3.3 / 5

Velocity homeowners insurance review

While only available in six coastal states, Velocity is ideal for homeowners looking fora variety of sea-related coverages, including protection against wind, rain, and hail damage, sump pump backups, and mold.

Haley Sprankle


Haley Sprankle

Haley Sprankle

Reviews Editor

Haley Sprankle is a former reviews editor at Policygenius who specializes in homeowners and auto insurance. Previously, she was a writer at Wirecutter and The New York Times.

Updated|3 min read

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    Online claims services

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    Lots of coverage add-on options


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    Available in only six states

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    No third-party ratings available


Velocity serves a small slice of customers who live in six coastal states, including New York and Florida. If your home is by the Atlantic or the Gulf Coast, you may want to consider Velocity’s range of coverages that serves residents routinely wracked by the sea. It offers protection for wind,hail, and rain damage, sump pump backups, and mold damage, alongside the usual homeowners features like dwelling coverage for repairing your home and personal property coverage for replacing your belongings.


Average annual premium cost for a medium-sized home.


Financial confide...

Financial ratings from credit rating agencies.


Policy options

Both the quality and number of coverage options, like unique homeowners insurance product tiers and availability of certain coverage endorsements.


Customer experience

Ease of use, convenience, availability, and claims ratings.


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The details

The good

  • Online claims services. Velocity provides convenient ways to file damage claims, including a customer hotline, a dedicated website, and a mobile app. Policyholders can also manage and monitor claims on the app or site. Handy!

  • Lots of coverage add-on options. Velocity tailors its add-on options to meet the needs of the coastal homeowners it serves, providing everything from  wind and rain protections to computer coverage.discount and a roof age discount, and you should save money on your premiums.

The Bad

  • No third-party ratings available. With less than 10 years in the industry and only serving a few select states, Velocity hasn't built up a strong presence on customer review sites. This makes it hard to gauge how happy customers are with its service.

  • Available in only six states. Velocity is only found in six states: Connecticut, Florida, New Jersey, New York, North Carolina, and Texas. 


Average annual premium cost for a medium-sized home.


According to Policygenius quoting data, homeowners insurance with Velocity costs around $1,850 annually. That's around 50% higher than the national average quote of $1,249 (National Association of Insurance Commissioners). While this might seem high to a typical homeowner, , keep in mind Velocity’s coverage is designed specifically with coastal dwellers in mind.


Velocity has the usual discounts you’d expect with most home insurance companies, as well as a few that stand out. While exact discounts will vary by state, here’s what you might expect depending on where you live:

  • Alarm systems and protective devices discount. Save money if you have burglary systems, smoke alarms, water leak detection systems, and other home safety devices installed.

  • Fire protection discount. Get a discount if your home is built with materials that protect against fire.

  • Water leak protection discount. Score a discount if you have specific protective measures, like water leak  detectors, installed throughout your home. 

  • Direct repair program discount. Get a 10%deductible credit — up to $1,000 on personal property claims and up to $2,000 on commercial property on non-catastrophe claims — when you use a company in its direct repair program.

  • Accredited builder discount. If your home was built by a builder that offers a warranty for your home, you may have a discount opportunity.

  • Mature homeowner discount. Save money if you’re over the age of 55 or retired.

  • Gated community discount. Enjoy a discount if you live in a gated community.

Financial confidence

Financial ratings from credit rating agencies.


Insurance companies have to last long into the future so they can pay out any potential claims down the line. To determine the financial stability of carriers, we look at ratings from the three big independent credit rating agencies: A.M. Best, Moody’s, and Standard & Poor’s (S&P). While Velocity only has one score available through A.M. Best, the insurer was recently acquired by Oaktree Capital Management, so we went ahead and looked at its S&P rating to get a better look inside Velocity’s overall financials.

  • A.M. Best: A

  • Moody’s: N/A

  • Standard & Poor’s: A-

Credit rating firm A.M. Best focuses specifically on the insurance industry. They give Velocity an A rating (effective February 3, 2022), which denotes an “excellent ability” to fulfill customer obligations.

Moody’s does not have ratings for Velocity.

Standard & Poor’s is a credit rating agency that measures the long-term financial stability of a company. Oaktree Capital Management (owner of Velocity) has a score of A-, which is the fourth highest score you can get.

