As is the case with any type of insurance coverage, rates for homeowners insurance vary widely between insurance companies and according to the amount of coverage. Rates also vary substantially from state to state, between different cities in the same state, and even between neighborhoods in the same city. Individuals looking for the cheapest homeowners insurance are well-advised to shop around and compare quotes to get the best deal in terms of price and coverage provided. Homeowners Insurance Coverage and Cost Factors Homeowners insurance typically provides coverage for damage to a dwelling, such as a house or an apartment, liability coverage against personal injuries occurring inside the insured’s dwelling or on the property, and coverage for loss of personal property, such as jewelry, furniture or appliances. There are many choices in terms of coverage options for individuals to consider, all of which impact the insurance premium cost. Add-ons such as loss of use or guest medical coverage can significantly increase premiums. Coverage choices have to be made on an individual basis. These three homeowners insurance companies typically offer the lowest rates and the best value coverage for the price. Amica Mutual Insurance Company Amica is consistently ranked as one of the cheapest providers of homeowners insurance and carries the additional benefit of high customer satisfaction ratings. It was also rated number one by J.D. Power’s U.S. Household Insurance study in 2016. Some of Amica’s cost savings may derive from the fact that it deals strictly through company representatives, rather than through local insurance agents. The only minor negative for Amica is that it doesn’t match some of its competitors in regard to common discounts offered, such as a discount for having deadbolt locks. Nonetheless, Amica generally comes out best in terms of lowest cost and overall price for value. For example, one comparison on quotes for coverage on a roughly 2,000-square-foot home in a suburb of Chicago found Amica offering homeowners insurance for a premium of approximately $75 a month, with the next lowest quote coming in at $117 a month. Allstate Corporation The Allstate Corporation (NYSE: ALL) offers an extensive list of potential discounts that can substantially lower the cost of homeowners insurance coverage. The various possible discounts available include discounts for putting in an alarm system or installing deadbolts, bundling with other insurance coverage, setting up automatic premium payments, making renovations, and there’s even a discount for being a new Allstate customer. Allstate doesn’t commonly receive the same high level of overall satisfaction or satisfaction with pricing in relation to coverage offered ratings that Amica gets, but it does consistently rank as offering some of the lowest rates nationwide. Furthermore, Allstate is highly lauded for the online education and information tools that it offers to customers at no charge. Erie Insurance Group Erie Insurance Group doesn’t have the same level of name recognition as Allstate, and it is only available in a limited number of U.S. states, but it gets very high marks for the affordability and value of its homeowners insurance. In 2016, Erie was ranked third for its billing process and policy information, interaction and policy offerings by J.D. Power. Tips for Saving on Homeowners Insurance Careful shopping for homeowners' insurance coverage usually yields sizable savings. With free online coverage quotes available through numerous insurance websites, it is relatively quick and easy for consumers to comparison shop for the lowest rates on comparable coverage levels. Find savings in cheap home insurance by making sure to get the proper amount of coverage, but avoid paying for unnecessary coverage. For example, many consumers ensure their home at the estimated value of both their residence and the lot it sits on, not thinking about the fact that there’s no need to insure the value of the lot against theft. Finally, as with other types of insurance, increasing the deductible amount can significantly reduce homeowners insurance premium costs.