The Best and Cheapest Home Insurance Companies in Iowa (2026)
Farmers sells the best and cheapest home insurance in IA for most people, with an average rate of $2,181/year for a $350,000 policy. | ||
Iowa home insurance costs an average of $3,136/year. That's the 11th-highest rate in the country. | ||
Homeowners in western Iowa pay the highest rates, while homeowners in the eastern half of the state have lower average costs. |
Find Cheap Home Insurance Quotes in Iowa
What is the best cheap homeowners insurance in Iowa?
What company has the cheapest home insurance in Iowa?
Farmers has the cheapest home insurance in Iowa for most people. A policy with $350,000 in dwelling coverage costs an average of $2,181 per year.
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- For low-to-moderately priced homes, Farmers is a cheap choice. But State Farm is a cheaper option if your home is of higher value.
- Farmers also has cheap rates for newly built homes. A $350,000 policy for a new house costs an average of $1,072 per year with Farmers.
- Farmers is the cheapest company in 736 cities in Iowa, while State Farm is the cheapest option in 122 Iowa cities. So it's worth it to shop around and compare quotes.
Best cheap IA home insurance by dwelling amount
Key takeaways
- Iowa home insurance rates have gone up by nearly 91% in the last five years. That's the biggest rate jump of any state in the country.
- Iowa Farm Bureau and IMT Insurance have raised rates the most. Both companies have increased rates over 130% since 2021.
- Get replacement cost coverage for your roof, if you can. Wind and hail are common in Iowa, and both can easily damage roofs.
Best and cheapest home insurance for most people in Iowa: Farmers
| Editor rating | |
| Annual cost | $2,181 |
| Monthly cost | $182 |
| Customer complaints |
Pros & cons
- Cheap rates
- Lots of discounts
- Few complaints
- Fewer coverage options vs. competitors
- Customer satisfaction is mixed
Why is Farmers the best?
Farmers has cheap rates for Iowa home insurance, plus lots of discounts to save even more.
How much does Farmers cost in Iowa?
Dwelling coverage limit | Annual rate | % from state avg. |
|---|---|---|
| $200,000 | $1,374 | 34% cheaper |
| $350,000 | $2,181 | 30% cheaper |
| $500,000 | $3,181 | 23% cheaper |
| $1 million | $6,214 | 15% cheaper |
You can get an even cheaper rate if you qualify for some of Farmers' many home insurance discounts. For example, you could save by putting on a new roof, having a smart home system, being a military member or having certain jobs.
Farmers also has some good coverage options, including water backup coverage. You can even add coverage to help get the right materials so repairs match the undamaged parts of your house. For example, say a storm damages your siding, but you can't find new siding that matches what you had before. This coverage means Farmers will pay to replace the rest of your siding so everything is the same.
Potential issues
Farmers doesn't have as many options for extra coverage as some competitors, such as Shelter and State Farm. If you need more specialized coverage for your home, those companies might be a better option.
Additionally, Farmers' customer satisfaction is mixed. The company gets fewer complaints than expected, according to the National Association of Insurance Commissioners (NAIC). But J.D. Power ranks Farmers below average for both overall customer satisfaction and satisfaction with the claims process.
Best home insurance coverage in Iowa: Shelter
| Editor rating | |
| Annual cost | $2,558 |
| Monthly cost | $213 |
| Customer complaints |
Pros & cons
- Lots of coverage options
- Cheaper-than-average rates
- Good customer service
- Fewer discounts than competitors
- Limited customer service hours
Why is Shelter the best?
Shelter has an impressive list of coverage options to help you personalize your home insurance to your specific needs.
For example, you can add coverage to your Shelter home insurance policy for certain farming activities, without having to buy a separate farm insurance policy. You can also include coverage for damage to landscaping, such as your trees and plants. This could help you repair your lawn and landscaping after storm damage.
Shelter also has excellent customer service. According to the National Association of Insurance Commissioners (NAIC), Shelter gets 60% fewer complaints about its Iowa home insurance policies compared to an average company its size.
