Best homeowners insurance in Arizona for 2022

We looked at policy cost, coverage quality, and unique policy offerings for Arizona residents to find the best homeowners insurance companies in Arizona.

Jessica Olivo

By

Jessica Olivo

Jessica Olivo

Freelance contributor

Jessica Olivo is a writer living in Connecticut. She specializes in web and blog content in a variety of topics such as parenting, business, and culture, as well as serialized and short fiction.

After working in publishing and book publicity for many years, she transitioned to freelance writing full time.

Expert reviewed

Expert reviewed

This article has been reviewed by a licensed Policygenius expert to ensure that sources, statistics, and claims meet our standard for accurate and unbiased advice.

Learn more about oureditorial review process.

By

Michael Reynolds, CSRIC®, AIF®, CFT-I™

Michael Reynolds, CSRIC®, AIF®, CFT-I™

Financial Advisor

Michael Reynolds, CSRIC®, AIF®, CFT-I™, is a financial advisor, principal and founder of Elevation Financial, host of the weekly personal finance podcast Wealth Redefined®, and a member of the Financial Review Council at Policygenius.

Updated|7 min read

Policygenius content follows strict guidelines for editorial accuracy and integrity. Learn about our editorial standards and how we make money.

Arizona is prone to expensive wildfires that cause damage to land and homes on a regular basis, making homeowners insurance vitally important for residents. 

The average cost of homeowners insurance in Arizona is $1,897 per year or $158 a month. This is right on par with the national average of $1,899. 

Compare home insurance rates in Arizona

We don't sell your information to third parties.

But there are other factors you should consider when choosing an insurer. Not sure what to look for? Policygenius can help you figure out your coverage needs and compare quotes from multiple top companies in Arizona.  

Home

UPDATE: Home insurance premiums up 15% in Arizona

Home insurance premiums in Arizona increased by 14.8% from May 2021 to May 2022, according to our latest analysis of internal policyholder data. This is due to a mix of rising inflation, labor shortages, and severe wildfires that have plagued the state in recent years.

You can find all of the details in our Policygenius Home Insurance Pricing Report

Best homeowners insurance companies in Arizona

Of the companies we looked at, USAA had the lowest home insurance rate in Arizona, with an average yearly cost of $863. The next lowest rate in the state is $1,150 with American Family, which is $747 below the state average. 

In addition to cost, it’s also important to look at a company’s record with customer satisfaction, and all five of the insurers we looked at have scored high ratings with J.D. Power.

Policygenius analyzed thousands of quotes from the 5 largest Arizona insurers to find the average cost of homeowners insurance with each company in 2022. We then looked at 2021 J.D. Power customer satisfaction scores and compared that with the coverage needs of Arizona residents to find the best homeowners insurance in Arizona.

Company

Average yearly cost

J.D. Power Rating

State Farm

$1,362

835

Farmers

$1,940

813

USAA

$863

882

American Family

$1,150

831

Allstate

$1,945

829

State Farm

State Farm logo

There's a reason State Farm is one of the top-rated insurance companies in the U.S. — its customer satisfaction ratings are through the roof, it offers a slew of coverage add-ons for full protection, and makes filing claims through its mobile app a breeze.

Pros

  • Top-tier coverage add-ons, including equipment breakdown, water backup, and service line coverage

  • Get up to $1 million in personal liability coverage

  • Score discounts for bundling, installing security devices, and choosing a high deductible

  • File and track claims online, over the phone, in person, or through its mobile app

  • High customer satisfaction and financial strength ratings

Cons

  • No discounts for first-time homebuyers or going a year without a claim

Why State Farm tops our best list

While many homeowners insurance companies offer discounts for making your home more secure, State Farm goes a step further. Currently, it is offering customers a free Ting smart plug, which can monitor your home for electrical issues that could lead to fires or other damage. By safeguarding your home, you are less likely to file a costly home insurance claim.

How to get a quote

Online through State Farm

Farmers

Farmers logo

Farmers is one of the largest and most reputable home insurance providers in the industry, offering special discounts for teachers, nurses, first responders, and non-smokers — plus the option to rebuild your home with green materials after a claim.

Pros

  • Several discounts and unique ways to save, including claim forgiveness and declining deductibles

  • 3 flexible coverage packages with varying levels of protection for most coverage and budget needs

  • Offers extended and guaranteed replacement cost coverage options

  • File claims online, via text, on its mobile app, or by calling its claims center

Cons

  • Rates are typically more expensive

  • Below-average customer satisfaction ratings

  • No repair network to help you find a certified contractor or repair professional after filing a claim

Why Farmers tops our best list

Farmers offers three levels of coverage so you can choose the product that best suits your needs. From an affordable standard home insurance policy to comprehensive coverage options for high-value homes, Farmers has a level of coverage and service that’s right for most income levels and home types.

How to get a quote

Online through Farmers

USAA

USAA logo

USAA's robust coverages and high marks for customer service and claims satisfaction make it a solid home insurance option for military members and their families.

