Best homeowners insurance in San Francisco, CA for 2022

Kara McGinley

By 

Kara McGinley

Kara McGinley

Editor & Licensed Home Insurance Expert

Kara McGinley is an editor and licensed home insurance expert at Policygenius, where she writes about homeowners and renters insurance. As a journalist and as an insurance expert, her work and insights have been featured in Kiplinger, Lifehacker, MSN, WRAL.com, and elsewhere.

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Homeowners in San Francisco should consider companies that offer robust coverage options at affordable prices. The Bay Area is at risk of earthquakes and wildfires, so area residents should consider a homeowners insurance provider that offers coverage add-ons and upgrades, like earthquake coverage and extended dwelling protection.

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The average cost of homeowners insurance in San Francisco is $1,533 per year. This is around 2% cheaper than the state average of $1,565 per year in California, and about 19% 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 Francisco.  

Best homeowners insurance companies in San Francisco

Of the companies we evaluated, Mercury offered the cheapest rates in San Francisco, costing $927 per year — over $600 cheaper than the citywide average. State Farm, Farmers, AAA, and USAA all also offer cheaper rates than the San Francisco average. 

Policygenius analyzed thousands of quotes from the 5 largest San Francisco 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 Francisco residents to find the best homeowners insurance in San Francisco.

Company

Average yearly cost

J.D. Power Rating

State Farm

$935

835

Farmers

$1,017

813

AAA

$1,227

834

USAA

$950

882

Mercury

$927

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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

In addition to its high customer service ratings and slew of coverage add-on options, State Farm is a good option if you’re looking for enhanced liability protection. State Farm offers up to $1 million in liability coverage, which may be ideal if you own a big dog or have a pool on your property.

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 rates cost $1,017 a year, which is over $516 cheaper than the San Francisco average. Farmers scored a 4.7 out of 5 — aka an “excellent” score — from Consumers Advocate, which rates companies based on stability, reputation, and policy coverages. 

Farmers also offers unique perks —like its declining deductibles feature — that subtracts $50 off your deductible for each year your policy remains active. 

How to get a quote

Online through Farmers

AAA

AAA logo

While AAA is mostly known for its auto insurance and roadside assistance, it also offers a comprehensive home insurance policy — complete with flood and earthquake insurance add-ons and multiple discounts. But you'll need to be a AAA member to qualify.

Pros

  • Multiple perks and discounts for AAA members

  • Save up to 10% on auto insurance and 25% on home insurance if you combine the two under a companion policy

  • Offers flood and earthquake coverage so you don't have to purchase separate policies elsewhere

  • Excellent customer service ratings

Cons

  • Must be a AAA member to qualify

Why AAA tops our best list

The American Automobile Association (AAA) offers robust homeowners insurance policies for San Francisco homeowners. The insurer offers top-notch endorsement options, including flood and earthquake coverage, which are excluded from standard homeowners insurance policies. San Francisco is at relatively high risk for earthquakes, so adding earthquake coverage to your home policy is an easy, worthwhile solution to that risk. 

AAA homeowners insurance rates are also a few hundred dollars cheaper than San Francisco’s city-wide rates, costing an average of $903 per year. Just keep in mind you need to be a AAA member to qualify for coverage. 

How to get a quote

Online through AAA

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

If you’re affiliated with the military, you may want to consider purchasing a homeowners policy through USAA. USAA rates are 38% cheaper than the San Francisco citywide average, costing $950 per year. 

Homeowners can also add earthquake coverage to their policy with USAA — an important coverage consideration for those living in the earthquake-prone Golden City.

How to get a quote

Online through USAA

Mercury

Mercury logo

Mercury provides customizable coverage and a several additional coverage options across three comprehensive policy tiers.

Pros

  • Flexible and robust policy options

  • Excellent bundling discount

  • Industry-best digital shopping ratings

Cons

  • Higher than average customer complaints

Why Mercury tops our best list

With home policies costing an average of $927 per year, Mercury offers the cheapest rates in San Francisco, according to our analysis. In addition to cheap rates, Mercury is known for its wide variety of coverage options and useful add-ons, like identity theft protection and equipment breakdown coverage. 

How to get a quote

Online through Policygenius or Mercury

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Cheapest homeowners insurance companies by ZIP code in San Francisco

Looking at average home insurance costs for 15 of the most popular companies in San Francisco, we found that the cheapest home insurance in the city can be found in the 94128 ZIP code (San Mateo County) with USAA. The average USAA rate in this area is $733 per year — around 52% cheaper than the city average of $1,533 per year.

As shown in the table below, homeowners in most areas of San Francisco are also likely to find cheap rates with Allstate, State Farm, and Mercury.

ZIP code

Company

Average yearly cost

94102

Mercury

$819

94103

Mercury

$812

94104

Allstate

$843

94105

Allstate

$843

94107

Allstate

$843

94108

Allstate

$843

94109

Allstate

$843

94110

Allstate

$843

The most affordable areas for homeowners insurance in San Francisco

The 94128 ZIP code (San Mateo County) continues its trend as one of the most affordable places for homeowners insurance in San Francisco, with an average home insurance rate of $1,349 per year. Although the median home price in the 94128 ZIP code is nearly $950,000, homeowners insurance rates are about 12% cheaper than the San Francisco citywide average. 

ZIP code

Average yearly cost

94128

$1,349

94123

$1,495

94129

$1,506

94133

$1,510

94115

$1,511

The most expensive areas for homeowners insurance in San Francisco

With an average home insurance rate of $1,650, the 94141 ZIP code (Soma) is the most expensive area for home insurance in San Francisco.