Potential issues
While Shelter's rates tend to be cheaper than the state average, the company doesn't offer as many discounts as some of its competitors. If you're on a tight budget, you can probably get a cheaper rate and more discounts with another company.
Shelter also isn't the best option if you want 24/7 access to your insurance company. While you can report a claim at any time, you can only reach customer service for questions and other issues between 7 a.m. and 10 p.m. CST Monday through Saturday. This could make it hard for some homeowners with unusual schedules to get in contact with Shelter.
Compare coverage options
Shelter offers more coverage options than most major companies in Iowa.
Company | # of optional coverages |
|---|---|
| American Family | 18 |
| Shelter | 16 |
| Nationwide | 12 |
| Allstate | 9 |
| Auto-Owners | 9 |
The number of extra coverage options reflects coverages listed on each company's website.
Although American Family offers more coverage options, it also has higher rates, which means Shelter is a better choice for most people.
Best home insurance in Des Moines: State Farm
| Editor rating | |
| Annual cost | $2,326 |
| Monthly cost | $194 |
| Customer complaints |
Pros & cons
- Cheap rates in Des Moines
- Excellent bundling discount
- Local agents available
- More complaints than average
- Fewer discounts than some companies
Why is State Farm the best?
State Farm has the cheapest home insurance rates in Des Moines.
A State Farm policy with $350,000 in dwelling coverage costs $2,418 per year in Des Moines. That's 23% cheaper than the city average of $3,126 per year.
State Farm has agents in 124 cities in Iowa. Local agents can help you evaluate the type of coverage you need for your home based on its unique features. Their expert advice can help you create a policy that works for you and your home's specific needs.
State Farm also has good car insurance rates in Iowa and an excellent bundling discount. You can save about 27% on your home insurance and 18% on your car insurance by bundling with State Farm.
Potential issues
State Farm doesn't have the best customer service in Iowa. The company gets about 23% more complaints than expected for a company its size, according to the National Association of Insurance Commissioners (NAIC).
J.D. Power also gives State Farm a lower-than-average score for claims satisfaction. That could be a red flag; customers may not be happy with the service they get during their claims, and it could take a while for their homes to be fixed.
Compare rates in Des Moines
State Farm has the cheapest home insurance rates in Des Moines, Iowa.
Company | Annual rate | % from city average |
|---|---|---|
| State Farm | $2,418 | 23% cheaper |
| Auto-Owners | $2,477 | 21% cheaper |
| Shelter | $2,509 | 20% cheaper |
| Farmers | $2,550 | 18% cheaper |
| West Bend | $2,862 | 8% cheaper |
Rates are for a policy with $350,000 of dwelling coverage. *USAA is only available to military members, veterans and some of their family members.
What are the best-rated homeowners insurance companies in Iowa?
Auto-Owners, Shelter and USAA are the best home insurance companies in Iowa.
All three companies have a low level of customer complaints, according to the National Association of Insurance Commissioners (NAIC). They also offer good coverage options. However, USAA is only available if you're a military member, a veteran or a family member of someone in the military.
Company |
Rating
|
Complaints
|
|---|---|---|
| Auto-Owners | Low | |
| Shelter | Low | |
| USAA | Low | |
| Farmers | Low | |
| Nationwide | Low |
What's the average home insurance cost in Iowa?
Iowa home insurance costs an average of $3,136 per year for $350,000 in dwelling coverage.
That's 31% higher than the national average cost of home insurance, which is $2,395 per year. Iowa has the 11th-highest average home insurance rate in the country. That is possibly in part because of Iowa's high risk for wind and hail damage.
Average IA home insurance cost by dwelling coverage amount
Dwelling coverage | Average rate |
|---|---|
| $200,000 | $2,069 |
| $350,000 | $3,136 |
| $500,000 | $4,154 |
| $1 million | $7,303 |
Iowa home insurance is more expensive than coverage in most of the nearby states. In Minnesota, the same coverage costs $2,774 per year. The average rate in Illinois is $2,731 per year, and in Missouri, a policy costs $2,641 per year. And in Wisconsin, $350,000 in dwelling coverage only costs $1,679 per year.
