6 Best Homeowners Insurance Companies in Montana of 2023
Montana’s diverse topography creates all types of weather scenarios each year, ranging from droughts to blizzards. As a result, homeowners in the Treasure State need to be prepared by having the best homeowners insurance in Montana in place.
Montana residents in large cities like Billings, Missoula, and Great Falls need the proper coverage when the weather hits, as do those in smaller towns throughout Big Sky Country.
At PropertyNest, we want Montanans to rest easy knowing that no matter what Mother Nature throws at them, they’ll have the right coverage based on where they live and what their needs are.
To accomplish that, we offer you this comparison of top homeowners insurance companies in Montana using parameters such as affordability, coverage options, discounts, service, and more.
Compare Homeowners Insurance Rates in MT
The Best Homeowners Insurance Companies in Montana
- Liberty Mutual: Best for Online Claims Filing
- Allstate: Best for Bundle Discount
- State Farm: Best for Inflation Protection
- Farmers: Best for Discounts
- Travelers: Best for Additional Coverages Offered
- Chubb: Best for High-Value Homes
Liberty Mutual: Best for Online Claims Filing
Boston-based Liberty Mutual has been servicing policyholders since 1912. It has over 45,000 employees, maintains superior financial ratings, and receives favorable reviews and ratings for its customer service.
Liberty Mutual has a very robust website for filing claims. A claim can be filed online in 5-10 minutes. On the website, you can also view policy options and manage billing. These features are also available on its mobile app.
Liberty Mutual Homeowners Insurance Discounts
- Multi-policy: Discount for having home and auto insured.
- Claims-free: Discount for going five or more years without a claim.
- Newly purchased homes: Lower rates for new homeowners.
- New roof: Discount for replacing your roof.
Read a full Liberty Mutual homeowners insurance review.
| J.D. Power (out of 1,000) | 805 |
|---|---|
| A.M. Best - Financial Strength Rating | A |
| BBB | A+ |
| NAIC Complaint Index | 2.37 |
Allstate: Best for Bundle Discount
Allstate is one of America's top-rated home insurance companies because of its competitive rates, high customer satisfaction ratings, and additional coverage options.
Allstate homeowners insurance also stands out for its flexible policy offerings that provide options ranging from inexpensive basic coverage to more comprehensive coverage, featuring short-term rental coverage and deductible rewards.
Its bundle discount of 25% is also the most generous offered by all of the major homeowner's insurance companies in Montana.
Allstate Homeowners Insurance Discounts
- Welcome & loyalty: If you switch from another company to Allstate, it will take 10% off your insurance premium and another 10% each year you’re an Allstate customer.
- Multi-policy: If you have an auto insurance policy in addition to your home insurance, you can save up to 25% on premiums, according to Allstate.
- Responsible payment: If you remember to pay your bills on time and opt for an insurer-friendly payment plan, such as paying your annual premiums in full or through an escrow account.
- Claim free: If you switch to Allstate and have no recent home insurance claims on your record.
- Early signing: If you sign up for an Allstate policy at least seven days before your current one expires.
- Easy pay: If you set up automatic payments.
- New homebuyer: If you’re insuring a newly constructed or recently purchased home.
- Protective devices: If you have burglar alarms, fire alarms, fire sprinklers, or other safety or security devices installed in your 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- |
State Farm: Best for Inflation Protection
With the largest number of homeowners insured in the U.S., State Farm is a strong choice for Montana homeowners insurance.
Its extended replacement cost coverage, which extends your dwelling coverage limit up to 25% in the event rebuilding costs exceed your policy limit, is a reassuring feature to have during inflationary periods when building materials and labor costs are rising.
In addition, if this option is added, State Farm will pay to replace your personal belongings with new items, regardless of depreciation or wear and tear.
State Farm Homeowners Insurance Discounts
- Multi-policy: If you bundle your home and auto insurance with State Farm.
- Home security: If you have a fire, smoke, burglar, or other home monitoring system installed.
- Roofing: If you have impact-resistant roofing materials, like hail-resistant or class 4 shingles.