Pros

  • Score discounts for zero claims, being a loyal USAA member, opting into e-billing, and more

  • Base policy includes coverages that cost extra with most other companies

  • Offers earthquake coverage — which is hard to come by

  • Get discounted home security systems and a discount on premiums through its partnership with ADT

  • Industry-best customer service and claims satisfaction ratings

Cons

  • Only available to military families

  • Doesn’t offer extended or guaranteed replacement cost dwelling coverage

Why USAA tops our best list

USAA provides low rates and above-average customer and claim satisfaction ratings to military members and their families. With seven military bases in Arizona as well as nearly half a million veterans living in the state, USAA provides excellent service to the people who serve our country.

How to get a quote

Online through USAA  

American Family

American Family logo

American Family's status as the 7th largest home insurance provider in the U.S. speaks to its popularity and reputation. Our fave perk? Its diminishing deductible program that lets you earn credits for every year you go without filing a claim.

Pros

  • Unique coverage add-ons, like matching siding insurance and hidden water damage coverage

  • Save up to 20% on home insurance and 29% on auto insurance for bundling the policies together

  • Earn a $100 credit toward your deductible for ever year you go without filing a claim

  • File claims online or on its mobile app — with 24/7 claims support

Cons

  • Doesn't offer extended or guaranteed replacement cost coverage

  • Above-average customer complaints according to the NAIC

Why American Family tops our best list

The MyAmFam app from American Family makes it easier to access your policy from anywhere. You can view your insurance cards, track your claims, and even set your auto-payments all from your phone. 

How to get a quote

Online through American Family

Allstate

Allstate logo

Allstate's mix of exceptional customer satisfaction ratings, personalized coverage options, and numerous discount opportunities make it one of the most popular homeowners insurance companies on the market.

Pros

  • Several coverage add-ons, including ones for roof surfaces, water backup, green improvements, and mold protection

  • 8+ discounts, including autopay, bundling, zero claims, and new homebuyer

  • Get up to 25% off your premiums when you bundle home and auto insurance

  • File and track claims online or through its mobile app

Cons

  • Lower-than-average claim satisfaction and digital experience ratings from J.D. Power

Why Allstate tops our best list

When you can’t get in touch with Allstate, they come to you. Wildfires can cause damage to entire neighborhoods at a time, taking out power, phone, and internet lines. Allstate’s mobile catastrophe units come to areas affected by natural disasters so you can file a claim in person, rather than waiting for utilities to be restored.

How to get a quote

Online through Policygenius or Allstate

Cheapest homeowners insurance companies by city in Arizona

Looking at average home insurance costs for the 15 most popular insurers in Arizona, we found that the cheapest homeowners insurance company in the state is USAA. USAA’s low rates include a yearly average of $935 in Sedona, $1,002 in Scottsdale, $748 in Tucson, and $1,019 in Phoenix. 

Home insurance rates fluctuate within the state due to general factors like the age, size, and value of the homes. Cities that are prone to wildfires and areas of higher crime will likely see more expensive rates. No matter where you live in Arizona, however, you are still likely to find affordable home insurance. 

City

Company

Average yearly cost

Aguila

USAA

$939

Ajo

USAA

$939

Alpine

USAA

$1,059

Amado

USAA

$724

Anthem

USAA

$795

Apache Junction

USAA

$943

Arizona City

USAA

$874

Arlington

USAA

$930

Compare home insurance rates in Arizona

We don't sell your information to third parties.

Shopping for homeowners insurance in Arizona

Shopping for homeowners insurance in Arizona doesn’t have to be complicated. Since the biggest risk to your home is likely wildfires, it’s important to know the replacement value of your house and make sure you have enough dwelling coverage in your policy to cover that amount. By knowing the coverage you need, you can make sure you are getting the policy you want for a price you can afford.

In this section, we break down the average annual home insurance rates in Arizona for different coverage and deductible levels, as well as the cheapest and most expensive home insurance companies in the state for individuals with a poor credit score, dog owners, and pool owners. Once you’re ready to shop, a Policygenius expert can help you navigate your coverage needs and help you find the best deal on homeowners insurance in Arizona.

Arizona home insurance costs by coverage amounts

Dwelling coverage is the part of your home insurance that pays to repair or rebuild your home after a covered loss. To ensure you have enough coverage, the amount should be based on your home’s replacement cost. 

In Arizona, more dwelling coverage means higher home insurance rates. A policy with $500,000 in coverage costs $2,855, while a policy with $100,000 in coverage only costs $998.

Dwelling coverage amount

Average yearly cost

$100,000

$998

$200,000

$1,437

$300,000

$1,897

$400,000

$2,352

$500,000

$2,855

Liability coverage is the part of your home insurance that pays to cover another party’s injuries or damage to their property. The amount of coverage you need should be based on the total value of your assets to make sure you don’t get stuck paying bills out of pocket.

Liability coverage amount

Average yearly cost

$100,000

$1,947

$200,000

$1,714

$300,000

$1,897

$400,000

$1,019

$500,000

$1,985

Arizona home insurance costs by deductible amount

A homeowners insurance deductible is the portion of your claim which you are responsible for paying. You will have to pay a deductible on every claim you file, so consider how much you can afford to pay out of pocket, keeping in mind that policies with lower deductibles will cost more than those with higher deductibles. 

