Situated in both the northern and central portion of the country, Minnesota is no stranger to extreme weather. Susceptible to harsh temperatures in the winter and frequent tornadoes from spring to fall, it’s no wonder that home insurance rates are higher in Minnesota than the national average.
The average cost of homeowners insurance in Minnesota is $1,829 per year or $152 a month. This is around 4% higher than the national average of $1,754 per year.
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 Minnesota.
Compare the best homeowners insurance companies in Minnesota
Of the companies we evaluated, Auto-Owners Insurance’s average annual policy cost of $1,159 is the cheapest, well below the state average of $1,829. At $2,351 per year, State Farm has higher average rates, but it also has a slightly better J.D. Power rating.
Policygenius analyzed thousands of quotes from the 5 largest Minnesota 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 Minnesota residents to find the best homeowners insurance in Minnesota.
Company | Best for... | Average monthly cost | Policygenius rating |
|---|---|---|---|
Cheap average rates | $97 | 5.0 out of 5 | |
Personalized customer service | $196 | 4.8 out of 5 | |
Additional coverage options | $170 | 4.5 out of 5 | |
Discounts & policy perks | $116 | 4.5 out of 5 | |
Short-term rental coverage | $263 | 4.4 out of 5 |
Best company for cheap average rates in Minnesota: Auto-Owners Insurance
2025 Policygenius award winner
Auto-Owners Insurance
5.0
Bundle home & auto
Offers extended replacement cost
Offers flood insurance
Why we chose it
Auto-Owners Insurance is the best homeowners insurance company in Minnesota thanks to its extensive policy and coverage options, its high marks for financial strength, and its customer experience ratings.
Pros and cons
Pros
Offers a slew of extra coverage add-ons
Offers lots of discounts
Flood insurance through the NFIP
Cons
Not able to get quotes or file claims online
More details
Why we picked it
Auto-Owners Insurance is one of the best home insurance companies in Minnesota, especially if you want to add more protection to a basic policy. Auto-Owners offers endorsements like guaranteed replacement cost coverage, water backup protection, inland flood coverage, and more.
In Minnesota, Auto-Owners' rates are more expensive than average, but the company offers more than a dozen discounts, including many that are easy to qualify for, like signing up for automatic payments and paperless billing.
How much does Auto-Owners home insurance cost in Minnesota?
The average cost of Auto-Owners home insurance in Minnesota is $1,159 per year, which is 37% cheaper than the statewide average.
How to get quotes
To get a homeowners insurance quote, you’ll have to call a local Auto-Owners Insurance agent.
Best company for personalized customer service in Minnesota: State Farm
2025 Policygenius award winner
State Farm
4.8
Bundle home & auto
Offers extended replacement cost
All 50 states
Why we chose it
State Farm is one of the best overall home insurance companies in Minnesota due to its statewide availability, wide range of policy options for homes of all shapes and sizes, high marks for customer service, and its excellent financial stability ratings.
Pros and cons
Pros
High customer satisfaction and financial strength ratings
Top-tier coverage add-ons, including extended replacement cost coverage
Offers large discounts when you bundle your home and auto insurance
Cons
20% more complaints filed with the NAIC than other companies of its size
No discounts for first-time homebuyers
More details
Why we chose State Farm
As one of the largest home insurance providers in Minnesota, State Farm is best known for its easy-to-reach and dependable customer service. And this goes for all steps of the the customer journey — from shopping and setting up your policy to making changes to your coverage to filing a claim.
What makes this possible is State Farm's extensive network of local agents who understand the weather risks and overall coverage needs of their community.
Plus, while many competitors don't have the financial strength to pay out claims after several natural disasters in the same year, State Farm isn't one of them. It earns the highest rating possible from A.M. Best for financial strength and stability — only six insurance companies out of nearly 70 we reviewed hold this title.
How do State Farm home insurance rates compare to the Minnesota average?
The average cost of State Farm home insurance in Minnesota is $2,351 per year, which is about 29% more expensive than the average annual premium in Minnesota of $1,829.
How to get a quote
Online through State Farm or by contacting your local State Farm agent.
Best company for additional coverage options in Minnesota: American Family
2025 Policygenius award winner
American Family
4.6
Offers extended replacement cost
Offers flood insurance
Bundle home & auto
Why we chose it
American Family is one of the best home insurance companies in Minnesota, especially for people who want to add coverage to a basic policy. AmFam also has high customer service ratings and several discounts.
Pros and cons
Pros
Several one-of-its-kind coverage endorsements and policy perks
High customer satisfaction and digital shopping satisfaction scores with J.D. Power
Offers nearly a dozen discounts
Cons
Requires you to work with an agent to purchase a policy
More details
Why we chose American Family
American Family is one of the top home insurance companies in Minnesota. You can customize your American Family policy with up to 15 additional coverage options — including inland flood, equipment breakdown, and service line coverage.
Although more expensive than the Minnesota average, AmFam's many discounts (including paying your premiums all at once, opting for paperless billing, and signing up for automatic payments) can make your premiums even cheaper.
How do American Family home insurance rates compare to the Minnesota average?