But the states to the west of Iowa tell a different story. Home insurance in Nebraska is more expensive than it is in Iowa, with an average rate of $4,956 per year. And although South Dakota's rate is closer to Iowa's at $3,258 per year, coverage is still expensive.
Iowa home insurance rates by city
In Des Moines, home insurance costs $3,126 per year, on average, for $350,000 in dwelling coverage.
A policy in Cedar Rapids costs $2,913 per year, while Davenport's average home insurance rate is $2,795 per year.
Princeton, along the eastern edge of the state, has the cheapest home insurance in Iowa, with an average rate of $2,714 per year. Thurman, in southwestern Iowa near the border with Nebraska, has the most expensive yearly rate, at $3,881.
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Cost of IA home insurance by city
City | Average rate | Cheapest company | Cheapest rate |
|---|---|---|---|
| Ackley | $3,031 | Farmers | $2,019 |
| Ackworth | $3,162 | Farmers | $2,260 |
| Adair | $3,533 | Farmers | $2,449 |
| Adel | $3,215 | Farmers | $2,234 |
| Afton | $3,509 | Farmers | $2,308 |
Rates are for a policy with $350,000 of dwelling coverage.
Common causes of home damage in Iowa
Iowa's weather can be unpredictable and damaging. High winds, tornadoes, hail, winter storms and flooding can all cause catastrophic damage to homes. Making sure your home insurance covers you for the most common types of severe weather in the state can give you peace of mind.
Does Iowa home insurance cover tornadoes and wind damage?
Iowa is often hit by tornadoes and strong summer storms that come with high winds. Most home insurance policies automatically cover wind damage, including damage caused by tornadoes. You might have a separate deductible for wind, though, and it's usually higher than the deductible for other types of damage.
Iowa had 454 instances of high wind in 2025, according to the NOAA/National Weather Service Storm Prediction Center. And although only 36 tornadoes hit the state in 2025, there were 124 tornadoes in 2024 and 72 in 2023.
Does home insurance in Iowa cover hail damage?
Fortunately, most home insurance policies automatically cover hail damage. Just like with wind coverage, though, you may have a separate, higher deductible to pay if you file a claim after a hailstorm. Hail is common in Iowa, with 144 hailstorms recorded in 2025, according to the NOAA/National Weather Service Storm Prediction Center.
You might also get a discount if your home has hail-resistant roofing, siding and windows, because it will be less likely to be damaged by hail.
Does home insurance in Iowa cover snow and ice?
Home insurance normally covers damage caused by cold temperatures, ice and snow. But you probably won't have coverage if a lack of home maintenance contributed to the damage. Before winter hits, make sure your home is ready. That way, if you do have damage, insurance is more likely to pay for it.
Winter storms are common in the plains. Cold temperatures can cause pipes to freeze and burst. Snow and ice can build up on roofs, damaging the structure of your home and creating leaks.
Does Iowa home insurance cover flooding?
Home insurance does not cover damage caused by floods. You need to buy a separate flood insurance policy to get coverage for flood damage.
The Federal Emergency Management Agency (FEMA) has recorded more than 1,800 floods in Iowa since 2015. All together, those floods caused over $72 million in damage.
Even if you don't live near a river or body of water, you could still be at risk for floods. Even an inch of floodwater can cause tens of thousands of dollars of damage.
How to save on home insurance in Iowa
Home insurance in Iowa can be expensive, depending on where you live and how much coverage you need. But you can take a few steps to get a cheaper home insurance policy.
Newer roofs are less likely to be damaged by wind and hail, so most insurance companies give you a discount for having one. Even if you don't need a new roof, keeping your roof in good condition can help you avoid filing claims, which increases your rate. | |
Getting your auto and home insurance from the same company can save you hundreds of dollars each year. Bundling discounts are usually some of the biggest savings that insurance companies offer. | |
Each home insurance company sets its own rates, which means the same coverage costs different amounts depending on the company you choose. Shopping around lets you find the cheapest rate for the coverage you need. |
Is Iowa home insurance getting more expensive?