- Age of home: If your home is a newer build.
- Loyalty: If you’ve insured your home with State Farm for a consecutive number of years.
- High-deductible policy: If you opt for a high-deductible policy where you take on more financial risk.
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 |
Farmers: Best for Discounts
Farmers doesn’t offer Montana’s cheapest homeowners insurance, but its basic coverage is solid, including dwelling, personal property, and personal liability coverage.
In addition, additional coverages can be added for an added cost, including guaranteed replacement cost for your home, replacement cost for personal property, and water backup. Farmers also offer a reward for perpetrators being caught who are found responsible for arson, burglary, or vandalism.
Farmers Homeowners Insurance Company Discounts
- Affinity: If you’re a member, employee, or retiree of an eligible business or professional association.
- Multi-policy: If you bundle your Farmers home insurance policy with a Farmers auto, life, umbrella, small business, or specialty insurance policy.
- E-policy: If you sign up for an e-policy with paperless terms and conditions.
- Roofing: If your roof uses asphalt or fiberglass shingles approved by Underwriters Laboratories (UL) through one of its fire resistance tests.
- New home: If your home is less than 14 years old.
- Protective devices: If you have a fire alarm, security system, or internal sprinklers.
- Home safety: If your windows, walls, roof, or foundation are fortified against natural disasters, or you have automatic gas or water shutoffs.
- Green home: If your home has Energy Star, LEED, or EPA certifications.
- Claims-free: If you haven’t filed a home insurance claim for three consecutive years.
- Connected home: If you have a smart home system that allows for remote monitoring and control.
- Rent to own: If you have had Farmers renters insurance for over a year, buy a house and switch to a Farmer home insurance policy.
- Preferred payment or EFT: If you pay your home insurance premiums in full, bi-annually, or sign up for a monthly payment plan with automatic payments.
- Good payer: If you pay your bill on time.
| 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 Additional Coverages Offered
Famous for its red umbrella, Travelers is one of America’s oldest and most trusted companies providing Montana homeowners insurance. It has top financial ratings and flexible policy options for most budgets and home types.
Travelers is especially well-suited for homeowners who have let a previous homeowners insurance policy lapse since it doesn’t require prior coverage on a home to qualify, which is rare in the property insurance industry.
You can choose from the following optional coverages to add on to your Travelers homeowners insurance policy for increased protection:
Travelers Homeowners Insurance Coverage Options
- Extended replacement cost: Increases your dwelling coverage limit by an additional percentage (usually 25% to 50%) in case your house is damaged or destroyed and the cost to rebuild it exceeds your policy limit.
- Special personal property: This extends your policy’s personal property coverage to causes of damage or loss that aren’t covered under a standard policy, such as lost or misplaced items.
- Replacement cost personal property: Covers the cost of replacing stolen or damaged personal belongings without deducting depreciation from your claim reimbursement.
- Scheduled personal property: Increases coverage limits on expensive valuables that often have per-item limits on a standard policy, such as jewelry, watches, electronics, or antiques.
- Jewelry and valuable items: Provides higher coverage limits and broadens protection for an entire category of valuable items, such as jewelry, silverware, firearms, and other property classes with relatively low sub-limits.
- Water backup: This covers the cost of repairs if your house is damaged due to water backing up and overflowing from your drain or a sewer line.
- Identity fraud: If your identity is used fraudulently, this provides up to $25,000 in coverage for legal expenses, lost wages, and other costs you incur while restoring your identity.
- Green home: This helps cover the additional cost of repairing or rebuilding your home with green materials if a covered peril damages your home.
- Umbrella Insurance: If you have a liability claim higher than your liability coverage limit, this kicks in to cover the rest of the costs. If you have assets valued at more than $500,000 (the maximum liability coverage limit on most home insurance policies), you’ll want to consider a personal umbrella policy.
- Flood Insurance: Travelers offers flood insurance through the National Flood Insurance Program (NFIP), the primary flood insurance provider in the U.S.
