How Much Is Home Insurance In Illinois? 2025 Rates
In Illinois, homeowners insurance costs around $2,402 per year for $300,000 in dwelling coverage.
We’ve saved shoppers an average of $450 per year on their home insurance.
Many homeowners in Illinois, similar to those across the U.S., have seen significant increases in their insurance premiums and changes to their coverage in recent years. In Illinois, homeowners insurance costs are 16% higher than the national average.
With over 20 years of experience in the industry, I can confirm that home insurance prices are at an all-time high. However, with the right research and preparation, it’s possible to find an affordable insurance provider. Here’s what you need to know about home insurance costs in Illinois.
Key Takeaways
In Illinois, homeowners insurance costs around $2,402 per year for $300,000 in dwelling coverage.
If you live in a flood zone or an area at risk for other natural disasters, insurers may offer discounts if you take steps to prepare your home.
To find out how much home insurance will cost in Illinois, it’s best to get quotes from several different companies.
How Much Is Homeowners Insurance In Illinois?
In Illinois, the average cost of homeowners insurance is $2,402 annually for $300,000 in dwelling coverage, which breaks down to about $201 per month. Insurance rates in Illinois and other states with a high risk of natural disasters are expected to continue rising.
The increase will be driven by more extreme weather events like tornadoes, hurricanes, and wildfires, along with higher rebuilding costs due to inflation. This means home insurance could become even more expensive in the future.
Average Home Insurance Cost In Illinois – By Insurance Carrier
Homeowners insurance premiums in Illinois can vary widely between different providers, even for similar coverage. For instance, Auto-Owners offer a much lower annual premium compared to the state average, while Travelers tends to have significantly higher rates.
This difference highlights the importance of comparing quotes from various insurance companies to find the best deal for your needs.
| Insurance Carrier | Average Annual Premium |
| Auto-Owners | $1,220 |
| Nationwide | $1,468 |
| Farmers | $1,362 |
| State Farm | $1,477 |
| USAA | $1,674 |
| Allstate | $1,507 |
| American Family | $2,035 |
| Travelers | $6,227 |
Note: Factors like the insurer’s claims history, underwriting process, and regional risk assessments can lead to different pricing, even for the same coverage.
Average Home Insurance Cost In Illinois – By Claims History
In Illinois, the cost of homeowners insurance can vary depending on a home’s claims history. Insurance companies consider homes with frequent claims to be higher risk.The overall impact of claims history on home insurance costs can range from modest increases to significant jumps, depending on the frequency and severity of the claims.
| Number of Claims | Average Annual Premium |
| None | $2,120 |
| 1 | $2,461 |
| 2 | $2,723 |
Note: Even if you’re insuring a new home, your claims history from previous properties can still impact your premium. This is because insurance companies can review your claims history from the past seven years.
Average Home Insurance Cost In Illinois – By Credit Score
In Illinois, homeowners with poor credit typically pay an average of $9,449 per year for homeowners insurance, while those with excellent credit pay just $1,220. This creates a significant difference of $8,229, highlighting how much credit scores can affect insurance premiums.
| Credit Score | Annual Average Premium |
| Poor (300-579) | $9,449 |
| Fair (580-669) | $5,021 |
| Good (670-739) | $3,237 |
| Very Good (740-799) | $2,124 |
| Excellent (800-850) | $1,220 |
Average Home Insurance Cost For New Homes In Illinois
The average cost of homeowners insurance for new homes in Illinois tends to be slightly higher than for older homes. This is because new homes often have higher replacement costs due to modern building materials and construction methods.
It’s always a good idea to get quotes from multiple insurance providers to find the best rate for a new home.
| Age of Home | Average Annual Premium |
| New | $1,071 |
| 10 | $2,124 |
| 20 | $3,441 |
| 30 | $4,596 |
Average Home Insurance Cost In Illinois – By Coverage Amount
The amount of coverage you choose for your home is usually one of the main factors affecting your insurance cost. The higher your coverage limit, the more expensive your policy will be. For example, the average annual cost to insure a home in Illinois for $250,000 is $2,402.
| Coverage Limit | Average Annual Premium |
| $100,000 | $1,354 |
| $250,000 | $2,402 |
| $500,000 | $3,269 |
| $750,000 | $4,421 |
| $1,000,000 | $9,142 |
| $2,000,000 | $19,125 |
| $3,000,000 | $32,546 |
Average Home Insurance Cost For Different Cities In Illinois
The cost of homeowners insurance in Illinois can vary depending on the city or region due to factors like local risk levels, property values, and the likelihood of natural disasters. For example, the average annual premium in Chicago is high, influenced by the city’s higher population, property values, and the risk of theft or vandalism.
