How much is homeowners insurance on a $600,000 home?

How much is homeowners insurance on a $600,000 house?

The national average cost of homeowners insurance on a $600,000 house (based on $600,000 in dwelling coverage) is $4,400 a year, but this is just an average.

Average annual homeowners insurance cost for a $600,000 home
Coverage	Average annual premium	Average monthly premium
$600k dwelling, $300k liability, $1,000 deductible	$4,400	$367

Read our methodology

Pricing varies from state to state, so your ZIP code will play a huge role in determining what you pay for coverage.

EXPERT TIP: Home insurance rates are based on the replacement cost of your house, not its market value. If you paid $600,000 for your home, that doesn’t mean that’s the replacement cost.

“The market value of the home is irrelevant,” Wells says.

Other factors like the deductible and liability limits you choose also matter. In most states, insurers also look at your credit score. Poor credit is statistically correlated to a higher likelihood of filing a claim, so you’ll pay more for homeowners insurance.

Someone with a poor credit rating can pay rates about 150% higher than a person with an excellent credit rating.

Homeowners insurance for a $600k home by state

The state you live in is one of the biggest factors in home insurance rates on your $600k house. Your ZIP code plays a huge role in insurance companies' calculation of your risk profile, taking into consideration weather and natural disaster trends in that area as well as claims history.

For example, in Connecticut, the average cost for $600,000 of dwelling coverage is $3,346 per year. In Kentucky, the same amount of coverage costs $6,589 a year.

Take a look at the table below to see the average rates in each state for a $600,000 house.

Average homeowners insurance cost by state for a $600k home
State	Annual premium for a $600K house	Monthly premium for a $600K house	Hurricane deductible
Alaska	$2,262	$188	None
Alabama	$6,090	$508	2%
Arkansas	$6,223	$519	None
Arizona	$3,985	$332	None
California	$2,981	$248	None
Colorado	$8,213	$684	None
Connecticut	$3,346	$279	2%
Washington, D.C.	$2,752	$229	None
Delaware	$2,570	$214	2%
Florida*	$13,729	$1,144	2%
Georgia	$4,152	$346	2%
Hawaii	$1,249	$104	None
Iowa	$4,695	$391	None
Idaho	$3,907	$326	None
Illinois	$4,508	$376	None
Indiana	$4,720	$393	None
Kansas	$9,605	$800	None
Kentucky	$6,589	$549	None
Louisiana	$10,870	$906	2%
Massachusetts	$2,616	$218	2%
Maryland	$3,210	$267	2%
Maine	$2,431	$203	2%
Michigan	$4,901	$408	None
Minnesota	$4,966	$414	None
Missouri	$6,505	$542	None
Mississippi	$4,101	$342	2%
Montana	$5,314	$443	None
North Carolina	$5,488	$457	2%
North Dakota	$4,965	$414	None
Nebraska	$7,403	$617	None
New Hampshire	$2,163	$180	2%
New Jersey	$2,481	$207	2%
New Mexico	$5,618	$468	None
Nevada	$3,137	$261	None
New York	$3,021	$252	2%
Ohio	$3,525	$294	None
Oklahoma	$9,457	$788	None
Oregon	$2,708	$226	None
Pennsylvania	$2,591	$216	2%
Rhode Island	$4,378	$365	2%
South Carolina	$5,454	$455	2%
South Dakota	$6,462	$539	None
Tennessee	$5,174	$431	None
Texas	$7,020	$585	2%
Utah	$3,033	$253	None
Virginia	$3,481	$290	2%
Vermont	$1,773	$148	None
Washington	$3,078	$257	None
Wisconsin	$3,031	$253	None
West Virginia	$2,861	$238	None
Wyoming	$4,051	$338	None

Read our methodology

Calculate the cost of homeowners insurance for a $600,000 house

The calculator below will help you estimate the cost of $600,000 in dwelling coverage for a house in your area.

$600k homeowners insurance calculator

Average home insurance rates on 600K house in Texas

Most & least expensive ZIP codes for homeowners insurance in Texas

Most expensive
Least expensive

ZIP code	City	Highest rate
77550	Galveston	$10,164
77586	El Lago	$9,906
77551	Galveston	$9,536
77554	Galveston	$9,358

ZIP code	City	Lowest rate
78559	Iglesia Antigua	$1,956
78593	Santa Rosa	$1,999
79915	El Paso	$2,008
79905	El Paso	$2,009

Read our methodology

Best homeowners insurance for a $600,000 house

Amica comes out on top as the best home insurance company for a $600,000 home, based on our analysis of average rates, the National Association of Insurance Commissioners' (NAIC) complaint index, AM Best financial stability ratings, and the annual Insurance.com survey of insurance customers. Amica's low rates and low complaint ratio helped it take the top spot.

