The Best Cheap Nebraska Homeowners Insurance for 2024

A homeowners insurance policy helps provide a financial safety net in case of damage or loss from natural disasters or theft. To help homeowners in Nebraska, our experts have researched the best homeowners insurance companies in the state. Our information below will help you find the best cheap Nebraska homeowners insurance.

• Cheapest overall for Nebraska: American Family Insurance Company
• Cheapest for new home construction: Nationwide
• Cheapest for older homes: American Family Insurance Company
• Cheapest when you've made a claim: Farmers Mutual Insurance of Nebraska

Cheapest overall for Nebraska

The cheapest homeowners insurance policy in Nebraska is sold by American Family Insurance Company and comes in at an average annual rate of $2,199.

The following insurers also offer cheap overall homeowners insurance in Nebraska:

• Farmers Mutual Insurance of Nebraska offers an average rate of $2,301 per year
• USAA averages $2,415 per year

Cheapest for new home construction

Homeowners insurance for new homes is typically the least expensive. They are less likely to have the kind of issues that older homes often do, since they are built with newer materials and must comply with stricter safety regulations. Insurance companies aren't quite as worried about things going wrong with newer homes when compared to older ones. The cheapest Nebraska homeowners insurance for new homes comes from Nationwide at an average annual rate of $741.

These insurers also offer some of the best rates for insuring your new home construction in Nebraska:

• USAA, at $1,077 on average per year
• American Family Insurance Company, at $1,339 on average per year

Cheapest for older homes

Older homes are more likely to have plumbing and electrical issues, as well as deteriorating roofs. As a result, homeowners insurance for older homes is more expensive than for new homes. This is especially true for homes built 50 or more years ago due to wear and tear. The cheapest Nebraska homeowners insurance for older homes comes from these companies:

• American Family Insurance Company, at $2,006 per year on average
• Farmers Mutual Insurance of Nebraska, for an annual average of $2,180
• USAA, at $2,266 on average per year

Cheapest when you've made a claim

Homeowners insurance pays for losses and damage to property if something unexpected like a fire or burglary occurs. Insurance rates typically rise when the insured makes a claim. The cheapest Nebraska homeowners insurance for people who have previously made a claim comes from these companies:

• Farmers Mutual Insurance of Nebraska offers an average of $2,180
• American Family Insurance Company at $2,404 per year on average
• USAA, at $2,512 per year on average

Average home insurance cost in Nebraska compared to the national average

The average homeowners insurance in Nebraska is $4,043, which is more than 2.3 times the national average of $1,725. Insurers put the state in a higher-risk insurance category due to the extreme weather in Nebraska.

Nebraska homeowners insurance overview

There are many insurance companies that offer homeowners insurance in Nebraska. The key is finding the best value based on your needs as a homeowner. Here are some other important factors to consider when choosing the best company.

Different types of homeowners coverage

The best home insurance companies offer a wide range of coverage types. There are six types of policies designed to cover traditional site-built homes, from basic policies to those that offer more features.

The types of homeowners coverage are Dwelling, Other Structures, Personal Property, Loss of Use, Personal Liability, and Medical Payments. Homeowners should look for coverage based on their needs, what they want covered, and their budgets.

Level of coverage

Homeowners should consider a policy with high enough limits to cover the cost of rebuilding a home. Standard homeowners policies provide basic coverage for damage from natural disasters such as fire, lightning, or hail. Those who live in areas prone to natural disasters such as states like Nebraska need coverage for these events.

Amount of deductible

A deductible is an amount the homeowner must pay out of pocket towards a claim before the insurance company pays the rest. The deductible amount a homeowner chooses impacts the premium. The typical deductible is $1,000. If you want a lower premium cost, you can raise the deductible amount. If you want to have a lower deductible such as $500, then your premium will be more expensive.