Home insurance prices have surged 90.9% in Iowa over the last five years.
That's the biggest increase of any state. The year with the largest increase was 2024, when rates rose by more than 26%.
Iowa home insurance rate changes, 2021-2025
Year | Avg. rate increase |
|---|---|
| 2021 | 4.51% |
| 2022 | 7.33% |
| 2023 | 17.09% |
| 2024 | 26.38% |
| 2025 | 14.46% |
Home insurance rate change data was compiled using RateWatch from S&P Global, which uses information from the National Association of Insurance Commissioners (NAIC).
IMT Insurance and Iowa Farm Bureau both raised rates by over 130% in the last five years. USAA has had the lowest level of rate increases, but its rates have still gone up by over 23% since 2021.
Frequently asked questions
How much is home insurance in Iowa?
Home insurance in Iowa costs $3,136 per year, on average, for a policy with $350,000 in dwelling coverage. Your rate will be different depending on where you live, how your home is built, if you've filed any home insurance claims and more.
What is the cheapest homeowners insurance in Iowa?
Farmers has the cheapest rates for policies with $350,000 in dwelling coverage, costing $2,181 per year, on average. Depending on how much coverage you need, other cheap companies in Iowa include State Farm, Auto-Owners and Shelter.
Who has the best home insurance in Iowa?
Farmers has the best home insurance in Iowa for most people because of its cheap rates and discounts. Shelter is a good option if you want to add extra coverage to your policy, and State Farm has the cheapest rates in Des Moines.
Methodology
ValuePenguin's experts got home insurance quotes from 10 top home insurance companies in Iowa for every residential ZIP code in the state. The quotes are for a 45-year-old married man who hasn't filed any home insurance claims. ValuePenguin used a 1,623 square foot home built 47 years ago. This is based on the average home in Iowa. New home data is for a home built in 2025.
Our experts used the following coverage limits to get average rates for different home values:
- Dwelling coverage: $200,000, $350,000, $500,000 or $1 million
- Personal liability: $100,000
- Medical payments: $1,000
- Deductible: $1,000
Quotes are from Quadrant Information Services. Quadrant uses publicly available insurance company filings to source its rates. These rates are averages. Your rates will be different based on your situation.
ValuePenguin's ratings of home insurance companies use average rates, coverage options, discounts, customer complaint numbers from the National Association of Insurance Commissioners (NAIC) and J.D. Power scores from the home insurance customer and claims satisfaction surveys.
Sources:
About the Author
Senior Writer
Cate Deventer is a Senior Writer who specializes in health insurance, Medicare, auto and home insurance. She's been a licensed insurance agent since 2011.
She started her insurance career working as a customer service agent for State Farm. She later moved to an independent agency, where she worked with several insurance companies and hundreds of clients. She quoted policies, filed claims and answered insurance questions. In 2021, she pivoted her career and began writing about insurance for Bankrate. She moved to ValuePenguin in 2023 and began writing about health insurance and Medicare.
Cate has a passion for helping readers choose insurance to fit their needs. She enjoys knowing that her research and knowledge help people choose insurance products that make a positive difference in their lives.
How insurance helped Cate
Cate used her health insurance knowledge to navigate a surgery in 2023. Understanding how her policy worked let her focus on recovery instead of worrying about bills.
Expertise
- Health insurance
- Medicare & Medicaid
- Auto insurance
- Home insurance
- Life insurance
Credentials
- Licensed Life, Accident & Health Insurance Agent
- Licensed Property & Casualty Insurance Agent
Referenced by
- CBS
- NBC
- Wall Street Journal
Education
- BA, Theatre, Purdue University
- BA, English, Indiana University
Editorial Note: The content of this article is based on the author's opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.