Below are a few examples of rates you can expect in various cities within Illinois.
| City | Average Annual Premium |
| Aurora | $1,907 |
| Elgin | $1,937 |
| Chicago | $2,281 |
| Naperville | $1,911 |
| Joliet | $2,038 |
| Springfield | $2,148 |
| Peoria | $2,138 |
| Rockford | $1,991 |
How To Estimate Your Homeowners Insurance Policy Cost
Homeowners insurance companies take into account various factors related to both the homeowner and the home when calculating premiums. Having all the required details ready can help the process go more smoothly. Here are some of the main factors that insurers use to set your insurance price:
Location: Your location plays a significant role in determining your homeowners insurance premium. For example, living closer to a fire station can lower your rates since the property is at a reduced risk of severe damage in case of a fire.
On the other hand, residing in an area with a higher crime rate may increase your premium, as the risk of theft or vandalism is higher. Additionally, if you live in a region prone to natural disasters like wildfires, tornadoes, or hurricanes, your home insurance may cost more due to the increased risk of damage from these events.
Deductible: Your home insurance deductible is the amount you must pay out of pocket for each claim before your insurance covers the rest of the costs. Choosing a higher deductible can help lower your premiums, but it also means you’ll have to pay more when you make a claim.
Coverage Amount: Home insurance policies offer various types of coverage, such as protection for your belongings and liability. However, dwelling coverage, which protects the structure of your home, has the greatest effect on your premiums. The more dwelling coverage you choose, the higher your insurance costs will be.
Claims History & Credit Score: Insurance companies view homeowners with lower credit scores or a history of multiple claims as higher risk compared to those with good credit and no recent claims. Even having a single claim in the past few years or a credit score below 670 can lead to higher home insurance premiums. It’s important to keep these factors in mind when estimating your insurance costs.
Personal Property: When choosing homeowners insurance, it’s important to take into account the value of your personal property. This includes everything from furniture and electronics to clothing and jewelry. The more valuable your personal belongings, the higher your coverage limit needs to be, which can increase your premium.
Note: It’s important to choose a deductible amount that balances affordable premiums with what you can comfortably afford to pay in case of a loss.
How To Buy Home Insurance In Illinois
Buying home insurance in Illinois involves a few key steps to ensure you get the right coverage at the best price. Here's a guide to help you through the process:
Assess Your Coverage Needs
Consider factors like the value of your home, the cost to rebuild it, the value of your personal belongings, and any additional coverage you might need, such as liability or flood insurance. Understanding these factors will help you choose the right coverage for your specific situation.
Research Different Insurance Companies
Start by researching various home insurance providers in Illinois. Look for companies with good customer service, positive reviews, and strong financial stability.
Get Multiple Quotes
To find the best price, request quotes from several different insurance companies. Make sure you provide the same information to each company so you can compare policies accurately. The quotes will give you an idea of what different providers offer and help you evaluate the cost for the coverage you need.
Compare Coverage Options
Don’t just focus on the price, compare the types of coverage included in each policy. Standard homeowners insurance typically covers the dwelling, personal property, liability, and additional living expenses if your home becomes uninhabitable.
Ask About Discounts
Many insurance companies offer discounts that can lower your premium. These can include discounts for bundling policies, installing safety devices like smoke detectors or security systems, or having a claim-free history.
Choose Your Provider And Buy The Policy
After comparing quotes, coverage options, and discounts, choose the insurance company that offers the best value for your needs. Once you’ve selected a policy, you can purchase it either online, over the phone, or in person. Make sure to keep a copy of your policy for your records.
Review Your Policy Regularly
Your needs may change over time, so it’s important to review your policy regularly. If you make any significant changes to your home, like renovations or acquiring valuable items, update your policy to ensure you have the right coverage.
By following these steps, you can confidently purchase home insurance in Illinois, ensuring your home and belongings are adequately protected.
FAQs
Why is homeowners insurance in Illinois so expensive?:
Homeowners insurance in Illinois tends to be expensive due to factors such as the risk of natural disasters like tornadoes and flooding, high rebuilding costs, and the state’s relatively high crime rates in certain areas. Additionally, inflation and rising material costs have increased the cost of repairs, contributing to higher premiums.
How much is homeowners insurance per month in Illinois?
The average cost of homeowners insurance in Illinois is around $2,402 annually, for a policy with $300,000 in dwelling coverage. However, rates can vary based on factors like location, coverage levels, and the home’s condition.