Potential discounts

Many insurance companies offer home insurance discounts. The exact discounts vary, so check your potential insurer's list. One common discount is for bundling of auto, home, and other types of insurance. Before choosing a policy, take into account any discounts you qualify for. Homeowners may get greater value at a lower cost by taking advantage of all the discounts available.

What are the most common homeowners insurance claims in Nebraska?

Nebraska is prone to natural disasters. The most common natural disasters in Nebraska are severe storms, floods, tornados, winter storms, heat waves, and droughts.

Wind and hail

Severe winter storms are common in Nebraska, and can come with strong winds. "Wind and hail" covers hurricanes, tornadoes, and winds. Claims under this category make up 34.3% of all claims in the U.S., the largest percentage of homeowner claims made.

Water damage and freezing

The second highest category is water damage due to plumbing issues and storms. It also typically includes water damage after a fire, roof leaks, or ice dams. Water damage due to lack of maintenance, negligence, or intentional damage are not generally covered. Water damage claims make up 29.4% of all claims.

Fire and lightning damage

The most expensive claims are fire and lightning claims and make up 25.1% of all claims. The average cost is $78,838 per claim. Most policies protect the home and its contents if they're damaged by fire. Detached structures (like sheds or detached garages), and personal property in the home are typically covered in a homeowners policy. Some policies cover only a percentage of personal property losses, so it is important to have an accurate inventory of all your belongings.

Homeowners insurance coverage options and discounts in Nebraska

Homeowners should shop around and compare prices from other companies every couple of years to find the best homeowners insurance in Nebraska. You don't want to be underinsured in the event of a disaster, but also don't want to pay for more coverage than needed. Here are coverage options to help you compare policies, plus some common discounts to look for.

Coverage options

Homeowners can pick and choose the different levels and types of coverage that best meet their needs. Here are the coverage options:

HO-1: This is known as "basic form," and is the most basic type of policy. HO-1 covers home and personal belongings at actual cash value against typical perils. HO-1 coverage is limited, so many insurance companies no longer offer this type of policy.

HO-2: This is known as "broad form," and while this policy expands on the HO-1 by offering coverage against more than basic perils, it is still limited. It includes protection against things like freezing, electrical surges, volcanic eruption, and damage due to the weight of ice, snow, or sleet.

HO-3: This is known as a "special form," and is one of the most commonly purchased types of coverage. It covers a homeowner against a wide range of risks unless they're explicitly excluded in the policy. HO-3 policies pay actual cash value to replace damaged or lost property. They take into account depreciation, and pay the current market value.

HO-5: This is known as a "comprehensive form," and unlike an HO-3 policy, it covers actual replacement value, and automatically includes coverages beyond those of HO-3. It is much broader, and as the name suggests, more comprehensive than HO-3.

HO-6: This is known as "walls-in" coverage, and is a condo insurance policy. It also covers the condo owner's personal belongings.

HO-7: This is a typical mobile home insurance policy. It covers a mobile home and personal property.

HO-8: This type of coverage is for older homes, historic homes, or homes that are architecturally important.

Discount options

It is important to shop around for the best rates and discounts. Discounts can help lower the cost of the premiums. Each insurance company offers its own discounts. These discounts can help homeowners find the best homeowners insurance in Nebraska. Here are the most common:

• New home construction
• Home and auto bundle
• Advance pay
• Home upgrades
• Home security system
• Company loyalty
• Professional affiliation
• Non-smoker
• Homeowners association (HOA) membership

5 cheapest cities in Nebraska for homeowners insurance

There are many factors that affect the cost of a home insurance policy. Where you live is one of the biggest factors. Other factors include:

• Amount of coverage
• A home's age and condition
• Home security and safety features
• Homeowners credit history
• Additional coverage
• Deductible amount
• Choice of insurance provider

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

5 most expensive cities in Nebraska for homeowners insurance

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

The best homeowners insurance in Nebraska provides comprehensive coverage at the best value. It is important to look for cheap homeowners insurance in Nebraska that not only saves money, but adds the necessary protection to your valuable property. The right policy can help homeowners with peace of mind.