The average annual cost of American Family home insurance in Minnesota is $2,044 per year, which is 12% more expensive than the statewide average.
How to get a quote
Online with American Family or by contacting a local agent
Best company for discounts and policy perks in Minnesota: Farmers
2025 Policygenius award winner
Farmers
4.5
Offers extended replacement cost
Bundle home & auto
Smart home discounts
Why we chose it
Farmers is one of the best home insurance companies in Wisconsin for those who want to add coverage to their policies. Farmers also has a range of discounts, slightly cheaper-than-average rates, and high claims satisfaction scores.
Pros and cons
Pros
Optional extended or guaranteed replacement cost dwelling coverage
Receives few complaints from policyholders and has a high claims satisfaction score
Rates are cheaper than average
Cons
Below-average scores on J.D. Power’s overall customer satisfaction and digital experience surveys
More details
Why we chose Farmers
Farmers is one of the best home insurance companies in Minnesota, especially if you want to add coverage to a basic policy. Optional coverages from Farmers include guaranteed or extended replacement cost coverage, water backup protection, and a personal articles floater.
Farmers also earned a high score in J.D. Power’s 2022 claims satisfaction study (though it scored below average on J.D. Power’s overall customer satisfaction and digital experience surveys). Plus, Farmers receives fewer complaints than average, according to the National Association of Insurance Commissioners.
How do Farmers home insurance rates compare to the average in Minnesota?
The average cost of Farmers home insurance in Minnesota is $1,394 per year, which is 24% cheaper than the state's average annual premium.
How to get a quote
Online through Farmers
Best company for short term rental coverage in Minnesota: Allstate
2025 Policygenius award winner
Allstate
4.5
Bundle home & auto
Smart home discounts
Why we chose it
Whether you’re looking for basic or comprehensive home insurance coverage, Allstate is a standout option. Airbnb hosts may find a suitor in Allstate thanks HostAdvantage — its affordable short-term rental coverage that can be easily added to any policy.
Pros and cons
Pros
Offers HostAdvantage — an excellent short-term rental coverage add-on that can be seamlessly added to any policy
Extensive list of discounts and policy features to lower your bill and out-of-pocket costs
A+ credit rating with A.M. Best
Cons
Beginning to pull back coverage in high-risk areas
Customer experience scores with J.D. Power are below the segment average
Rate are higher than average
More details
Why we chose Allstate
If you rent out your property through a short-term rental service like Airbnb and a guest destroys or steals your property, Allstate’s HostAdvantage will pay up to $10,000 per rental host period to replace or repair your property.
And the best part? This coverage can be seamlessly added onto your policy for just a small additional fee. Only around a third of the nearly 70 home insurance companies we reviewed offer any type of home-sharing coverage, making Allstate a great option for Airbnb hosts who also need home insurance of their own.
How do Allstate home insurance rates compare to the Minnesota average?
The average annual cost of an Allstate home insurance policy in Minnesota is $3,158, or around 73% more expensive than the statewide average of $1,829 per year.
How to get a quote
Online through Policygenius or Allstate, or by contacting a local Allstate agent.
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.
How much is homeowners insurance in Minnesota?
The average cost of homeowners insurance in Minnesota is $1,859 per year, or roughly $152 a month, for an insurance policy with $300,000 in dwelling coverage. This is 4% higher than the national average of $1,754 per year.
Home insurance premiums in Minnesota increased 21% from May 2022 to May 2023, according to our latest analysis of internal policyholder data. This is due to a mix of sustained inflation, labor shortages, rising construction costs, and severe natural disasters that have caused insurance companies to increase rates and establish stricter underwriting rules to offset the risks. You can find all of the details in our 2023 Policygenius Home Insurance Pricing Report.
Minnesota homeowners insurance rates by city
Looking at average home insurance costs for the 15 most popular insurers in Minnesota, we found that the cheapest homeowners insurance company in almost every city in the state is Auto-Owners Insurance.
While insurance companies will consider many factors when determining your home insurance rates, your home’s location has perhaps the biggest impact on your final premium. But even if home insurance is expensive where you live, you can often find affordable coverage in Minnesota.
Here’s a look at the average cost of home insurance in the 20 largest cities in Minnesota.
City | Average monthly cost | Average annual cost | Difference from state average (%) |
|---|---|---|---|
Minneapolis | $168 | $2,010 | 10% |
St. Paul | $176 | $2,111 | 15% |
St. Paul | $161 | $1,936 | 6% |
Rochester | $147 | $1,769 | -3% |
Bloomington | $163 | $1,957 | 7% |
Duluth | $144 | $1,729 | -5% |
Brooklyn Park | $163 | $1,954 | 7% |
Plymouth | $171 | $2,056 | 12% |
Woodbury | $163 | $1,959 | 7% |
Lakeville | $150 | $1,802 | -1% |
Blaine | $161 | $1,935 | 6% |
Maple Grove | $169 | $2,025 | 11% |
St. Cloud | $147 | $1,762 | -4% |
St. Cloud | $145 | $1,735 | -5% |
Eagan | $164 | $1,969 | 8% |
Burnsville | $153 | $1,833 | 0% |
Coon Rapids | $161 | $1,927 | 5% |
Eden Prairie | $169 | $2,029 | 11% |
Apple Valley | $163 | $1,953 | 7% |
Minnetonka | $171 | $2,051 | 12% |
Minnesota homeowners insurance rates by coverage amount
The table below highlights the average annual premium in Minnesota for five different levels of dwelling coverage, which is the part of your policy that covers structural damage to your home.
