The uptick in wildfire events in the Denver area have made home insurance more important than ever in the Mile High City.
The average cost of homeowners insurance in Denver is $3,104 per year or $259 a month. This is around 20% higher than the statewide average of $2,486 per year, and about 38% higher than the national annual average of $1,899.
However, the 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 Denver.
Methodology & why you can trust our rates
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.
Best homeowners insurance companies in Denver
Of the companies we evaluated, Allstate has the lowest rate, with an average annual policy cost of $2,502 per year — about $500 less than the state average. USAA comes in at a close second with rates of $2,505 per year.
Policygenius analyzed thousands of quotes from the 5 largest Denver 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 Denver residents to find the best homeowners insurance in Denver.
Company | Average yearly cost | J.D. Power Rating |
|---|---|---|
State Farm | $3,000 | 835 |
USAA | $2,505 | 882 |
Allstate | $2,502 | 829 |
American Family | $2,717 | 831 |
Farmers | $4,460 | 813 |
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
Read our full State Farm home insurance review
Why State Farm tops our best list
Like a good neighbor, State Farm is there and that’s probably why State Farm scored so well in customer service and financial ratings in the J.D. Power’s 2021 home insurance study. Get up to a $1 million personal liability insurance policy to help protect your assets and enjoy significant discounts by bundling all of your policies under one roof.
How to get a quote
Online through State Farm
Why USAA tops our best list
Not everyone can get insurance through USAA —you must be in the military or be related to someone who’s in the armed forces. But those who are lucky enough to be members can score discounts for everything from not filing claims to opting for e-billing. In addition to great savings opportunities, USAA also provides industry-best coverage. Its base policy includes coverages that typically cost extra with other companies.
How to get a quote
Online through USAA
Why Allstate tops our best list
One of the reasons we love Allstate is that they offer a plethora of discounts, including autopay, bundling, and zero claims to reduce insurance costs for their customers. Allstate’s mix of coverage options and excellent customer service ratings make it one of the most popular destinations for homeowners looking for insurance.
How to get a quote
Online through Policygenius and Allstate
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
American Family scored an impressive 839 out of 1,000 for customer service in the 2021 J.D. Power home insurance study, and it's not hard to see why. With American Family, you can earn $100 toward your deductible for every year you go without filing a claim.
How to get a quote
Online through American Family
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
Read our full Farmers home insurance review here
Why Farmers tops our best list
Farmers offer three flexible coverage packages suitable for most budgets and coverage needs, including an add-on that gives you the option to use green materials to rebuild your home after a loss.
How to get a quote
Online through Farmers
Cheapest homeowners insurance companies by ZIP code in Denver
Looking at average home insurance costs for 15 of the most popular companies in Denver, we found that the cheapest home insurance in the city can be found in the 80222 ZIP code (Goldsmith) with State Auto. The average State Auto rate in this area is $302 per year — significantly less than the city average of $3,104 per year.
Homeowners in most areas of Denver are likely to have the cheapest rates with State Auto with rates ranging from $302 to $357 per year.
ZIP code | Company | Average yearly cost |
|---|---|---|
80123 | State Auto | $303 |
80202 | State Auto | $345 |
80203 | State Auto | $357 |
80204 | State Auto | $337 |
80205 | State Auto | $343 |
80206 | State Auto | $325 |
80207 | State Auto | $349 |
80208 | State Auto | $356 |
80209 | State Auto | $331 |
80210 | State Auto | $312 |
80211 | State Auto | $325 |
80212 | State Auto | $317 |
80216 | State Auto | $335 |
80218 | State Auto | $351 |
80219 | State Auto | $327 |
80220 | State Auto | $354 |
80222 | State Auto | $302 |
80223 | State Auto | $335 |
80224 | State Auto | $349 |
80225 | State Auto | $316 |
80230 | State Auto | $350 |
80231 | State Auto | $326 |
80235 | State Auto | $307 |
80236 | State Auto | $321 |
80237 | State Auto | $319 |
80238 | State Auto | $336 |
80239 | State Auto | $338 |
80246 | State Auto | $356 |
80247 | State Auto | $351 |
80249 | State Auto | $309 |
80262 | State Auto | $354 |
80264 | State Auto | $357 |
80265 | State Auto | $345 |
80266 | State Auto | $335 |
80290 | State Auto | $345 |
80293 | State Auto | $345 |
80294 | State Auto | $345 |
80295 | State Auto | $345 |
80299 | State Auto | $345 |
The most affordable areas for homeowners insurance in Denver
With an average home insurance rate of $2,896 per year, the 80225 ZIP code (Lakewood), is the most affordable area for home insurance in Denver. Median home values of $510,000 also make the Lakewood neighborhood one of the most affordable places to live in the city.
