Homeowners insurance in North Carolina

The cost of homeowners insurance in North Carolina is $1,585 a year for the average amount of coverage. North Carolina residents can compare rates from multiple companies with Policygenius.

Pat Howard 1600

Pat Howard

Published August 12, 2020

KEY TAKEAWAYS

  • The average cost of homeowners insurance in North Carolina is $1,585 for $100,000–500,000 in coverage

  • The most affordable insurance company in North Carolina is Velocity, according to Policygenius quote data

  • When deciding on policy coverage, North Carolina residents should consider the state’s severe weather and tropical storms

Homeowners insurance is essential financial protection for the 65% of North Carolina residents who own a house, covering Tar Heel State homes from tropical storm damage and cold temps during the winter months.

The statewide average cost of homeowners insurance in North Carolina is $1,585 per year, but the cost of your own policy will be determined by different factors related to your home, the details of your policy, and the strength of your credit. Your home’s age, build, location, your policy deductible, and your credit history will all play a factor when companies set your rates. North Carolina insurers may also price policies differently for the same amount of coverage, which is why it’s so important to compare insurance options from multiple insurers. That’s where we come in.

To help simplify your shopping experience, Policygenius reviewed the five best homeowners insurance companies in North Carolina offered through our website and calculated the state’s cheapest and most expensive cities for home insurance based on hundreds of submitted quotes.

Compare North Carolina quotes here

IN THIS ARTICLE

The 5 best homeowners insurance companies in North Carolina

Before deciding on a homeowners insurance policy, it’s worth doing a little research on the company insuring your home and assets. A great homeowners insurance company has affordable coverage, dependable customer service, flexible policy options, high-quality discounts, and is financially stable.

Using those benchmarks, we determined the following five companies were the best homeowners insurance companies in North Carolina. Read about our methodology here.

Best company for a cheap quote: Velocity

Velocity provides the cheapest North Carolina home insurance quote of any Policygenius partnering insurer. The average quote with Velocity is $1,109, more than $400 cheaper than the statewide average cost of $1,585. If you're a North Carolina resident looking for cheap but effective coverage, then Velocity might be the insurance company for you.

Best replacement cost policy: Safeco

North Carolinians trying to maximize coverage for that volatile coastal weather should consider Safeco’s replacement cost coverage options. Safeco has four comprehensive tiers of coverage, and all include the option to add extended replacement cost, a policy add-on that increases your home’s coverage limits an additional 25% or 50% if rebuild costs exceed your dwelling coverage amount. Safeco’s “Premier Plan”, its highest level of coverage, includes guaranteed replacement cost, which pays for a rebuild of your home regardless of the price.

Read our full review of Safeco here

Best company for high-value homes: AIG

North Carolina residents with high-value homes should consider a homeowners insurance policy with AIG. This luxury insurance company provides guaranteed replacement cost dwelling coverage, replacement cost coverage on all personal property, and additional services like appraisals and risk protection consultations. Keep in mind that AIG only covers homes with an insured value of more than $750k and doesn’t provide monoline home insurance coverage, meaning you’ll need to insure your car or boat with AIG as well.

Read our full review of AIG here

Best company for policy discounts: Nationwide

In terms of discounts, Nationwide beats most North Carolina insurers. The insurance giant offers a generous multi-policy discount if you bundle your home insurance policy with their auto insurance or another type of property insurance. Nationwide also offers discounts for securing and strengthening your home and roof from break-ins and bad weather. If you haven’t filed a claim in three years or if you recently purchased your home, that can also land you a discount.

Read our full review of Nationwide here

Best financial ratings: Travelers

One important indicator of an insurance company’s ability to pay out claims in an effective and timely manner is their financial stability, and Travelers is among the highest-rated insurers in that area. With an A++ rating with A.M. Best, Travelers has the highest score a company can receive with the insurance company credit rating agency. Travelers also has high marks with Standard & Poors, which measures long-term financial stability, as well as Moody’s, which measures what the expected losses would be if a company were to go into default.

Read our full review of Travelers here

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Average cost of homeowners insurance in North Carolina by company

When comparing insurance companies, North Carolina residents may find that rates differ greatly from company to company for the same level of coverage. Certain companies may offer more coverage add-ons in a basic plan than competitors, or some may simply have higher rates in certain areas than others.

After reviewing hundreds of quotes submitted with Policygenius, we found that Velocity is the cheapest insurance company in North Carolina with a $1,109 average annual premium for $100,000–500,000 in coverage. Progressive is the most expensive with a $2,197 average annual premium.

CompanyAverage Cost
ASI$ 1,648
MetLife$ 1,837
Nationwide$ 2,028
Progressive$ 2,197
Safeco$ 1,370
State Auto$ 1,315
Travelers$ 1,121
Velocity$ 1,109

Average cost of home insurance in North Carolina by coverage amount

The average cost of homeowners insurance in North Carolina will also differ considerably based on the amount of insurance you have for your home. Below is the average homeowners insurance quote for five different levels of coverage.

