Top California Homeowners Insurance Companies Have Wide Variation in Rates
By: Ramu Garuda Mar. 19, 2018
The most recent data from the California Department of Insurance allowed Gavop to analyze the top home insurance companies in California's most populated counties. The study found that the top 10 most influential companies occupied 75% of the market share for home insurance. The recorded top three companies based on market share were State Farm, Farmers, and Allstate
Additionally, Gavop examined statistics for home insurance premium among the top companies in California and provided average premiums for each company for home coverages that ranged from $200,000 to $750,000. For home insurance coverage around $200,000, Allstate charged a $392 average premium, and with the same coverage, AIG charged $633 more than Allstate.
Furthermore, looking at coverage for homes valued at $300,000, Mercury charged the lowest premium compared to other insurance providers. Mercury also charged a $727 average premium for the coverage of a $500,000 home. Other major companies such as State Farm, Travelers, and Farmers charged high premiums with a coverage of $750,000, however, Mercury offered a lesser premium of $921.
Among the top 10 companies in California, the overall highest average premium charged for homes valued at $750,000 was $2,750 from AIG. Conversely, the overall lowest average premium charged by Allstate was $392 for a home valued at $200,000.
The below table shows insurance premiums charged from the top insurance providers in California
| Company | $200,000 | $300,000 | $350,000 | $400,000 | $500,000 | $550,000 | $750,000 |
|---|---|---|---|---|---|---|---|
| Allstate | $392 | $577 | $646 | $742 | $943 | $999 | $1,328 |
| Mercury Ins Group | $398 | $495 | $525 | $587 | $727 | $724 | $921 |
| AAA (Interinsurance Exchange) | $450 | $711 | $790 | $883 | $1,115 | $1,228 | N/A |
| USAA | $505 | $780 | $844 | $945 | $1,200 | $1,409 | $1,409 |
| Travelers | $510 | $675 | $763 | $846 | $1,034 | $1,052 | $1,382 |
| State Farm | $529 | $739 | $854 | $967 | $1,211 | $1,329 | $1,326 |
| Nationwide | $659 | $869 | $963 | $1,075 | $1,394 | $1,387 | $1,696 |
| Liberty Ins Corp | $739 | $954 | $1,042 | $1,152 | $1,349 | $1,367 | $1,722 |
| Farmers (Fire Ins) | $855 | $1,154 | $1,238 | $1,364 | $1,670 | $1,669 | $2,066 |
| AIG Prop Cas | $1,025 | $1,464 | $1,594 | $1,810 | $2,251 | $2,255 | $2,750 |
ABOUT THE AUTHOR
Ramu Garuda
Ramu is a research analyst with over 9 years of analytics & research experience. Prior to joining the company, he worked with some of the prominent consulting and market research firms in India, including Pride Technology (Supporting consulting projects to PWC), RR Donnelly, and The Hackett Group. His skills include company profiling, benchmarking, data and trend analysis, industry analysis, and report writing across the industries. Ramu holds a Master’s degree in Finance and Marketing. He also has a bachelor’s degree in Biotechnology.