Travelers Homeowners Insurance Discounts
- Multi-policy: If you have an auto insurance policy and three other policies with Travelers — such as umbrella, boat, or motorcycle insurance — in addition to your home insurance policy.
- Protective devices: If your house has safety or security features, like a burglar alarm, fire alarm, or fire sprinklers.
- Loss-free: If you go for an extended period — usually three to five years — without filing an insurance claim.
- New homebuyer: If you purchased the home, you’re insuring within 12 months of the policy’s effective date.
- Green home: If you have a “green home” certification from the Leadership Energy and Environmental Design (LEED) organization.
| J.D. Power (out of 1,000) | 794 |
|---|---|
| A.M. Best - Financial Strength Rating | A++ |
| BBB | A |
| NAIC Complaint Index | 3.88 |
Chubb: Best for High-Value Homes
- Available in 50 states & Washington, D.C.
- Quote access: Agent only
Chubb specializes in homeowners insurance for high-value homes. It also provides support for in-home and cyber security, which covers cyber extortion, cyber financial loss, and cyber personal protection.
In addition, Chubb offers a risk consultation in assessing your home’s physical security and is also known for outstanding customer service because of the strict standards it has for appointing agents with a high-net-worth clientele to sell its products.
Chubb Homeowners Insurance Discounts
- Bundle discount: Insuring home and auto with Chubb.
- Home with valuable articles: Homeowners insurance discount for purchasing valuable articles coverage from Chubb.
- Protective device: Discount for installing fire alarms, burglar alarms, and storm shutters.
| J.D. Power (out of 1,000) | 809 |
|---|---|
| A.M. Best - Financial Strength Rating | A++ |
| BBB | D- |
| NAIC Complaint Index | 0.21 |
| Company | PropertyNest Rating | J.D. Power (out of 1,000) | A.M Best Rating | BBB Rating |
|---|---|---|---|---|
| Allstate | 5.0 | 815 | A+ | A- |
| USAA | 5.0 | 884 | A++ | A+ |
| Lemonade | 4.5 | 870* | Not Rated | B+ |
| American Family | 4.5 | 842 | A | A |
| Erie Insurance | 4.5 | 827 | A+ | A+ |
| Farmers | 4.5 | 839* | A | A- |
| Liberty Mutual | 4.5 | 805 | A | A+ |
| State Farm | 4.5 | 829 | A++ | A+ |
| Chubb | 4.5 | 809 | A++ | D- |
| Hartford | 4.5 | 839 | A+ | A+ |
| MetLife | 4.5 | 904* | A+ | D- |
| Nationwide | 4.0 | 816 | A+ | A+ |
| Progressive | 4.0 | 819* | A+ | Not Rated |
| Amica | 4.0 | 849 | A+ | A+ |
| Travelers | 4.0 | 794 | A++ | A |
| GEICO | 4.0 | 869* | A++ | A+ |
What is the Average Cost of Homeowners Insurance in Montana?
Homeowners insurance in Montana is typically more affordable than the national average, with the average cost of coverage being $800 per year.
However, factors like the age and condition of your home, as well as its location within the state, can have a significant impact on premiums.
Generally, homes in rural areas tend to be cheaper to insure, while those in cities and towns can cost more.
Additionally, if your property is at risk of natural disasters like flooding or earthquakes, you may have to pay extra for a specialized coverage policy.
The best way to get an accurate estimate on homeowners insurance in Montana is to speak with an experienced agent who can help you find the right policy for your needs and budget. Also, consider comparing quotes from multiple insurers to ensure you get the best deal possible.
Read more: How Much Does Homeowners Insurance Cost?
What Most Significant Factors Determine Homeowners Insurance Cost?
The most significant factors determining the cost of homeowners insurance are location, age, condition of the home, coverage limits, and type of policy.
The location of your home is essential in determining your premium since it can affect your risk of experiencing a loss due to weather or other natural disasters.
Additionally, older homes tend to be more expensive to insure due to their higher risk of experiencing damage.
Your home's size, age, condition, and features can influence insurance costs.
The coverage limits you choose will also determine the cost of your policy, as they can significantly impact how much an insurer pays out in the event of a claim. Higher limits mean higher premiums and vice versa.