Coverage AmountAverage Cost
$100,000-$200,000$ 1,317
$200,000-$300,000$ 1,532
$300,000-$400,000$ 1,691
$400,000-$500,000$ 1,968
Greater than $500,000$ 2,411

Average cost of home insurance in North Carolina by city

Insurance companies will also price policies differently based on where in the state you live. We found that the coastal city of Wilmington, North Carolina has the highest rates in the state with a $4,838 average annual premium for $100,000-500,000 in coverage. High Point in the Piedmont Triad region of North Carolina is the cheapest city for home insurance, on average, with a $994 average annual premium.

CityAverage Cost
Apex$ 1,508
Asheville$ 1,314
Burlington$ 1,151
Cary$ 1,543
Chapel Hill$ 1,165
Charlotte$ 1,433
Concord$ 1,346
Durham$ 1,298
Fayetteville$ 1,774
Gastonia$ 1,199
Greensboro$ 1,243
Greenville$ 1,922
High Point$ 994
Huntersville$ 1,488
Jacksonville$ 4,218
Raleigh$ 1,570
Rocky Mount$ 1,430
Wake Forest$ 1,260
Wilmington$ 4,838
Winston-Salem$ 1,216

We selected the 20 largest cities in North Carolina by population where customers have submitted quotes with Policygenius. Quotes are based on a coverage amount between $100,000 and 500,000.

The cheapest cities for homeowners insurance in North Carolina

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The most expensive cities for homeowners insurance in North Carolina

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Guide to homeowners insurance in North Carolina

Common causes of home insurance loss in North Carolina

North Carolina is the third most hurricane-prone state in the country with 57 landfall hurricanes in recorded history, including major storms like Hurricane Hazel in 1954 and Hurricane Fran in 1996. Hurricane Dorian in 2019 is the most recent hurricane to make landfall in North Carolina.

The Western region of North Carolina also experiences tornado and severe thunderstorm outbreaks in the late spring and summer. Although the Tar Heel state doesn’t see as many twisters as states in the Midwest and Tornado Alley, it still sees an average of around 31 tornadoes a year. Hailstorms are also frequent events in North Carolina, which has resulted in the state filing the 10th most hail loss claims in the country.

A standard home insurance policy covers hurricanes, wind and hail, and tornado losses, but North Carolina residents should consider purchasing coverage enhancements — like extended or guaranteed replacement cost dwelling coverage, or additional personal property coverage — to ensure their home and items can be fully replaced in the event of a total loss.

Does homeowners insurance cover flooding in North Carolina?

No, homeowners insurance does not cover flood damage in North Carolina or any of the other 49 states. North Carolina residents can supplement that gap in coverage by purchasing a flood insurance policy. Flood insurance can typically be provided through the same insurance company that insures your home.

Most flood policies are sold by private companies but administered by the federal government’s National Flood Insurance Program (NFIP). An NFIP flood policy can cover up to $250,00 for the structure of your home and up to $100,000 for personal belongings.

North Carolina is vulnerable to floods, including flash floods, precipitation from severe storms, and hurricane storm surge. If you live in coastal North Carolina or areas that experience frequent flash floods, particularly in cities like Asheville along the French Broad River, you should consider a flood insurance policy.

North Carolina Department of Insurance

The North Carolina Department of Insurance is a great resource both for North Carolina homeowners purchasing coverage for the first time or those who are already insured. The NCDOI website provides educational information, customer tips, a guide to state insurance laws, customer complaint forms, and more.

What if I can’t get homeowners insurance?

Homeowners insurance companies can cancel your insurance for a number of reasons — maybe you filed too many claims in a short period of time, maybe the insurance company no longer offers coverage where you live, or maybe they determined your home was too risky to insure after a recent inspection.

North Carolina insurance companies may also require a separate windstorm, named storm, or hurricane deductible, or they could exclude windstorm or hail coverage from your policy entirely if your home is deemed too high risk.

If you’re struggling to find homeowners insurance or wind and hail protection, you can get last-resort coverage via the North Carolina Joint Underwriting Association.

The NCJUA is a not-for-profit insurance association that provides basic coverage for North Carolina residents who are unable to get home insurance on the open market. To qualify for a Fair Access to Insurance Requirements (FAIR) Plan with the NCJUA, you need to demonstrate that you’ve had at least three unsuccessful attempts to buy insurance from other companies.

Not where you live? We've got you covered, check out our guide to homeowners insurance in your state

About the author

Insurance Expert

Pat Howard

Insurance Expert

Pat Howard is an Insurance Editor at Policygenius in New York City, specializing in homeowners insurance. He has been featured on Property Casualty 360, MSN, and more. Pat has a B.A. in journalism from Michigan State University.

Policygenius’ editorial content is not written by an insurance agent. It’s intended for informational purposes and should not be considered legal or financial advice. Consult a professional to learn what financial products are right for you.

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