amica: Best for Storm Damage

Anybody who lives in Indiana knows that the state can experience severe storms, including blizzards, hail, and even tornados.

We chose Amica insurance for our list because of its robust coverage for wind, hail, and other storm damage.

We also like that they’re the only company on our list with policies that pay dividends, so if you don’t file a claim, you can get some of your money back.

The average cost of homeowners insurance with Amica is $125 per month, putting it slightly below the Indiana state average.

Erie: Best for Guaranteed Replacement Cost Coverage

When a catastrophe strikes, it may cost more than you expect to repair your home or replace your belongings.

We chose Erie insurance for our list because they offer guaranteed replacement cost coverage even if your entire home is destroyed–an option not offered by most other companies.

We also like Erie for its strong financial ratings and well-reviewed customer service.

Some homeowners may appreciate that Erie is a regional company with roots in the Midwest.

Erie’s average cost of homeowners insurance in Indiana is just $990 per year, making it one of the most affordable options on our list.

Cincinnati: Best for Cheap Homeowners Insurance

The Cincinnati Insurance Group is our pick for Indiana's most affordable homeowners insurance company, with costs coming in significantly lower than the state average.

The company offers four tiers of policies, which break down like this.

• Executive Homeowners - Available for any size home of any value.
• Executive Capstone - A policy exclusively for homes valued at over $1 million.
• Executive Classic - Another policy designed for high-value homes.
• Condominium Coverage - A special policy for condo and townhome owners.

The Executive Capstone policy provides coverage that may not normally be available to Indiana homeowners, including protection from water damage and enough coverage to rebuild your home completely.

We always think it’s a good idea to look at the good and less-than-perfect things about every company we review, so here are the pros and cons of The Cincinnati Group’s homeowners insurance coverage.

How We Selected the Best Homeowners Insurance in Indiana

We used a total of five key criteria to choose insurance companies as the best options for Indiana homeowners.

Costs

Most homeowners are eager to find ways to keep their monthly costs down since owning a home can be expensive.

For our list, we gave preference to insurance companies with affordable rates compared to the national and Indiana state averages.

Available Discounts

Closely related to cost is the issue of discounts since they’re one of the best ways to save money on necessary homeowners insurance.

We prioritized those companies that offered three or more discounts, particularly those with discounts that most Indiana homeowners could take advantage of.

Available Coverage

Homeowners insurance can be basic, but we recognize that homeowners in the Hoosier State may want to be able to personalize or increase coverage.

The companies we chose all offer options to customize coverage with riders and add-ons, and we tried to include a wide range of coverage.

Customer Service

When something happens, and you need to file a claim, it’s important to feel supported and as stress-free as possible.

We only chose companies with solid customer service and gave special preference to those with easy-to-use online and mobile support.

Technology

Today, many homeowners prefer to research insurance companies and get quotes online or via a mobile app.

We prioritized companies with well-designed mobile apps and websites and robust online support services.

What Factors Affect the Cost of Homeowners Insurance?

We’ve done our best to give you an idea of the cost of homeowners insurance with each of the companies we’ve reviewed here, but remember that the following factors will affect what you pay for homeowners insurance.

Deductible

Choosing a high deductible will reduce your total homeowners insurance premium, while opting for a low deductible will mean that you pay more.

Coverage Limits

You’ll need enough insurance to pay to reconstruct your home if it is destroyed completely, so if you have a high-value property or choose to add additional coverage, you should expect to pay more.

Location

There are several ways in which the location of your home can have an effect on the cost of your insurance.

You’ll pay a higher price if you live far from the closest firehouse, close to a body of water, or in a high-crime area.

Additional Coverage/Endorsements

Any riders you add to your insurance policy will increase your pay.

For example, adding flood insurance, scheduling high-value belongings, or opting for a high personal liability limit will result in a higher premium.

How Much Homeowners Insurance Do You Need?

A common question from first-time buyers is how much homeowners insurance they need to protect their belongings and home.

The best way to estimate your costs is to use the appraised value of your home as a jumping-off point.

• Dwelling coverage is what pays for your home and any attached structure; you should have enough coverage to rebuild your home in the event it’s destroyed completely.
• Other structures coverage will protect outbuildings, fences, sheds, and any other structures on your property and should equal 10% of your dwelling coverage.
• Personal property coverage protects your belongings if stolen, destroyed, or damaged and should equal between 50% and 70% of your dwelling coverage.
• Liability coverage protects you personally if someone visiting your home is injured, or their property is destroyed or damaged; in most cases, you’ll need between $100,000 and $500,000 in coverage.
• Medical payments coverage pays some of a guest’s medical costs if they’re injured on your property, and in most cases, $1,000 to $5,000 of coverage should be enough.
• Additional living expenses coverage pays for you and your family to live somewhere else if your home is damaged to the extent that it becomes uninhabitable. You should have about 20% of your dwelling cost to be safe.

In total, your homeowners insurance coverage should be about twice the replacement value of your home, not counting the coverage for your personal liability and guest medical payments.

The totals here do not include scheduled coverage for expensive belongings such as electronics, jewelry, or original artwork.

What Is and Isn’t Covered by Homeowners Insurance

Now, let’s review the things that are covered and not covered by your homeowners insurance policy.

Here are the things that you should expect to be covered.

• All of the structures on your property, including your home and detached fences, sheds, garages, and any outbuildings.
• Your personal belongings, whether in your home or not, when lost, damaged, or stolen, with the exception of high-cost items that need to be scheduled separately.
• Property damage that’s caused by any covered event under your policy, including fires and storm damage.
• Personal liability up to the policy limit if someone sustains an injury or their property is damaged in your home.
• Medical expenses for guests to your home up to the policy limit.

All of these coverages are subject to your policy deductible and limits.

Here are the items that are typically not covered by homeowners insurance.

• Flood damage
• Earthquake damage
• Government action
• Neglect
• Nuclear hazard
• Pest infestation or damage
• Power failure

Some of the items listed here, including flood and earthquake damage, can be remedied either by adding a rider or purchasing an additional insurance policy.

However, three items–government action, neglect, and nuclear hazard–have no remedies, although two are unlikely to occur and the third, neglect, is within your control.

Synopsis

Our advice to Indiana homeowners is to buy enough homeowners insurance to pay to completely rebuild your home from the ground up and replace all belongings.

While the cost of homeowners insurance may be higher with comprehensive coverage, you’ll be purchasing peace of mind and the security of knowing you’ll be protected.

As always, we recommend getting a minimum of three quotes to compare costs and asking about all available discounts before you choose a homeowners insurance company.