How Much Is Condo Insurance? 2023 Cost

The average condo insurance cost in the U.S. is $455 per year, or about $38 per month, according to NerdWallet’s rate analysis. But what you pay may be different.

Our sample policy was for a 35-year-old condo unit owner with good credit, $50,000 of personal property coverage, $300,000 of liability coverage and a $1,000 deductible. The cost of your condo insurance will depend on your location, the size of your unit and how much coverage you need.

We analyzed pricing data from more than 100 insurance companies to bring you the average condo insurance cost in every state and the largest U.S. cities.

How much you pay for condo insurance depends in large part on where you live. Below you can see the average cost of condo insurance in your state.

Here are the cheapest states for condo insurance:

1. Vermont and West Virginia (tie): $255 a year, or about $21 a month, on average.

2. Maine: $305 a year, or about $25 a month, on average.

3. Wisconsin: $315 a year, or about $26 a month, on average.

4. Iowa: $325 a year, or about $27 a month, on average.

These are the most expensive states for condo insurance:

1. Florida: $1,400 a year, or about $117 a month, on average.

2. Georgia: $765 a year, or about $64 a month, on average.

3. Texas: $715 a year, or about $60 a month, on average.

4. Rhode Island: $710 a year, or about $59 a month, on average.

5. Louisiana: $705 a year, or about $59 a month, on average.

We analyzed condo insurance rates in 25 of the largest U.S. cities. Miami had the highest average rate of the cities on our list by far at $3,945 per year. Meanwhile, Minneapolis had the cheapest average rate at $375 per year.

The more coverage you need, the more you’ll pay for your policy, in general. You’ll want to make sure you have enough personal property coverage for all your belongings, including furniture, clothes, electronics and kitchen gadgets. If you have a large unit or higher-end items, you’ll probably need a higher personal property limit.

Below are average rates for four different levels of personal property coverage.

We looked at average rates from some of the largest insurance companies in the U.S. by market share.

The cheapest among the insurers we analyzed was State Farm, with an average annual rate of $335. The most expensive was USAA at $680 per year, on average.

Below are average annual home insurance rates for some of the largest home insurance companies in the U.S. Keep in mind that they may not all sell condo insurance in your state. You may also have other local or regional options that are more affordable than the well-known national insurers. An independent insurance agent can help you find them.

Condo insurance policies typically include the following types of coverage:

• Dwelling, or building property. Depending on your policy, this coverage could pay for things like flooring, light fixtures, cabinets and built-in appliances.

• Loss of use, or additional living expenses. This can pay hotel bills or other costs if you’re displaced from your home by a covered event.

• Personal liability. This provides financial protection if you accidentally injure someone or damage their property.

• Medical payments. This covers medical bills for anyone injured on your property, regardless of fault.

Your policy may also include loss assessment coverage, which can help you pay for shared association expenses. For example, if a fire does more damage to the condo building than the association’s master policy can cover, the association may divide the extra expense among all unit owners. Loss assessment coverage could handle this type of expense.

Insurance costs are on the rise across the U.S., due to inflation and increasingly expensive catastrophes. So if you find yourself paying more for condo insurance than you used to, you’re not alone. Below are a few ways to help bring your costs down.

Shop around. We recommend getting quotes from at least three insurers to make sure you’ve found the best price. You can get quotes online, by calling insurers or working with an independent insurance agent. For a fair comparison, check that the policies you’re evaluating have similar coverage limits and deductibles.

Raise your deductible. A deductible is the amount subtracted from your claim payout. The more damage you’re willing to pay for yourself, the lower your insurance cost will be. For example, raising your deductible from $1,000 to $2,500 can save you 10% on condo insurance, according to NerdWallet’s rate analysis. Make sure the deductible is an amount you’d feel comfortable paying in an emergency.

Ask about discounts. Depending on where you live, your insurance company may offer savings for:

• Bundling your condo policy with auto or other insurance.

• Installing protective devices such as smoke alarms, security systems or sprinklers.

• Signing up to autopay your premiums.

• Going for a certain amount of time without filing a claim.

• Living in a gated community.

• Being a retiree or a nonsmoker.

Ask about these and any other potential discounts when shopping around.

Build your credit. In most states, insurers use your credit-based insurance score (similar to a credit score) to set condo insurance rates. Because studies have shown a correlation between a lower credit score and a tendency to file claims, insurance companies generally charge higher rates if your credit-based insurance score is poor.

Condo owners with poor credit pay 49% more on average than those with good credit, according to NerdWallet’s rate analysis. Although it may take time to build credit, doing so could save you money on insurance in the long run.