ZIP code

Average yearly cost

94141

$1,650

94105

$1,587

94108

$1,574

94104

$1,567

94111

$1,563

Shopping for homeowners insurance in San Francisco

When shopping for homeowners insurance, you’ll want to compare multiple companies before making your decision. It’s a good idea to know roughly how much coverage you need, what you want to set your deductible amount to, and the discounts that you’re eligible for.

San Francisco home insurance costs by coverage amounts

Dwelling coverage is the main coverage component of your homeowners insurance policy. It protects the structure of your home and attached structures, like your garage, from covered perils in your policy, like fires and windstorms. 

You should have enough dwelling coverage to completely rebuild your home from the ground up in the event of a disaster. As the table below shows, the more dwelling coverage you have, the more expensive your home insurance will be. 

Dwelling coverage amount

Average yearly cost

$100,000

$554

$200,000

$894

$300,000

$1,244

$400,000

$1,592

$500,000

$2,766

Liability coverage protects your financial assets if you’re held legally responsible for a house guest’s injury or damaged property. That means if someone is injured while in your home — like if they fall down your stairs — your liability coverage can help pay for their medical expenses or your legal fees if they take you to court over the matter. 

As the table below illustrates, more liability coverage doesn’t necessarily mean higher rates. In San Francisco, the average cost of a policy with $300,000 in liability coverage isn’t too dissimilar from one with $500,000 in liability coverage.

Liability coverage amount

Average yearly cost

$100,000

$1,174

$200,000

$1,235

$300,000

$1,533

$400,000

$1,479

$500,000

$1,564

San Francisco home insurance costs by deductible amount

A deductible is the amount you’re responsible for paying before your homeowners insurance kicks in to pay for repairs. The higher your deductible is, the cheaper your insurance will be.

As seen in the table below, San Francisco residents can save $818 a year on home insurance by choosing a $2,000 deductible over the $500 option.

Deductible amount

Average yearly cost

$500

$1,817

$1,000

$1,533

$2,000

$999

Home insurance discounts in San Francisco

Most homeowners insurance companies offer a variety of discounts. An easy way to get a discount on your home insurance is to fortify your home with safety features and technology.

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. Installing a burglar alarm, for instance, can save you a little over $50 a year on homeowners insurance in San Francisco. 

Here is the average annual rate and average discount percentage for homes in San Francisco with deadbolts, smoke alarms, or burglar alarms.

Discount

Average yearly cost

Dead bolt

$1,528

Smoke alarm

$1,526

Burglar alarm

$1,480

Home insurance companies in San Francisco for dog owners

Personal liability coverage may cover you if your dog bites someone, but some insurance companies consider certain dog breeds — like pit bulls and German shepherds — to be a high liability risk. That means your insurance rates may be higher if you own a “dangerous” breed. 

With an average rate of $927 per year, Mercury has the cheapest home insurance rates in San Francisco for a home with a dangerous dog breed, while AAA’s average yearly premium of $1,227 is the highest. 

Company

Average yearly cost

Mercury

$927

State Farm

$935

USAA

$950

Farmers

$1,017

AAA

$1,227

Home insurance companies in San Francisco for pool owners

Pools and trampolines are seen as a liability risk for insurers because of the increased threat of injuries. Certain insurers will consider pools more of a risk than others, so rates will vary. 

With an average rate of $935 per year, State Farm has the cheapest home insurance rates for San Francisco homes that have a swimming pool, while AAA’s average yearly premium of $1,227 is the most expensive.

Company

Average yearly cost

State Farm

$935

USAA

$950

Farmers

$1,017

Mercury

$1,093

AAA

$1,227

How to buy homeowners insurance in San Francisco

There are many factors that go into determining what amount and type of coverage you require in an insurance policy. Even once you know what you want from an insurer, it’s still important to shop around to see who has the best rates to fit your needs.

Below are some steps that will help when shopping for homeowners insurance in San Francisco.

5 simple steps to buying home insurance in San Francisco

  1. Reach out to a licensed Policygenius agent. Our team of licensed insurance experts are at the ready to help you figure out how much coverage you need and what company offers it at the best price — all for free with no impact to your credit score.

  2. Ask about earthquake coverage. If you live in an area of San Francisco that's at high risk for earthquakes, consider asking your Policygenius agent to look into insurance companies that offer earthquake coverage. 

  3. Ask about the California Earthquake Authority. If you want more than just additional earthquake coverage, consider asking your Policygenius agent about an earthquake insurance policy and whether purchasing it through the California Earthquake Authority is a good option.

  4. Figure out how low of a deductible you can afford. You’ll need to weigh up the costs of paying higher premiums in the long term versus paying a higher amount out of pocket if you need to file a claim. 

  5. Compare quotes from a Policygenius agent. Once you’ve nailed down your coverage needs, limits, and deductibles, a Policygenius agent will walk you through quotes from a few different companies to help you find the best policy for your needs.

  6. Sign the policy and pay your first premium. After you’ve chosen the policy you want, your Policygenius agent will complete all of the paperwork for you. The only thing left to do is sign the policy and pay your first premium. They’ll even cancel your old policy for you if it’s not up yet.

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Frequently asked questions

How much is homeowners insurance in San Francisco?

Homeowners insurance costs an average of $1,533 per year, but costs vary greatly depending on your home’s location, size, build, and more.

How much is home insurance a month in California?

Homeowners insurance in California costs an average of $1,565 per year or $130 a month.

Why is home insurance so expensive in California?

Insurance is more expensive if you live in an area that leaves you at a higher risk for filing a claim. That means if you live in an area of California that experiences frequent wildfires, earthquakes, or home break-ins, your rates will be more expensive than areas that don’t.

Is home insurance required in California?

Homeowners insurance is not required by law, but most mortgage lenders require you to purchase homeowners insurance in order to take out a loan.

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.