See how major insurance companies ranked below.

Best carriers for $600,000 home insurance based on AM Best rating and NAIC complaint ratio
Company	AM Best	NAIC	Average annual premium	Survey Score	Insurance.com rating
Amica	A+	0.37	$2,401	4.12	4.57
Travelers	A++	0.91	$3,754	4.25	4.3
Allstate	A+	1.26	$3,110	4.38	4.29
State Farm	A+	1.15	$3,913	4.32	4.14
Farmers	A	0.89	$5,377	4.31	3.85
Nationwide	A	1.34	$5,342	4.31	3.73
Progressive	A+	1.5	$6,624	4.04	3.42
USAA	A++	0.46	$3,957	4.53	4.49

Read our methodology

Cost of homeowners insurance on a $600,000 house by liability limits

Experts recommend increasing your liability coverage from the standard $100,000 to at least $300,000. Tripling your coverage has a minimal effect on rates, ranging from $1 a year at USAA to $169 a year at State Farm.

Take a look at the table below to see what home insurance costs for different liability amounts.

Home insurance cost by liability level for a $600,000 house
Company	$600,000 with $1,000 deductible and $100,000 liability	$600,000 with $1,000 deductible and $300,000 liability	Difference
Allstate	$3,081	$3,110	$29
American Family	$4,845	$4,867	$22
Amica	$2,383	$2,401	$18
Auto-Owners	$4,617	$4,642	$25
Erie Insurance	$4,910	$4,927	$17
Farmers	$5,327	$5,377	$50
Nationwide	$5,319	$5,342	$23
Progressive	$6,611	$6,624	$13
State Farm	$3,744	$3,913	$169
Travelers	$3,730	$3,754	$24
USAA	$3,956	$3,957	$1

Read our methodology

What does homeowners insurance on a $600k house cover?

Homeowners insurance has different coverage sections for any home, whether it’s worth $600,000 or $100,000. If your home has a replacement cost of $600,000, that will be the dwelling coverage amount. Your other structures and personal property coverages are a percentage of that amount, so it’s important to get it right.

These are the coverages on a standard policy and what they protect:

Dwelling coverage. Coverage A on your home policy, this is the coverage that pays to repair or rebuild your home and any attached structures. It should equal the replacement cost of your home.
Other structures. Coverage B on your policy protects detached structures such as fences, garages and sheds. Usually set at 10% of the dwelling coverage, which is $60,000 on a $600,000 policy.
Personal property. Coverage C protects the contents of your home and also covers your personal property off-premises. Set at 50% to 70% of the dwelling coverage, or $300,000 to $420,000 on a $600,000 policy.
Additional living expenses/Loss of use. Coverage D provides coverage for a place to live if your house is being repaired and is uninhabitable due to a covered loss.
Liability. Coverage E covers liability when you are responsible for injuries to others or damage to their property.

Standard home insurance policies include replacement cost coverage, not actual cash value, which “is depreciated value,” Wells says, “which is never enough to rebuild or replace. Adequate replacement cost coverage will leave you without an undue burden after a loss.”

You may also want to look into flood insurance, as it’s not included with standard home insurance. Additional coverage, such as earthquake or windstorm insurance, can be added as well.

Homeowners insurance for a $600,000 home by credit rating

The average cost of home insurance with $600,000 in dwelling coverage and $300,000 in liability with a $1,000 deductible is $3,769 if you have excellent credit. Poor credit drives that average up to $9,578.

Take a look at the table below. You can see that a person with an excellent credit rating pays significantly less than someone with a poor credit score. Insurers use credit as a measure of financial risk, as statistically lower credit scores are correlated with increased likelihood of filing a claim.

Homeowners insurance premiums for a $600,000 home by credit tier
Credit tier	$600,000 with a $1,000 deductible $100,000 liability	$600,000 with $1,000 deductible and $300,000 liability
Excellent	$3,741	$3,769
Fair	$5,591	$5,648
Good	$4,537	$4,574*
Poor	$9,474	$9,578

Read our methodology

*This average differs from the overall national average due to state differences in the use of credit for home insurance rating. States that do not allow the use of credit are excluded from this average.

