Los Angeles, CA Homeowners Insurance

Getting your home insured is crucial if you are a homeowner in Los Angeles, California. A reliable home insurance policy will guarantee your home and your belongings in case of uncertainties like fire or vandalism. It is essential in cities like Los Angeles, where these incidents are more likely to occur. You cannot be careful enough when it comes to investments, especially with your home and personal property. 

Los Angeles, California, offers some of the nation’s most expensive real estate, with the median value of homes in Los Angeles hovering around $752,509. Only 40% of Los Angeles residents are homeowners, which is lower than the national average of 62%.

As a homeowner, having your property insured in Los Angeles is a top priority, especially when you consider the fires that ravaged California in 2018 and 2020. According to the National Association of Insurance Commissioners, California residents lost at least 2.5 billion dollars from wildfire disasters in the past three years. To protect your property against future losses, you need to get it insured. 

If what you need is a home insurance policy that is affordable in Los Angeles, you are in the right place. We have provided a comprehensive cost and coverage analysis of homeowners insurance in Los Angeles to help you compare rates from the most trusted insurers in LA and save money finding the right coverage. 

How Much Does Homeowners Insurance Cost in Los Angeles? 

Homeowners insurance rates: Los Angeles Vs. State and National Average

Los Angeles Annual Average California Average United States Average
$2,722 $1,868 $1,548

Los Angeles Homeowners Rates by Company

One of the factors that affect your home insurance cost in Los Angeles is the company you choose to use.  As such, your search for the most affordable home insurance should start with a review of the cheapest and most trusted companies available. Currently, Mercury offers the cheapest home insurance policy in Los Angeles at the rate of just $630 a year. It’s very affordable when you compare it with the city’s average premium, which is around $1,240 as of 2021. 

Below is a table showing companies with the cheapest home insurance in Los Angeles and their average rates.     

Los Angeles Home Insurance Rates by Insurer  

Company  Average Annual Rate
Mercury $630
Allstate $680
USAA $800
Nationwide  $850
AAA $870
Farmers $1026
Amica  $1039

How Does Coverage Level Affect Homeowners Insurance Rates in Los Angeles?

Coverage level, also referred to as dwelling coverage, plays a vital role in your Los Angeles home insurance’s total cost. Coverage starting at $100,000 can cost $442 on average. The table gives a summary of coverage levels and the average annual rates.  

Los Angeles Homeowners Insurance Rates by Dwelling Coverage

Coverage Level Averages Annual Rates ($)
$400,000 $1,543
$250,000 $971
$200,000 $735
$100,000 $442

Los Angeles Homeowners Insurance Rates by Zip Code

The area where your house is located in Los Angeles goes a long way to determine your insurance cost. That’s because insurance providers usually consider the number of claims in your area, the crime rate, as well as some other factors while they determine your pricing. So, if you live in an area prone to fire, strong winds, or crime, there is a higher chance you will be paying more. Also, property values and other risk variables play an important role in the pricing of homeowners insurance in Los Angeles. 

Generally, people in Beverly hills pay the highest for home insurance, with an average rate of $1,282. On the other hand, Torrance has the most affordable home insurance cost in Los Angeles, with a yearly average of $837. 

Los Angeles Homeowners Insurance Costs by Zip Code and Neighborhood

Zip Codes Neighborhood Names Average Annual Rates
90501 Torrance $847
90732 San Pedro $862
90731 Reno Metro $879
90069 West Hollywood $1,217
90073 Los Angeles County $1,224
90210 Beverly Hills $1,282

Comparing Home  Insurance Costs by Deductible in Los Angele

Deductibles are the fees you are responsible for before an insurer will cover your claims. In most cases, the deductible level plays a role in how expensive your homeowner’s insurance rates are. As a result, many homeowners in Los Angeles find themselves trying to figure out whether to go high or go low in this regard. 

Generally, higher deductibles tend to attract lower annual insurance premiums. Similarly, lower deductibles would mean higher premiums. 

The table shows a list of the average deductible levels offered by homeowners insurance companies in Los Angeles. You can compare the deducible values with the average insurance rates. 

Los Angeles Homeowners Insurance Rates by Deductible 

Deductible Level Average Annual Insurance Rate
$5,000 $700
$2,000 $850
$1,500 $940
$1,000 $990
$500 $1,100

Los Angeles Home Insurance Coverage Options

Homeowners in Los Angeles can choose from several coverage options to protect their homes and property. As expected, coverage plans with better coverage attract higher fees. The following are a list of programs available to you:

  • Dwelling insurance: This insurance plan only covers damage to your home and other attached structures like your garage.
  • Flood insurance: With this option, you can cover all damages to your home due to flooding. 
  • Earthquake insurance: Earthquake insurance in Los Angeles protects you against damages to your home from earthquakes. 
  • Drain or sewer backup insurance: With this option, you get paid for damages to your home due to sewer backup or drain.
  • Personal property insurance: This insurance covers the contents of your home in the case of any hazard. The items covered include your clothes, furniture, and electronics.