Generally speaking, more dwelling coverage means higher homeowners insurance rates, as shown in the table below.
Dwelling coverage limit | Average annual cost |
|---|---|
$100,000 | $953 |
$200,000 | $1,367 |
$300,000 | $1,829 |
$400,000 | $2,328 |
$500,000 | $2,872 |
Cheapest homeowners insurance companies in Minnesota
Looking at average home insurance costs for the 15 most popular insurers in Minnesota, we found that the cheapest homeowners insurance company in almost every city in the state is Auto-Owners Insurance, with most rates falling between $900 and $1,300. Farmers also has cheap coverage options, with rates around $1,200 in some cities.
While insurance companies will consider many factors when determining your home insurance rates, your home’s location has perhaps the biggest impact on your final premium. But even if home insurance is expensive where you live, you can often find affordable coverage in Minnesota.
Company | Average annual cost |
|---|---|
$1,159 | |
North Star Mutual Insurance | $1,337 |
$1,394 | |
Western National | $1,442 |
$1,671 | |
Westfield Insurance | $1,703 |
$1,785 | |
Secura Insurance Companies | $1,910 |
West Bend Mutual Insurance | $1,988 |
$2,044 | |
$2,351 | |
$3,158 | |
$3,288 |
Cheapest Minnesota homeowners insurance if you have poor credit
Insurance companies will also look at your credit score when determining your home insurance rates. If you have a good credit score, your insurer will likely view you as more financially responsible and less likely to rely on home insurance to cover the cost of smaller damages or losses.
However, the opposite is true if you have a low credit score. Fortunately, not all companies weigh this factor as heavily when calculating your rates.
With an average rate of $2,457 per year, American Family has the cheapest home insurance rates in Minnesota for a homeowner with poor credit, while Auto-Owners Insurance’s average yearly premium of $12,247 is the highest.
Company | Average annual cost |
|---|---|
North Star Mutual Insurance | $1,906 |
Western National | $2,057 |
Secura Insurance Companies | $2,413 |
American Family | $2,457 |
West Bend Mutual Insurance | $2,578 |
AAA | $2,663 |
Farmers | $2,864 |
Westfield Insurance | $2,916 |
State Farm | $4,052 |
Chubb | $4,610 |
Country Financial | $4,860 |
Allstate | $5,102 |
Auto-Owners Insurance | $12,247 |
Cheapest Minnesota homeowners insurance if you have an older home
The age of your home is one of the factors that impacts your insurance rates. Here are the rates for older homes in Minnesota by company.
Company | Average annual cost |
|---|---|
Auto-Owners Insurance | $1,160 |
North Star Mutual Insurance | $1,337 |
Farmers | $1,342 |
Western National | $1,442 |
Chubb | $1,671 |
Westfield Insurance | $1,703 |
AAA | $1,821 |
West Bend Mutual Insurance | $1,849 |
Secura Insurance Companies | $1,974 |
American Family | $2,044 |
State Farm | $2,351 |
Allstate | $2,701 |
Country Financial | $3,785 |
Cheapest Minnesota homeowners insurance if you have a history of claims
Filing multiple claims can impact your homeowners insurance rates. Here are the average rates for homeowners who have filed multiple claims.
Company | Average annual cost |
|---|---|
Auto-Owners Insurance | $1,196 |
North Star Mutual Insurance | $1,337 |
Western National | $1,442 |
Westfield Insurance | $1,938 |
American Family | $2,444 |
West Bend Mutual Insurance | $2,550 |
Farmers | $2,567 |
Secura Insurance Companies | $2,625 |
State Farm | $2,685 |
Chubb | $3,149 |
Allstate | $4,055 |
AAA | $5,326 |
Country Financial | $7,576 |
How to buy homeowners insurance in Minnesota
With so many factors to consider, buying homeowners insurance can seem complicated, but it doesn’t have to be. Rates in Minnesota may be slightly above the national average, but a Policygenius agent can help save you money. Here are some tips.
Frequently asked questions
What is the average cost of home insurance in Minneapolis?
The average rate for insurance in Minneapolis is $2,142, which is more than the state average of $1,966. Minneapolis has a higher crime rate than much of the state, which could be a contributing factor to the high insurance costs.
If my poor credit score is affecting my insurance rate, what can I do to improve it?
Paying bills on time and keeping your credit card balance down are two good ways to improve your credit score. By managing your money carefully, you should see an improvement over time.
Is it required to have homeowners insurance in Minnesota?
While you are not legally obligated to purchase homeowners insurance, your mortgage lender may require it as a stipulation for extending you a loan.
How can I lower the cost of homeowners insurance?
Many companies that offer home insurance in Minnesota offer discounts that can lower your premium. Ask your insurance agent what discounts are available to you.
