San Diego is known for its warm climate, 70 miles of sunny beaches, and world famous zoo — but the increased risk of wildfires and earthquakes over the years means San Diegans need comprehensive homeowners insurance coverage. The good news is, despite the fact that most people live within 15 miles of a fault in San Diego, homeowners insurance is relatively affordable in America’s Finest City. 
The average cost of homeowners insurance in San Diego is $1,333 per year. This is nearly 15% cheaper than the state average of $1,565 per year in California and almost 30% cheaper than the national average of $1,899 per year.
However, cost isn’t the only factor to consider when choosing a home insurance company. Not sure what to look for? Policygenius can help you figure out your coverage needs and compare quotes from multiple top companies in San Diego.
Best homeowners insurance companies in San Diego
Of the companies we evaluated, USAA has the lowest rates, with an average annual policy cost of $810 — over $750 cheaper than the state average. In fact, all the other companies on our list — State Farm, Farmers, AAA, and Mercury — also offer below average rates for San Diego.
Policygenius analyzed thousands of quotes from the 5 largest San Diego 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 San Diego residents to find the best homeowners insurance in San Diego.
Why State Farm tops our best list
State Farm has some of the highest customer satisfaction ratings around. If you’re a San Diego homeowner that needs more liability coverage offered by standard insurers, State Farm may be your best bet — the insurer offers up to $1 million in liability protection. Its rates are also below the city, state, and national averages at $1,214 per year.
How to get a quote
Online through State Farm
Why Farmers tops our best list
With policies costing $1,429 per year, Farmers has the most expensive rates on our list, but they’re still around 25% cheaper than the national average. Farmers is one of the largest insurance companies in the country, and they offer different coverage tiers so that you can customize your policy to fit your needs. Farmers also makes things easy when filing a claim — you can file a claim online, via text, through its mobile app, or by calling its claims center.
Farmers also offers extended or guaranteed replacement cost coverage — which is ideal for San Diego homeowners that are at risk for wildfire damage.
How to get a quote
Online through Farmers
Why AAA tops our best list
AAA offers cheaper-than-average rates to San Diego homeowners, costing an average of $985 per year. The insurer also offers robust policy add-ons — including earthquake and flood coverage — that’s perfect for San Diego homeowners who live near the coast or close to one of the three fault lines that cut through the city. 
How to get a quote
Online through AAA
Why USAA tops our best list
Offering the cheapest rates in San Diego according to our analysis, USAA policies cost just $810 per year. If you’re a military-affiliated homeowner in San Diego looking to save, USAA is likely your best bet. USAA also offers earthquake coverage — a good idea for San Diego homeowners who live near one of the city’s three fault lines.
How to get a quote
Online through Policygenius
Why Mercury tops our best list
Mercury offers the second cheapest rates according to our analysis, with policies costing $936 per year in San Diego. In addition to cheap rates, the insurer also offers different tiers of coverage so you can customize your policy to fit your coverage needs.
Mercury is also known for digital shopping experience — the company won a J.D. Power award in 2021 for Highest Customer Satisfaction for Digital Insurance Shopping. If you’re looking to do everything seamlessly online, Mercury is a safe bet.
How to get a quote
Online through Policygenius or Mercury
Cheapest homeowners insurance companies by ZIP code in San Diego
Looking at average home insurance costs for 15 of the most popular companies in San Diego, we found that the cheapest home insurance in the city can be found in the 92135 ZIP code (Coronado, CA) with Mercury. The average Mercury rate in this area is $644 per year — almost 50% less than the city average of $1,333 per year.
Homeowners in all areas of San Diego can find cheap rates with USAA or Mercury. These two insurers offered the cheapest rates in all 37 ZIP codes in the city.
The most affordable areas for homeowners insurance in San Diego
With an average home insurance rate of $1,284 per year, the 92104 ZIP code (North Park), is the most affordable area for home insurance in San Diego. The median home price in the 92104 Zip code is $896,339. And while the area has seen an 22.9% increase in home values over the last year, its home insurance rates are some of the cheapest in San Diego.
The most expensive areas for homeowners insurance in San Diego
With an average home insurance rate of $1,434, the 92199 ZIP code (Rancho Penasquitos) is the most expensive area for home insurance in San Diego.
Shopping for homeowners insurance in San Diego
When shopping for homeowners insurance, you’ll want to make sure you have enough coverage to fully rebuild your home in the event of a disaster — especially if you live in parts of San Diego that are at risk for wildfire or earthquake damage. You’ll also want enough liability coverage to protect all of your financial assets.
In this section, we break down the average annual home insurance rates in San Diego 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 San Diego.
San Diego home insurance costs by coverage amounts
Dwelling coverage is the foundation of your homeowners insurance policy. It protects the structure of your home and attached structures, like an attached garage. You should have enough dwelling coverage to completely rebuild your home from the ground up if it’s destroyed by a covered peril, like a wildfire or windstorm.
As the table below reveals, the more dwelling coverage you have the more expensive your home insurance will be. You can see a significant jump between the $400,000 to $500,000 coverage range — a nearly $1,000 jump.
Liability coverage protects your financial assets if you’re responsible for damaging someone else’s property or if they’re injured while in your home. It can cover the cost of the injured party’s medical expenses or your legal fees if they sue you over the matter.
Unlike dwelling coverage, the more liability coverage you have doesn’t necessarily mean higher rates in San Diego. As the table below shows, on average San Diego homeowners that opt for $500,000 in liability coverage actually pay less than those who choose $400,000 in liability coverage.
San Diego home insurance costs by deductible amount
A deductible is the amount you’re responsible for paying out of pocket before your insurance will kick in for the repair bills. The higher your deductible is, the lower your premiums will be. This is especially important for San Diego homeowners who are more likely to experience a loss and file a claim — like those who live near ranches and parks that are at risk for brush fires and wildfires.
As seen in the table below, San Diego residents can save $437 on home insurance by choosing a $2,000 deductible over the $500 option.
Home insurance discounts in San Diego
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 San Diego with deadbolts, smoke alarms, or burglar alarms.
Home insurance companies in San Diego for dog owners
If you own a certain dog breed — like a pit bull, Rottweiler, or German shepherd — insurers may consider you a higher liability risk to insure, due to their potential aggressive behavior. Insurance companies might exclude coverage for your dog or even deny you coverage altogether if your dog is one of these breeds.
With an average rate of $810 per year, USAA has the cheapest home insurance rates in San Diego for a home with a dangerous dog breed, while Farmers’ average yearly premium of $1,429 is the highest.
Home insurance companies in San Diego for pool owners
Pools increase both your dwelling coverage and your liability coverage — two factors that can directly increase your home insurance cost. Since pools increase the risk of injury on your property, you’ll likely want to max out your liability coverage limits to protect your assets. Insurers may differ on their policies when it comes to pools — some may put more weight on it when calculating your rates than others.
With an average rate of $810 per year, USAA has the cheapest home insurance rates for San Diego homes that have a swimming pool, while Farmers average yearly premium of $1,429 is the most expensive.
How to buy homeowners insurance in San Diego
Once you’re reading to shop for homeowners insurance, a Policygenius agent can help you compare policies and companies all in one place to help you get the best and most affordable coverage in San Diego.
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:
Other structures: $30,000
Personal property: $150,000
Loss of use: $60,000
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.