Choosing the best home insurance company for your situation requires not only looking at differences in cost, but also an understanding of the coverages and level of service involved. To figure out which insurers offer the greatest value to Maryland homeowners, we gathered hundreds of quotes and examined the customer service quality of a dozen providers.
Compare Home Insurance Quotes from Providers in Maryland
The average cost of home insurance in Maryland is around $1,392 per year.
This is somewhat more expensive than the typical cost of coverage in the United States, which we calculated to be $1,083.
In our research, we found rates for a typical home insurance policy in Maryland that went as low as $808 per year of coverage. However, we also found that evaluating home insurance companies required more than just comparing quotes. Here are our recommendations for dependable coverage in the Free State.
Cheapest options for homeowners insurance in Maryland
The cheapest homeowners insurance for most people in Maryland is Travelers, which sells coverage for $808. On the other hand, the most expensive was Chubb, which sells homeowners insurance for an average of $1,922.
Compare Home Insurance Quotes from Providers in Maryland
Best homeowners insurance for most people: State Farm
The best homeowners insurance for most of Maryland's property owners is State Farm. The provider's most affordable coverage on average has industry-standard protection that will make it a fit for a typical homeowner. For those who want to enhance their homeowners insurance, State Farm also offers a variety of upgradable features.
The average cost of homeowners insurance from State Farm is about $1,051 per year in Maryland, nearly 25% cheaper than the statewide average. Additionally, you could reduce the price of your premium if you bundle your homeowners insurance with State Farm's auto insurance. You could also save if your home is outfitted with fire alarms, smoke alarms or a reinforced roof.
State Farm's homeowners insurance usually comes with protection for your home and property from commonly insured perils, such as wind, fire and falling objects. But if you're someone that wants more protection, State Farm has a few extra features. You could upgrade your policy with:
- Water and sump pump backup protection
- Identity theft restitution and recovery services
- Additional coverage for personal property
- An endorsement that consolidates prolonged hurricane damage into one deductible
The claims service from State Farm comes highly rated, too. The National Association of Insurance Commissioners (NAIC), the industry's standard setting group, reports that State Farm receives about 80% fewer complaints than would be expected based on the size of its market share. This makes its customer service among the best of the companies we surveyed.
Most affordable homeowners insurance: Travelers
Travelers sells the most affordable homeowners insurance in Maryland on average, with a price of $808 per year. This is about 42% cheaper than the average cost of coverage in the state, and about $200 less than the next cheapest provider.
On top of offering the cheapest average homeowners insurance in Maryland, Travelers gives you many ways to reduce the cost of your policy even further. You may be able to lower your premium if you:
- Bundle your homeowners insurance with another form of coverage
- Bought your home less than 12 months ago
- Install protective devices, such as smoke detectors or sprinklers, in your home
- Have a loss-free insurance history
- Own a home that's been certified green by LEED
There are endorsements available to add onto your Travelers homeowners insurance policy. A standard policy should meet the needs of most homeowners, but you can enhance your coverage with replacement cost coverage, $25,000 of identity theft protection and water backup guard, among others.
You won't have to exchange low prices for poor customer service with Travelers. According to the NAIC, Travelers has a complaint index of 0.44, much less than the 1.0 the organization uses to represent an insurer's expected number of complaints.
Best for complete coverage: Erie
Erie sells the best homeowners insurance for Marylanders who want to maximize their coverage. Erie's standard coverage comes with replacement cost coverage: If you submit a claim after a loss, your compensation won't be deducted based on your home's depreciation. Instead, you'd be reimbursed enough to replace your property's current materials as long as the cost didn't exceed your policy's limit.
Despite including premium coverage, homeowners insurance from Erie costs about $1,114 annually, around 20% less than the statewide average. You can also purchase a few additional add-ons, including water backup and sump pump overflow, identity recovery services and service line protection.
Erie's protection comes with some of the best-rated customer service in this survey. Erie is responsible for about 85% fewer complaints than its size would suggest. In Maryland, the insurer only received eight complaints in 2018.
Best for military families: USAA
USAA is the best homeowners insurance for eligible households, including active or retired military service members and their families. Coverage from the USAA is specially catered to meet the needs of members of the military.
Homeowners insurance from USAA comes with protection for your uniform if its damaged during active or reserve duty. If you or someone in your family is enrolled at the U.S. Navy Academy at Annapolis, you may also qualify for extra protection for your laptop if it was issued by the school.
The average cost of homeowners insurance from USAA is about $1,368 per year. This isn't much cheaper than Maryland's typical price of coverage, but since you receive replacement cost coverage and the best customer service of any provider in our survey, we recommend considering USAA is you're eligible.
Maryland's homeowners insurance rates: city-by-city breakdown
We computed the average cost of coverage in Maryland's 50 most populated cities using the data we collected for analyzing the state's homeowners insurance companies. Below, we've communicated these results in a table.
The most expensive city in Maryland for homeowners insurance is Baltimore, which charges about 30% more than the statewide average. We found that the least expensive cities for homeowners coverage are Frederick, Rockville and Aspen Hill.
% from Statewide Average
The homeowners insurance companies with the best reviewed customer service
To determine which homeowners insurance company in Maryland has the best customer service, we compared data from the NAIC's complaint index and each company's J.D. Power customer satisfaction scores.
The best reviewed homeowners insurance companies in Maryland are USAA, Erie and Chubb, which all have complaint indices that are less than 0.20. Travelers has the highest complaint index of the companies we surveyed, but its score of 0.44 doesn't indicate that it's responsible for an inordinate number of complaints.
AM Best (financial strength)
Most common homeowners insurance perils in Maryland: Flooding and snow
As Maryland is a seaboard state, it's subject to a range of water-related perils, such as flooding and hurricanes. Toward the center and western parts of the state, the risk of flooding goes down but is replaced by potential damage from snowfall.
No matter your place in Maryland, it's important to understand how your homeowners insurance would protect your property from common perils if you suffered damage. Being prepared for the types of natural disasters that are most likely to impact your home can help you decide if an insurer is the best fit for you.
Does homeowners insurance cover flooding?
Most homeowners insurance policies don't cover flooding. In fact, to buy coverage for flood damage you'll have to purchase a policy through a private insurer or the National Flood Insurance Program. Flood insurance can be expensive. A typical policy costs about $700, but depending on your location the price could vary.
If your home is located on Maryland's eastern side and you're worried about how you'd be affected by the wind and flooding damage that hurricanes can cause, it's worth knowing that your homeowners insurance policy likely covers wind damage that results from tropical cyclones.
However, you should make sure that you have enough coverage to rebuild your home if it were destroyed, considering the way that depreciation will impact any compensation you receive after a disaster.
Does homeowners insurance cover snow damage?
If your home sits on Maryland's eastern side, you probably won't have to worry about getting heavy snow regularly. As the state stretches toward the Appalachian Mountains, the amount of snowfall per year increases. Fortunately, the damage that snow could cause is frequently covered by homeowners insurance.
Homeowners insurance policies typically include coverage for damage caused by the weight of accumulated snow or ice. Additionally, you should be covered for leaks that result from melting snow.
For this survey, we collected quotes from seven of Maryland's largest homeowners insurance providers. We gathered quotes from every ZIP code in the state using a sample profile for a $312,500 home that was built in 1976. These numbers correspond to the median home value and median year built of owner occupied houses in the state.
The insurers we got data from are:
- State Farm
ValuePenguin's analysis used insurance rate data from Quadrant Information Services. These rates were publicly sourced from insurer filings and should be used for comparative purposes only — your own quotes may be different.