ZIP code | Average yearly cost |
|---|---|
80225 | $2,896 |
80235 | $2,910 |
80123 | $2,958 |
80236 | $2,973 |
80212 | $3,036 |
The most expensive areas for homeowners insurance in Denver
With an average home insurance rate of $3,247, the 80218 ZIP code (Cheesman Park) is the most expensive area for home insurance in Denver. Although these ZIP codes are the most expensive in Denver, the rates are comparable to other neighborhoods in the city.
ZIP code | Average yearly cost |
|---|---|
80218 | $3,247 |
80239 | $3,217 |
80206 | $3,187 |
80207 | $3,180 |
80249 | $3,179 |
Policygenius featured on The Denver Post
"'Colorado rate increases are more than double that of inflation. It is a huge, massive jump,' said Pat Howard, a licensed property and casualty insurance expert at Policygenius in New York City. [...] What should consumers do if they are hit with high premium increases? Howard said it is a good practice to see what competitors are offering at least once a year, even when rates are stable."
You can read the full feature on The Denver Post here.
Shopping for homeowners insurance in Denver
Denver residents shopping for home insurance should ensure they have enough home insurance to protect their homes and lifestyles in the event disaster strikes. You’ll want to find the best coverage at a price that works within your budget.
In this section, we break down the average annual home insurance rates in Denver for different coverage and deductible levels, as well as the cheapest and most expensive home insurance companies for dog and pool owners.
Denver home insurance costs by coverage amounts
Dwelling coverage is that section of your home insurance policy that pays to rebuild your home from the ground up after a covered loss.
Denver homes with a dwelling coverage limit of $500,000 pay an average of $4,546 each year for home insurance.
Dwelling coverage amount | Average yearly cost |
|---|---|
$100,000 | $1,484 |
$200,000 | $2,231 |
$300,000 | $3,104 |
$400,000 | $3,830 |
$500,000 | $4,546 |
Personal liability coverage is the section of your insurance policy that pays the medical or legal bills if someone is injured on your property and you’re found legally responsible.
As the table below reflects, additional liability coverage doesn’t necessarily mean higher average home insurance rates in Denver. While adding more liability coverage to your individual policy will likely make your rates go up, the increase is often minimal.
Liability coverage amount | Average yearly cost |
|---|---|
$100,000 | $3,113 |
$200,000 | $3,065 |
$300,000 | $3,104 |
$400,000 | $2,567 |
$500,000 | $3,182 |
Denver home insurance costs by deductible amount
A higher deductible amount means lower insurance premiums, but it also means you’ll have to pay more out of pocket on each claim after a covered loss.
As noted in the table below, Denver residents can save around $300 on home insurance by choosing a $2,000 deductible over the $500 option.
Deductible amount | Average yearly cost |
|---|---|
$500 | $3,345 |
$1,000 | $3,104 |
$2,000 | $3,014 |
Home insurance discounts in Denver
While you won’t get a huge discount if your house has some of the following features like smoke alarms and security systems, the extra peace of mind knowing your home is protected is well worth the installation costs.
Here is the average annual rate and average discount percentage for homes in Denver with deadbolt locks, smoke alarms, or security systems.