Calculating homeowners insurance for a $600,000 house (and how much coverage you need)

To calculate how much homeowners insurance you need for a $600,000 house, you need to know the reconstruction cost of your home, which can be calculated by an appraiser or using a replacement cost calculator; insurance companies use these.

If you paid $600,000 for your house, that doesn't translate to the amount of insurance you need, as market value and replacement cost are not the same.

“You need replacement cost coverage, which is enough insurance to rebuild the home the way it was,” Wells says.

Insurance companies calculate the replacement cost of your home using complex tools that include dozens of factors.

“Your insurance agent and carrier have tools to estimate replacement cost on the home. Ideally, you want to insure for 100% of replacement cost, minus the deductible you can comfortably afford,” Wells says.

EXPERT TIP: The amount of insurance you need changes over time. Inflation and changes in the cost of repairs can impact the cost of rebuilding your home. Your insurer will review this at each renewal and likely increase your coverage as needed.

When you request a quote, give as much detail as possible to get the coverage correct. Remember that it may be more or less than what you paid for the home.

Factors affecting the cost of home insurance on a $600,000 home

There are several factors that affect the cost of homeowners insurance. They include:

The location. “Location of the home is a big one because weather can cause a lot of losses,” Wells says. If you live in “tornado alley” or a flood zone, look to pay much higher home insurance costs than other areas.
The construction type and size of the home. “The type of construction is also very important,” Wells says. This is especially important in areas where wildfires are increasing in frequency, scope and size, like California or Hawaii. “A wood frame house is much more susceptible to total fire loss than a brick home.”
The amount of coverage. More coverage means higher rates.
Your claims history and the claims history of the property. Another thing to consider is that if someone who lived in the house prior to you filed claims, that will factor into your home insurance costs. Insurance companies look at the claims history of not just the policyholder but also the property itself.
Your credit history. Most states allow insurance companies to use credit when calculating home insurance rates. Poor credit indicates a higher risk of filing a claim.

How to save on homeowners insurance for a $600k home

There are a few ways to save on your homeowners insurance regardless of how much it’s worth or the amount of dwelling coverage you need:

Consider increasing your deductible if you can afford it.
Ask about discounts. “Talk to your agent about discounts available, such as for smoke alarms and security systems,” Wells says.
Look into bundling your home and auto insurance with the same carrier.
Keep your credit score in good shape.
Keep up with the general maintenance on your home. Do a walk-around every season and take care of the little items before they become big ones. Trim trees and note roof and siding issues.
Shop around for the best rates, especially if you have less than desirable claims history or credit score. While one carrier might be expensive, you may find more favorable rates with another.
Don’t file small claims. Claims can increase rates, so if you can afford the repairs out of pocket, especially if the cost is not much above the deductible, it may save you money in the long run.
Review your policy annually to ensure you have the right coverage, are taking advantage of all discounts and aren’t being charged for anything in error.

Methodology

Home insurance rates are fielded by Quadrant Information Services for Insurance.com in all 50 states and Washington, D.C. National and state home insurance averages are based on the following parameters:

$600,000 in dwelling coverage
$300,000 in liability coverage
A $1,000 deductible
A 2% hurricane deductible in applicable states
Good credit

We also gather data for:

$100,000 in liability coverage
Deductibles ranging from $500 to $5,000

Learn more about our data and methodology.

FAQ: Insurance for a $600,000 house

Is replacement cost coverage mandatory for a $600k home?

Yes, if you have a mortgage, your mortgage company will require you to carry replacement cost coverage. Additionally, if you carry less than 80% of your home’s replacement cost, your insurer may pay a reduced amount if you file a claim. So, while the carrier may allow you to insure for less, carrying less than 100% replacement cost is never recommended, as it will leave you exposed to major financial risk.

Is it hard to find home insurance on a $600,000 house?

Insuring a $600,000 house isn’t difficult unless you have a poor credit history or if the home is in a severe-weather zone. In certain states, homeowners insurance is becoming increasingly expensive due to climate-related weather changes. For instance, finding insurance in certain parts of California can be challenging because of the wildfires. Florida has similar challenges in hurricane and flood zones.

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