As seen in the table below, Arizona residents can save around $108 on home insurance by choosing a $2,000 deductible over the $500 option.

Deductible amount

Average yearly cost

$500

$2,161

$1,000

$1,897

$2,000

$2,053

Home insurance discounts in Arizona

Insurance companies incentivize customers to make their homes safer by offering discounts

You can often save money on premiums by installing a security alarm, smoke detector, or deadbolt lock. By making your home more secure, you are also reducing costs for your insurer, since these devices reduce the chance you will need to file a claim. 

While you won’t get a huge discount if your house has one of the following features and nothing else, they can add up if you have several protective devices in your home. Here is the average annual rate and average discount percentage for homes in Arizona with deadbolts, smoke alarms, or burglar alarms. 

Discount

Average yearly cost

Dead bolt

$1,896

Smoke alarm

$1,895

Burglar alarm

$1,860

Home insurance companies in Arizona for dog owners

Owners of certain dog breeds may see higher rates on homeowners insurance since those breeds have been found to cause more liability claims. 

With an average rate of $863 per year, USAA has the cheapest home insurance rates in Arizona for a home with a dangerous dog breed, while Allstate’s average yearly premium of $1,945 is the highest. 

Company

Average yearly cost

USAA

$863

American Family

$1,160

State Farm

$1,362

Farmers

$1,940

Allstate

$1,945

Home insurance companies in Arizona for poor credit

Insurance companies have found that customers with higher credit scores will likely pay for small repairs out of pocket, while those with poor credit are more likely to have insurance foot the bill. Because of this, insurers will often charge higher rates to customers with low credit scores. 

To ensure you are getting the fairest rate, be sure to shop around with different companies and compare policies. 

With an average rate of $1,476 per year, USAA has the cheapest home insurance rates in Arizona for a homeowner with poor credit, while Allstate’s average yearly premium of $2,832 is the highest. 

Company

Average yearly cost

USAA

$1,476

American Family

$2,025

State Farm

$2,332

Farmers

$2,824

Allstate

$2,832

Home insurance companies in Arizona for pool owners

Having a pool on your property could result in higher insurance rates, given the risk of pool-related injuries and potential liability claims. 

With an average rate of $863 per year, USAA has the cheapest home insurance rates for Arizona homes that have a swimming pool, while Allstate’s average yearly premium of $1,945 is the most expensive.

Company

Average yearly cost

USAA

$863

American Family

$1,167

State Farm

$1,362

Farmers

$1,940

Allstate

$1,945

How to buy homeowners insurance in Arizona

Wildfires are a growing risk for homeowners throughout Arizona. To make sure your home is protected, and that you don’t get stuck with expensive home repair bills, it’s important to know what coverage you need. 

Here are a few steps to follow when shopping for home insurance in Arizona:

  1. Reach out to a licensed Policygenius agent. You may not be a home insurance expert, but our agents are. A Policygenius agent can answer all of your questions and help you shop for a new policy at no cost to you.

  2. Figure out how much you can afford to pay for your deductible. With the growing likelihood of a wildfire damaging your home, you may find you need to file multiple claims throughout the year. Since you have to pay your deductible with each claim, it’s important to know how much you can afford.

  3. Compare quotes from a Policygenius agent. Getting multiple quotes from different companies is the best way to find the right home insurance coverage at the best price. A Policygenius agent can compare quotes to determine which one is right for you.

  4. Choose your policy, sign it, and pay your first premium. Once you’ve chosen a policy, a Policygenius agent can complete the necessary paperwork so all you have to do is sign. 

Compare home insurance rates in Arizona

We don't sell your information to third parties.

Frequently asked questions

How much is home insurance in Arizona?

The average yearly cost of homeowners insurance in Arizona is $1,897 per year or $158 a month.

Is homeowners insurance cheaper in Arizona?

With a national average rate of $1,899, Arizona’s homeowners insurance rates are fairly even with the rest of the country.

Is home insurance mandatory in Arizona?

While homeowners insurance is not required in Arizona, most mortgage lenders do require borrowers to have an insurance policy.

How does the crime rate in my area affect my policy?

Since areas with more crime are likely to see increased amounts of home insurance claims, insurance companies will usually charge higher rates.

Methodology

Policygenius has analyzed home insurance rates provided by Quadrant Information Services in March 2022 for ZIP codes in all 50 states plus Washington, D.C., for a 40-year-old female homeowner with no claim history, good credit, a $1,000 deductible, and the following coverage limits:

  • Dwelling: $300,000

  • Other structures: $30,000

  • Personal property: $150,000

  • Loss of use: $60,000

  • Liability: $300,000

  • Medical: $1,000

All rates based on the above coverage limits except where otherwise noted.

Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.

Author

Freelance contributor

Jessica Olivo

Freelance contributor

Jessica Olivo is a writer living in Connecticut. She specializes in web and blog content in a variety of topics such as parenting, business, and culture, as well as serialized and short fiction.

After working in publishing and book publicity for many years, she transitioned to freelance writing full time.

Questions about this page? Email us at .