UPDATED: SEPTEMBER 22, 2022 | 3 MIN READ
The average annual cost of Rhode Island homeowners insurance is $1,193 based on $250,000 in dwelling coverage, lower than the national average of $1,383. That’s good news for homeowners in a state with high ownership ratings (61%) and susceptibility to floods and hurricanes.
We’ve gathered information on the best and cheapest homeowners insurance in Rhode Island, comparing cost, coverage options, discounts, and demographics.
According to J.D. Power’s 2021 U.S. Home Insurance Study, the top homeowner’s insurance company is USAA, scoring 882 out of 1,000. However, USAA only insures active military members, veterans, and their families.
If you don’t qualify for USAA coverage, consider State Farm (834) or Narragansett Bay Insurance Company (NBIC), a local agency with low homeowner’s premiums.
The best homeowner’s insurance company in Rhode Island is Nationwide, with an average annual cost of $969 for $250,000 in dwelling coverage.
Nationwide offers custom insurance policies and add-ons, including Better Roof Replacement, which covers the cost of repairing your roof with safer, stronger materials after damage caused by a covered claim.
Nationwide also offers multiple discounts, including roof rating, multi-policy, claims-free, smart home, and more.
If you’re on a budget, the best Rhode Island home insurer is NBIC. The company’s average annual homeowner’s insurance premium based on $250,000 in dwelling coverage is only $551, much lower than the state’s average of $1,193.
For Rhode Island residents who want exceptional customer service, NBIC is the best option. According to the National Association of Insurance Commissioners (NAIC) Complaint Index, the company scored 0.59, well below the average of 1.00. That means customers are far less likely to file a complaint against NBIC than other insurers.
Allstate offers the best discount for bundling your home and auto policies. By combining the two, you could save up to 28% on your annual home insurance cost. Allstate also offers custom bundles, like yard and garden, mold, and energy efficiency coverage.
If you want to supplement your homeowner’s insurance in Rhode Island with add-ons, NBIC offers a large selection. Additional policy options include:
- Flood damage
- Sewer and water backups
- Service line
- Identity theft
- Food loss
- Breakdown coverage for home appliances
NBIC also offers multiple discounts to save money on your annual homeowner’s insurance premium. People with a claim-free history, new or renovated home, or security system may qualify.
Homeowner’s insurance costs vary based on consumer demographics and other factors, including crime rates, home value, median income, claims history, etc. For example, residents in a flood-prone area may have higher premiums. Below are demographics affecting Rhode Island home insurance rates:
- Median home value: According to U.S. census data, the median home value is $276,600, with 484,902 housing units statewide.
- Median household income: Rhode Island’s median income is $70,305, higher than the national median income of $67,521.
- Median age range: The median age is 40. About 19.3% are under 18, and 17.7% are over 65.
- Education: Of people over 25, 89.2% are high school graduates, and 35% have a bachelor’s degree or higher.
No, Rhode Island law doesn’t require homeowners to purchase house insurance, although many mortgage lenders do. Even if your lender doesn’t have mandatory coverage requirements, you should still consider getting a homeowner’s insurance policy to protect your house and belongings.
A standard homeowner’s policy in Rhode Island consists of these primary coverage areas:
- Personal property
- Other structures
- Personal liability
- Loss of use
- Medical payments
Rhode Island’s coastal location leaves it susceptible to extreme weather conditions. Risk factors include hurricanes, tropical storms, floods, and high winds. Therefore, you should add flood and hurricane insurance to your homeowner’s policy, particularly if you live on or near the coast.
What Types of Homeowner’s Insurance Coverage Are Recommended?
A standard homeowner’s insurance policy provides adequate coverage. However, Rhode Island residents should consider policy add-ons for extra protection, including flood, hurricane, and scheduled personal property insurance.
If you live in Rhode Island, flood insurance is a wise investment. The state experiences frequent storm surges and flooding, often causing significant damage to homes and property. You can purchase flood insurance through the National Flood Insurance Program, and residents of certain towns may qualify for discounts.
Rhode Island is also vulnerable to hurricanes. For example, Hurricane Sandy caused major destruction to Rhode Island homes and cost the state about $62 billion. You can purchase hurricane, named storm, and windstorm insurance as additional coverage to your standard homeowner’s policy.
The personal property coverage on your homeowner’s insurance may not cover high-value items like jewelry, collectibles, firearms, artwork, and more. Consider buying scheduled personal property (SPP) insurance to protect your valuables. SPP covers the cost of repair or replacement if your items are stolen or damaged in a covered incident.
Homeowner’s insurance costs in Rhode Island vary according to location, filed claims, crime rate, and demographics. For example, living in a high-risk flood zone typically raises your homeowner’s insurance premium.
The table below lists average Rhode Island home insurance costs by city, based on $250,000 in dwelling coverage.
|City||Average Rhode Island Home Insurance Cost||Difference from Rhode Island Average ($1,193/yr)|
What’s the average cost of homeowners insurance in Rhode Island?
The average cost of Rhode Island homeowner’s insurance is about $1,193 annually based on $250,000 in dwelling coverage.
What types of homeowners insurance are recommended in Rhode Island?
Rhode Islanders should consider adding flood, hurricane, and scheduled personal property insurance to their policy. Many insurers offer custom-built coastal home policies so homeowners can choose the precise coverage necessary to protect their property.
No, Rhode Island law doesn’t require flood insurance. However, individuals living in a flood zone or on the coast should purchase a flood policy for maximum protection.
The monthly cost of homeowner’s insurance for $250,000 in dwelling coverage is about $99 per month. Of course, the price varies based on your specific circumstances and coverage.
Rhode Island law doesn’t require homeowners to get hurricane insurance. However, the state’s coastal location leaves it vulnerable to hurricanes and tropical storms, so many residents purchase a policy for additional coverage.
How To Purchase Rhode Island Home Insurance
By gathering quotes from several reputable homeowners insurance companies, you can compare rates and coverage options to find the best policy for your home. Our rate comparison form makes it easy to get started. Simply enter your zip code and we’ll connect you with top providers in your area. Protect your biggest investment by getting a quote today.