Best Homeowners Insurance companies in Los Angeles

Aside from pricing, a company’s financial stability is also an essential factor to consider for your homeowner’s insurance.  Financial stability ratings determine the company’s capability to pay insurance claims. So, to save yourself a lot of headache in the future, make sure you check the AM Best rating and the JD Power ranking of the company you are choosing for your homeowners insurance in Los Angeles. 

Best Homeowners Insurance Companies in Los Angeles Based on AM Ratings and JD Power Rankings 

Company J.D. Power Ranking A.M. Best Rating BBB rating
Amica 5 out of 5 stars A+ (Superior) A+
USAA 5 out of 5 stars* A++ (Superior) B-
Auto Club 3 out of 5 stars Not rated A+
State Farm 3 out of 5 stars A++ (Superior) A
Allstate 3 out of 5 stars A+ (Superior) A+

Special Considerations for Natural Disasters in Los Angeles

In recent years, the fire raging in Los Angeles has caused the cost of home insurance to skyrocket. As a homeowner, you need to ensure your insurance policy covers losses from natural disasters like: 

  • Wildfire: Your insurance policy must cover wildfires’ damages, especially with the increasing rate of fire incidents in Los Angeles.  
  • Flood: Basic homeowners insurance would cover water damages from a burst pipe but not damage from flooding. You might need to confirm with your provider about your coverage for flood insurance. 
  • Earthquake: Major quakes from neighboring communities could cause damages. You should add on coverage for earthquakes to your homeowners insurance policy since the basic insurance policy does not include earthquake insurance.

Home Insurance Agents In Los Angeles, CA

Homeowners Insurance Companies Near Los Angeles, CA Address of Agents
Broadway Insurance Services 557 W 23rd St, Los Angeles, CA 90007
Farmers Insurance 1100 Wilshire Blvd, Apt 3703, Los Angeles, CA 90017
Saferoad Insurance 807 W Vernon Ave, Los Angeles, CA 90037
Arroyo Insurance Agency 2900 W Broadway, Los Angeles, CA 90041
Tony Kim – State Farm Insurance Agent 240 N Virgil Ave #22, Los Angeles, CA 90004
Family Insurance Sales LLC 440 E Washington Blvd, Los Angeles, CA 90015
Foroutan Insurance Services 11859 Wilshire Blvd # 685, Los Angeles, CA 90025, United States
Diane Sinner – State Farm Insurance Agent 6535 Wilshire Blvd #117, Los Angeles, CA 90048, United States
Fiesta Auto Insurance & Tax Service 4339 Long Beach Ave Suite A, Los Angeles, CA 90058, United States
Carmel Stevens – State Farm Insurance Agent 4918 W Slauson Ave, Los Angeles, CA 90056, United States

Tips to save money on Los Angeles home insurance

The law in Los Angeles does not require you to have your home insured. However, it keeps you safe from uncertainties. Also, without insurance, you cannot mortgage your house for a loan. To help you save on LA home insurance, follow the tips below:

  • Bundle as many policies with the same company:

Those who already have an insurance policy with a company, e.g., auto insurance, can also add their home insurance to the list. By adding as many policies as you can, you can grab bundling discounts that most companies offer their clients for using two or more of their services.  

  • Use your claims wisely:

The number of claims on your record can determine how costly your premium will be. Therefore, before you file claims, be sure that your claims are worth it. Also, ensure that the claims will not cost you more money later on when you need new insurance. 

  • Discounts:

Most homeowners insurance companies offer their clients discounts. However, discounts vary from company to company. To get the best deals, you must inquire about the discounts available. 

  • Protect your home from natural disasters:

Use fire-resistant materials for your home’s roofing. Also, retrofit your old house to meet the earthquake codes. You can also install home security systems like smoke and fire alarms.

Special resources for Homeowners in Los Angeles, CA

Get Los Angeles homeowners insurance now!

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Los Angeles, CA Homeowners Insurance FAQs

Yes, if you happen to stay in an area ravaged by a natural disaster, your insurance company will increase your rates after the incident.

Not all insurance coverages protect you against earthquakes in Los Angeles. Standard coverage types protect you from most risks but most times exclude coverage from earthquakes. To get protection against earthquakes, you have to work out a special deal with your insurance company. 

Just like with earthquakes, you may need special insurance coverage to protect you from wildfires in Los Angeles. Except otherwise stated, wildfire protection for your home comes with extra cost. You need to ask your insurance company to see what you are paying for.

Mercury Insurance is the cheapest homeowners insurance company in Los Angeles, with its most affordable plan going for $630/year.  

Yes, with or without insurance on the driver’s part, a basic plan will cover such damages. However, you will be responsible for paying your deductible fee before you can make claims. 

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