What are the Most Common Homeowners Insurance Risks in Montana?
Due to the state's mountainous terrain in the west and its prairie in the east, Montanans experience various perils, such as hail storms and floods caused by melting mountain snow.
What Does Homeowners Insurance Cover in Montana?
Standard homeowners insurance policies in Montana typically cover damage caused by fire, windstorms, hail storms, lightning strikes, and vandalism. It can also provide coverage for water damage from plumbing issues or a frozen pipe bursting.
Generally, your policy should pay to repair or replace damaged property due to these perils.
In some cases, you may be able to add additional coverage, such as liability protection or higher limits of coverage for certain risks. It's important to talk with your insurance agent about the levels and types of coverage you need in Montana.
Does Homeowners Insurance Cover Hail Damage?
Hail damage is typically covered by homeowners insurance, but your policy may only cover some repairs.
Because of the frequency of hail in Montana, some homeowners insurance policies may only allow you to claim if your damage is more than cosmetic. Additionally, you may see increased home insurance rates if you live in a part of the state that's especially prone to hail.
Does Homeowners Insurance Cover Flooding?
Standard homeowners insurance does not cover flood damage. Montana's mountainous regions in the western part of the state may see several hundred inches of snow annually. Unfortunately for homeowners living in this part of the state, heavy flooding caused by melting snow and ice can cause substantial property damage.
Since most homeowners insurance companies don't cover flood damage, you'll have to purchase a flood insurance policy from a private flood insurer or get a federally backed policy through the National Flood Insurance Program.
What Does Homeowners Insurance Not Cover in Montana?
In addition to flood damage, Montana's standard homeowners insurance policy doesn't cover several other types of natural disasters.
These include:
- Earthquake
- Sinkholes
- Landslides Wildfires
- Hail storms
If you live in an area prone to these events, investing in additional coverage for your home may be worth it.
Conclusion
Considering Montana’s intense weather, selecting the right homeowners insurance policy is critical to the financial security of Treasure State homeowners.
At PropertyNest, our mission is to provide Montana homeowners with the information they need to make an informed decision that provides them with the coverage they need at an affordable rate.
When you’re collecting quotes and comparing insurers, ask questions about factors that affect your rates, such as the estimated cost to rebuild your home, the replacement value of your belongings, and the geographic location of your home.
We recommend that you get a minimum of three quotes from different insurers. A licensed property and casualty insurance broker can often provide multiple quotes and help you compare carriers.
Our Methodology
How We Selected the Best Homeowners Insurance Companies in Montana
Finding the right homeowners insurance can take time and effort. In addition, many coverages, add-ons, and limits vary by company.
For Montana, we selected insurers using five essential criteria indicating which companies best protect homeowners.
Price
The cost of homeowners insurance is affected by many things, but regardless of how much coverage you need, we recognize that keeping costs down is a priority.
For our list, we chose companies that provide good value at an affordable price. Several carriers were higher than the state average, but their coverage and limits were favorable in some respects compared to their competitors.
Discounts
Homeowners insurance discounts are helpful because they reduce your annual premium, especially if you can bundle other products like car insurance.
We selected companies that offer multiple homeowners insurance discounts, particularly discounts that apply to most homeowners in Montana, such as installing home monitoring and security systems.
Coverage
To be protected adequately, you need to buy enough coverage to rebuild your home and replace your belongings if destroyed.
For our list, we prioritized insurance companies that provide excellent standard coverage, plus a selection of endorsements and add-ons to help you customize your coverage.
Customer Support
Filing an insurance claim can be stressful, and low premiums are no substitute for the lack of customer support when you need it.
Insurance carriers needed strong customer service ratings and reviews to make our list, and we selected insurers with multiple support layers, including mobile apps or 24/7 phone support.
Technology
Digitalization plays a vital role in the process of obtaining quotes for homeowners insurance, as well as for paying monthly premiums and filing claims. We highlighted companies with up-to-date websites, mobile apps, and strong online support and services.
