The Best Cheap Kentucky Homeowners Insurance for 2024

One task that must be added to your "to do" list as a new homeowner is buying homeowners insurance. While it may be one of the least exciting things you do, it is one of the most important. Here, we’ll help identify the best homeowners insurance in Kentucky, show you the cheapest policies in the state, and outline key factors to look for in choosing a Kentucky home insurance policy.

• Cheapest overall for Kentucky: Cincinnati Insurance
• Cheapest for new home construction: Progressive
• Cheapest for older homes: Cincinnati Insurance
• Cheapest for homeowners who have filed a claim: Cincinnati Insurance

With low rates, these companies offer relatively cheap homeowners insurance in Kentucky:

• Cincinnati Insurance, with an average annual rate of $1,344
• Progressive, coming in at an average rate of $1,525
• Westfield Group, with an average annual rate of $1,920

When someone buys a new home, they're often surprised to learn they'll pay less for homeowners insurance. That's because all those new components included in a new home makes insurance companies believe the homeowner probably won't make a claim for a while. The expected savings get passed on through lower insurance premiums. Here are the three least expensive Kentucky home insurance providers for newly built homes:

• Progressive, offering an average annual rate of $503
• Cincinnati Insurance, with an average annual rate of $752
• AAA, with an average annual rate of $961

What's not to love about an older home? Often, there's great craftsmanship, character, and history around every corner. Here's the fly in the ointment, though: Along with all that character, older homes tend to have more issues. Things like leaky roofs, dry rot, and foundation issues often lead to insurance claims, so insurers tend to charge more to insure an older home. In Kentucky, these three companies offer the lowest rates:

• Cincinnati Insurance, with an average annual rate of $1,274
• Progressive, offering an average annual rate of $1,447
• Westfield Group, with an average annual rate of $2,013

When peril hits, a homeowners insurance policy stands between the homeowner and potential financial hardship. However, once a homeowner makes a claim, they can expect their insurance premium to increase for a time. The increase does not last forever, but it's worth knowing it can happen. For a Kentucky homeowner who has made a claim, these three insurance companies offer the lowest rates in the state:

• Cincinnati Insurance, offering a forgiving rate of $1,479
• Progressive, coming in with an average annual rate of $1,616
• Auto-Owners, offering an average annual rate of $1,828

The average cost of homeowners insurance in Kentucky is $2,269, around 24% higher than the national average of $1,725.

The best homeowners insurance in Kentucky offers comprehensive coverage at a low price. As a homeowner begins to look for coverage, they are likely to have a lot of new terms thrown at them. Here, we offer a quick overview of the new terms Kentucky residents are most likely to come across.

Different types of homeowners coverage

Insurance companies typically offer six types of policies designed to cover traditional (non-mobile) homes. These policies range from basic coverage to policies with all the bells and whistles. The best homeowners insurance companies offer them all. However, it can be tough to determine which level of coverage is best for a particular homeowner. Making a list of desired coverages before shopping can help. For example, if a person's new home includes amazing inlaid hardwood floors that would be expensive to replicate, they know a barebones policy is not right for them.

Level of coverage

A barebones policy may not fully cover all losses. While price is important, paying as little as possible for homeowners insurance is not the ultimate goal. That's not to say a homeowner should not shop for the lowest price possible -- but only after determining the level of coverage they'll need to repair or rebuild their home if it is destroyed. Once a homeowner determines how much insurance coverage they desire, they should shop for the best insurance rates on that level of coverage.

Amount of deductible

One of the first things a person shopping for homeowners insurance will be asked is how much of a deductible they want to pay in the event of a claim. When a homeowner makes a claim, they typically pay an insurance deductible toward the cost of repair or replacement. Let's say there’s a storm that damages the roof, and the cost of repairing the roof is $12,000. If there’s a $1,000 deductible on the policy, the homeowner pays the contractor $1,000, and the insurance company covers the remaining $11,000. The lower the homeowner’s deductible, the higher the policy premium. One way of keeping costs low is to choose a higher deductible.

Potential discounts

One of the best ways to secure cheap homeowners insurance in Kentucky is to take advantage of all discounts. It's impossible to fairly compare one policy to another without knowing how much each policy costs after discounts are factored in. It would be rare to find a company that doesn't offer home insurance discounts. These discounts cover everything from whether the home has an alarm system to whether the property is covered by a homeowners association (HOA).

Identifying the type of claims most common with Kentucky home insurance can help a homeowner build a policy that offers real security.

Windstorms

Windstorms are one of the most common reasons for claims in Kentucky. Given the types of storms that hit this Midwest state, that makes sense. In addition to damaged roofs, strong winds lead to blowing objects, falling trees, and other calamities.

Lightning strikes and fire

Lightning strikes and fire accounted for 25% of all U.S. homeowners insurance claims in 2019. Kentucky is no exception. Fires may not be the number one claim nationwide, but they are one of the most expensive issues insurance companies deal with.

Water damage

Kentucky gets, on average, 48 inches of rain each year, making it the 15th rainiest state in the nation. That means basements that flood and destroy personal property, roofs that leak, and wet insulation in the attic. But it's not just rain that leads to insurance claims. Broken pipes and leaky kitchen appliances can also lead to expensive repairs.

The best homeowners insurance in Kentucky provides a high level of coverage at an affordable price.

Coverage options

Here's a quick breakdown of the eight types of homeowners insurance:

• One type covers renters.
• Another covers mobile homes only.
• The other six range from basic coverage to more extensive protection.

A comprehensive policy may also include coverage for luxuries such as upgraded building materials or specialty rooms (like a wine cellar or recording room). A homeowner can also buy additional coverage for valuable items like fine art, expensive jewelry, or rare coins.

Discount options

Finding inexpensive homeowners insurance in Kentucky depends, in part, on laying claim to as many discounts as possible. Here are some of the most common discounts found in homeowners insurance policies and how much they can cut premium costs:

• Installing a burglar alarm saves an average of 11%.
• Having a fire alarm saves an average of 12%.
• Upgrading the electrical system saves an average of 9%.
• A roof upgrade saves an average of 12%.
• Bundling home and auto coverage can save a whopping 27%.

As an insurance carrier provides you with an insurance quote and determines premiums, it takes many factors into account, including:

• Area crime rate
• Value of surrounding property
• Cost to rebuild
• How far a home is from a fire station

Here are the five cheapest cities in Kentucky for homeowners insurance:

Here are the five most expensive cities in Kentucky for homeowners insurance:

The best homeowners insurance in Kentucky is provided by the company offering the most comprehensive coverage at the lowest price. In other words, the ideal insurance provider helps a homeowner sleep easier at night.