Salt Lake City is home to breathtaking mountain views and beautiful scenery, but the natural landscape also poses a threat of wildfires and earthquakes. Fortunately, Salt Lake City residents have plenty of affordable options for home insurance.
The average cost of homeowners insurance in Salt Lake City is $945 per year or $79 a month. This is almost equal to the statewide average of $949 per year, and about 50% lower than the national average of $1,899.
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 Salt Lake City.
Best homeowners insurance companies in Salt Lake City
Of the companies we looked at, American Family has the lowest rate with an average yearly cost of $670 — $275 lower than the city’s already low average. While the other companies we analyzed are comparatively more expensive, they all have high scores from J.D. Power, which means Salt Lake City residents are likely to see above average customer service and claim satisfaction no matter which company they choose.
Policygenius analyzed thousands of quotes from the 5 largest Salt Lake City 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 Salt Lake City residents to find the best homeowners insurance in Salt Lake City.
Why State Farm tops our best list
With many tips and articles on their website, State Farm is an excellent option for new homeowners who may not know what they’re looking for in an insurance policy. State Farm also offers resources on moving, working with a real estate agent, home inspections, and more.
How to get a quote
Online through State Farm
Why Farmers tops our best list
Farmers’ green rebuild coverage is a great policy add-on if you’d like the option to make your home “greener” after a covered loss. By purchasing this added coverage, you could get up to $25,000 to use eco-friendly materials and purchase energy efficient appliances, as well as add other features to your home to make it more environmentally friendly.
How to get a quote
Online through Farmers
Why Allstate tops our best list
The Allstate national catastrophe team is a service dedicated to customers experiencing damage and loss after a natural disaster. These mobile claim centers can take care of filing claims and providing information on your next steps. They even provide bottles of water as well as teddy bears to comfort children.
How to get a quote
Online through Policygenius or Allstate
Why USAA tops our best list
USAA offers multiple discounts on their already low rates, including a reduced rate for customers who install ADT security devices in their homes. Through USAA’s partnership with ADT, customers can purchase alarms and cameras at a discounted rate while also saving money on their home insurance policy. The safer you make your home, the less likely you are to file a claim, which reduces costs for your insurer.
How to get a quote
Online through USAA
Why American Family tops our best list
Paying a large deductible after multiple claims can start to add up, but you can reduce out-of-pocket costs with American Family’s “diminishing deductible” program. Once you sign up, you’ll receive a $100 credit towards your deductible as well as another $100 for each year you renew your policy. After a few years, you could see significant savings on your deductible.
How to get a quote
Online through American Family
Cheapest homeowners insurance companies by ZIP code in Salt Lake City
Looking at average home insurance costs for 15 of the most popular companies in Salt Lake City, we found that the cheapest home insurance in the city can be found in the 84129, 84132, 84133, and 84138 ZIP codes with American Family. The average American Family rate in these areas is $568 per year — 40% less than the city average of $949 per year.
As the table shows, homeowners are likely to see the cheapest rates in Salt Lake City from American Family. No matter what part of the city you’re in, their rates are the lowest.
The most affordable areas for homeowners insurance in Salt Lake City
With an average home insurance rate of $930 per year, the 84129 ZIP code (Taylorsville) is the most affordable area for home insurance in Salt Lake City. These low rates could be due to the size and ages of the houses in the area.
The most expensive areas for homeowners insurance in Salt Lake City
With an average home insurance rate of $963, the 84104 ZIP code (West Salt Lake) is the most expensive area for home insurance in Salt Lake City. Higher risks for extreme weather or wildfires, as well as higher crime rates all play a factor in high insurance premiums.
Shopping for homeowners insurance in Salt Lake City
While premiums in Salt Lake City are much lower than the national average, you should still be diligent when shopping for homeowners insurance. Knowing what you need in a policy and understanding how coverage and deductibles work can save you money.
Residents in Salt Lake City should be certain to have enough dwelling coverage in particular, in case of a destructive winter storm or wildfire.
In this section, we break down the average annual home insurance rates in Salt Lake City for different coverage and deductible levels, as well as the cheapest and most expensive home insurance companies in the state for individuals with a poor credit score, dog owners, and pool owners. Once you’re ready to shop, a Policygenius expert can help you navigate your coverage needs and help you find the best deal on homeowners insurance in Salt Lake City.
Salt Lake City home insurance costs by coverage amounts
Dwelling coverage is the part of your home insurance that pays to repair or rebuild your home after a covered loss. The amount of coverage you need is determined by your home’s replacement cost — note its market value or purchase price of your house.