Policy options

Both the quality and number of coverage options, like unique homeowners insurance product tiers and availability of certain coverage endorsements.


Policy features with Velocity will vary between states, but you can expect the usual HO-3 homeowners coverage regardless of where you live. That includes the following:

  • Dwelling coverage. Covers the cost of rebuilding or repairing your home.

  • Other structures coverage. Coverage for other structures on your property such as detached garages or sheds.

  • Personal belongings coverage. Covers your household belongings if they’re lost or damaged from a fire, theft, or other covered loss.

  • Additional living expenses. This pays for hotel stays in case you can’t live in your home due to damage or repairs.

  • Personal liability. Covers legal and medical bills if someone is injured or their property is damaged and you’re found legally responsible.

  • Medical expenses. Helps pay for medical bills for anyone injured on your property — regardless of who’s at fault.

You’ll also have your choice of deductible, which is the amount of money you pay out of pocket before insurance kicks in to cover your claim.  Here are the two types of deductibles Velocity homeowners insurance comes with:

  • AOP deductible. The All Other Peril deductible applies to all other damages to your property such as fire, hail, lightning, or theft. This deductible applies per occurrence, which means you’ll have to pay twice for two separate events. The deductible can be either fixed amounts of $1,000 or $2,500 or 1%, 2%, 3% or 5% of your dwelling coverage limit.

  • Wind and hail deductible. This applies to losses from wind and hail damage. The deductible can be 1%, 2%, 3%, or 5% of your dwelling coverage limit.

Velocity offers many, many optional endorsements you can add on to your policy for extra protection — though you’ll pay for it with higher rates:

  • Loss assessment coverage. Velocity will cover the cost of assessing property damage.

  • Ordinance or law coverage. This brings your home up to current building codes during repairs.

  • Additional replacement cost coverage. Expands your coverage limit to rebuild your home in case construction and labor costs go up.

  • Personal property replacement cost. This coverage replaces your valuables based on their original cost — meaning depreciation isn’t taken into account. 

  • Refrigerated personal property. This coverage  pays to replace any food and medicine that goes bad if your refrigerator breaks down.

  • Equipment breakdown coverage. This helps repair or replace your damaged appliances like dishwashers, washers, and dryers.

  • Computers coverage. If your personal computer is damaged or stolen, this coverage would help cover the repair or replacement of it.

  • Animal liability coverage. Helps pay toward risks involving animals. Certain animals, such as livestock, horses, exotic animals, and vicious dogs are not covered.

  • Golf cart coverage. Provides protection for your golf cart.

  • Mold coverage. Covers dealing with mold removal.

  • Service line coverage. If power lines or other service lines are damaged or down, this coverage helps repair and replace them.

  • Water backup coverage. Pays for any repairs related to water damage from sewage or sump pump backups.

  • Personal injury coverage. Cover expenses related to libel claims, false arrest, detention, or imprisonment.

  • Wind-driven rain coverage. Covers damage to your home caused by stormy winds and rains.

  • Wind-only coverage. Covers damage to your home caused by wind. This endorsement removes AOP coverage.

The availability of these endorsements will vary depending on the state you live in. For a personalized look at coverage options, speak to a Policygenius home insurance agent. For more information about what homeowners insurance can cover, refer to our comprehensive homeowners insurance explainer.

Customer experience

Ease of use, convenience, availability, and claims ratings.


While Velocity has some great tools like their mobile app and FAQ resources page, the website is lacking overall. The policy options aren’t always clear, and there isn’t a quote tool to get a quick idea of what your annual rate might be.

State availability

Velocity insurance products are available in only six coastal states: 

  • Connecticut

  • Florida

  • New Jersey

  • New York

  • North Carolina

  • Texas

Digital tools

  • Online bill payment and policy management

  • Online claims filing

  • Mobile app

  • FAQ resources

Ease of claims

You can file a claim by filling out a form online, reporting a claim via its mobile app, or calling Velocity’s customer service line.

Payment methods

  • Credit or debit card over the phone

  • Check by mail

  • Online

Policygenius offers insurance policies from many of the nation's top insurers, who pay us a commission for our services. However, all editorial choices are made independently.


Reviews Editor

Haley Sprankle

Reviews Editor

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Haley Sprankle is a former reviews editor at Policygenius who specializes in homeowners and auto insurance. Previously, she was a writer at Wirecutter and The New York Times.

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