Discount | Average yearly cost |
|---|---|
Dead bolt | $3,103 |
Smoke alarm | $3,100 |
Burglar alarm | $3,036 |
Home insurance companies in Denver for dog owners
Your dog is an important part of the family, but if your dog is considered a dangerous breed, you might be paying more for your home insurance. Some insurance companies charge higher rates for certain breeds and some may even deny you coverage altogether if you have one of these breeds.
With an average rate of $2,502 per year, Allstate has the cheapest home insurance rates in Denver for a home with a dangerous dog breed, while Farmers’ average yearly premium is almost $4,460, making it the highest rate of those companies in our analysis.
Company | Average yearly cost |
|---|---|
Allstate | $2,502 |
USAA | $2,505 |
American Family | $2,727 |
State Farm | $3,000 |
Farmers | $4,460 |
Home insurance companies in Denver for poor credit
A low credit score is often an indicator to insurance companies that you may file an insurance claim more than someone with a better score. As such, a bad credit score could lead to higher interest rates on your credit cards and higher home and auto insurance rates.
With an average rate of $3,022 per year, Allstate has the cheapest home insurance rates in Denver for a homeowner with poor credit, while Farmers’ average yearly premium of $7,070 is the highest.
Company | Average yearly cost |
|---|---|
Allstate | $3,022 |
USAA | $3,413 |
American Family | $4,481 |
State Farm | $5,159 |
Farmers | $7,070 |
Home insurance companies in Denver for pool owners
Owning a swimming pool is a luxury many wish they could afford, but owning a pool is also lots of work. Additionally, some insurance companies consider swimming pools a liability risk and will often charge homeowners higher insurance rates.
With an average rate of $2,502 per year, Allstate has the cheapest home insurance rates for Denver homes that have a swimming pool, while Farmers has the highest rates at $4,460 per year.
Company | Average yearly cost |
|---|---|
Allstate | $2,502 |
USAA | $2,505 |
American Family | $2,724 |
State Farm | $3,000 |
Farmers | $4,460 |
How to buy homeowners insurance in Denver
Weather can be unpredictable in the Mile High City, so to ensure your house is fully protected, you’ll want to make sure you have enough home insurance. Check out the list below and find out how easy it is to find great protection that fits within your budget.
Reach out to a licensed Policygenius agent. Our team of experts can help you get quotes from top companies at no cost or obligation to you. We can help you ascertain your coverage needs and what makes sense for your situation.
Ask if you should purchase additional flood, tornado, or wildfire coverage. If you live in a wooded area or one that has seen flooding in the last several years, you might want to add additional dwelling coverage or flood insurance to protect your home against wildfires and excessive rains.
Figure out how much you can pay for your deductible. A higher deductible means you’ll pay less up front for insurance, but you’ll pay more out of pocket on a covered claim. A Policygenius agent can help you pick out a deductible that works the best for you.
Compare quotes from a Policygenius agent. Once you’ve decided which policy options work best for you, a Policygenius agent will send over quotes from top companies for your review.
Sign it, and pay your first bill.Policygenius will do all of the paperwork for you, so all you need to do is sign on the dotted line and pay your first premium. We’ll even cancel your old policy if it hasn't expired yet.
Frequently asked questions
What is the average home insurance cost in Denver?
The average home insurance rate in Denver is $259 a month. Although higher than the national average, Denver homeowners enjoy rates comparable with other states in the region.
Do I need additional home insurance if I have a pool?
Homeowners should have enough liability coverage to protect their total assets if someone is injured on their property and decides to sue for damages. Insurance companies consider swimming pools to be a liability risk and will often charge customers higher home insurance rates.
Is it mandatory to have homeowners insurance in Colorado?
Home insurance isn’t mandatory in Colorado unless you have a mortgage on your property, but it’s certainly a good idea considering the area is known for wildfire and floods. Since there’s an increased chance of homeowners filing a claim, insurance companies charge higher rates for this added risk.