More dwelling coverage means higher home insurance rates. In Salt Lake City, a policy with a $500,000 dwelling coverage limit will cost $1,391 per year — $875 more than the cost of a policy with $100,000 in coverage.
Liability insurance covers the cost of medical bills and legal expenses in case you’re legally responsible for someone’s injury or you damage their property on accident. For example, if a guest is injured using your pool or is bitten by your dog, you could be held responsible for their medical bills.
Your coverage should be high enough to cover the total value of your home, cars and other vehicles, and liquid assets so you’re not left covering these expenses out of pocket.
As the table below illustrates, liability coverage doesn’t have much of an impact on your final home insurance premiums. And because of this, you may want to consider the highest amount of coverage available to you.
Salt Lake City home insurance costs by deductible amount
Your homeowners insurance deductible is the amount you pay towards your claim before the insurance company covers the rest. Opting for a high deductible will lower your rate, so if you’re not likely to file many claims, consider this option.
As seen in the table below, Salt Lake City residents can save around $320 on home insurance by choosing a $2,000 deductible over the $500 option.
Home insurance discounts in Salt Lake City
Even with Salt Lake City’s low home insurance rates, it’s possible to save even more on your policy. Most companies offer discounts to customers who have or install home security devices such as burglar alarms and smoke detectors. These discounts incentivize homeowners to make their houses safer, which decreases the likelihood you’ll need to file an insurance claim.
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. Here is the average annual rate and average discount percentage for homes in Salt Lake City with deadbolts, smoke alarms, or burglar alarms.
Home insurance companies in Salt Lake City for dog owners
Insurance companies often increase rates for owners of certain dog breeds that are considered dangerous or aggressive. These breeds tend to be the cause of a high proportion of dog bite-related liability claims, so providers often charge more to account for this heightened risk.
With an average rate of $680 per year, American Family has the cheapest home insurance rates in Salt Lake City for a home with a dangerous dog breed, while Allstate’s average yearly premium of $1,586 is the highest.
Home insurance companies in Salt Lake City for poor credit
Another factor insurance companies use to determine your premium is your credit-based insurance score. The data for this score comes from your credit report and can give insurers an idea of how likely you are to pay your bills on time or file an insurance claim.
Studies have shown that customers with good credit will more often pay for smaller repairs out of pocket rather than file a claim, which saves insurance companies money.
With an average rate of $1,178 per year, American Family has the cheapest home insurance rates in Salt Lake City for a homeowner with poor credit, while Allstate’s average yearly premium of $2,018 is the highest.
Home insurance companies in Salt Lake City for pool owners
Having a pool at your house can increase your insurance rate due to a higher possibility of injuries that result in liability claims. Not all insurance companies will charge more for homes with pools, however, making it another reason to shop around for the best rate.
With an average rate of $676 per year, American Family has the cheapest home insurance rates for Salt Lake City homes that have a swimming pool, while Allstate’s average yearly premium of $1,586 is the most expensive.
How to buy homeowners insurance in Salt Lake City
Salt Lake City’s low insurance rates make purchasing an affordable policy easy no matter where you live. Even with low rates, however, you can still save money by understanding what you need in a policy and comparing options.
Below are additional tips and suggestions when shopping for a home insurance policy:
Reach out to a licensed Policygenius agent. Working with a Policygenius expert makes insurance shopping easy while simultaneously helping you save money on coverage. Policygenius agents are available to answer questions about how much and what kind of coverage you need as well as additional options to keep your home protected.
Ask about the Utah FAIR insurance plan. If you’ve been rejected by traditional home insurance companies for any reason, you may be able to get covered through Utah’s FAIR plan.
Consider purchasing earthquake insurance. No matter how close you live to a fault line, you should still look into adding earthquake insurance to your policy.
Figure out how much deductible you can afford. The size of your deductible should be related to how many claims you anticipate making over time. A higher deductible means lower home insurance rates, but it also means more out-of-pocket expenses when you file a claim.
Compare quotes from a Policygenius agent. Comparing quotes is the best way to make sure you’re getting the best value for your policy.
Choose your policy, sign it, and pay your first premium. Once you’ve chosen a policy, a Policygenius agent can prepare the paperwork for you to sign. All you have to do is make your first payment and you’re all set.
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:
Other structures: $30,000
Personal property: $150,000
Loss of use: $60,000
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.