homeowners insurance estimate

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When you’re buying a home, it’s completely understandable that you’d want a homeowners insurance estimate that’s fair and affordable. However, it may come as a surprise that you have little control in how that estimate is figured.

Several different factors go into figuring out your insurance estimate, and figuring all those out can be frustrating. We’re here to untangle and demystify what exactly goes into figuring out your insurance rate.

Ready to figure out what’s making your premium skyrocket? Let’s read on to find out!


Your homeowners insurance estimate can vary greatly depending on what region of the country you’re in. This is because different regions experience different phenomena which cause various different claims.

Additionally, the companies you query will likely all provide you with different rates.

But what actually causes the fluctuation in rates? It could be your own personal likelihood to file a claim. If you’re likely to, you’re probably perceived as a risk. Naturally, “high risk” applicants will have heftier estimates.

What determines risk? Take a look at your entire homeowning history. Any other claims you’ve made will be noted, along with how frequently those claims were made. All of that goes into figuring out your estimate.


What causes a claim? And more importantly, what claims will drive your rate through the roof?

Weather is a huge cause of premium-increasing claims. Weather-related claims may be frequent, but that doesn’t mean that it can’t affect your rate.

This doesn’t mean you need to get to work on controlling the weather. It just means that the weather in your area may cause you to file a claim, and the company needs to be prepared for it.

Other factors

The other factors used to determine your insurance estimate are somewhat circumstantial. If your home isn’t accessible to other resources, or if would take a lot of labor to rebuild your home, it’s possible that you could expect to see your premium increase.

For instance, if you’re far away from the fire department or a hydrant and your home catches fire, that’s more labor required to put out the fire – and that’s before any damages to the home itself have been assessed.

Also, don’t be surprised if you see a premium increase if your home is made out of certain materials, or if the crime rate for your area is somewhat high. If you’re in an area that could reasonably put your home in danger, the insurance company has to figure that in as well.

Homeowners insurance estimate: demystified

As a homeowner, trying to figure out what goes into figuring your insurance rates can be frustrating and exhausting. Insurance rates aren’t a reflection of you, whether good or poor.

Insurance companies are doing what they do in order to keep you safe and your home in good repair.

Rather than focusing on the cost, make sure that your coverage is fair and that your policy includes everything that you need it to.

If you have questions regarding homeowners insurance, or if you need a quote, please don’t hesitate to contact us.