NORTH DAKOTA STATS
On average, North Dakotans are paying $1,326 every month on homeownership costs. There are 400,000 homes in the Peace Garden State, 63% of which are occupied by owners.
- Population: 760,077
- Average value of homes that’s occupied by owners: $174,100
- Households: 311,525
- Average household income: $61,285
- High school grad or higher, percent of people age 25 years +: 92%
- Average travel time to work: 22 min
The average premium amount was sourced from the latest data of the Insurance Information Institute, and the statistical data from the U.S. Census Bureau.
Peaceful prairies and nature all around, North Dakota is the place to be. As one of the most tax-friendly states, ND residents enjoy an average of about 6.8 percent in local and sales tax plus a continuous decline in income taxes, according to Livability.com. Despite being dubbed as “Peace Garden State” though, North Dakota experiences around 32 tornadoes each year, especially in the summer months. Apart from devastating tornadoes, North Dakota homes also have to face dangerous hail storms and snow in the chilled winters. According to Insurance Information Institute (III), the percentage of owner-occupied housing unit in North Dakota is 63 percent. So just imagine how many homeowners could potentially to be impacted by natural calamities in the state! Certain conditions make home insurance a necessity, especially if you live in a high-risk zone.
Homeowners insurance companies in North Dakota will offer protection for your dwelling and personal belongings inside the property. Moreover, you will also get liability coverage in case someone gets injured in your premise. To get the best deal around, compare quotes from as many insurance providers as you can. Our free online tool will help you in that we’ll provide a list of home insurers in your area. Then, you can take quotes and build a list. Check to see if your quotes match up the the state and country averages below.
North Dakota home insurance premiums
As per the figures from III, North Dakota is the 18th most expensive state in the U.S. in terms of home insurance. According to the data released by the esteemed organization, the North Dakota homeowners pay slightly higher insurance premiums compared to the national average. The annual home insurance premium in 2016 (latest available data) in North Dakota is $1,239 while the U.S.’ annual average is $1,192. If we calculate on a monthly basis, an average North Dakota homeowner has to pay about $103 on home insurance per month. On the other hand, the national monthly average for homeowners insurance premium is $99.
It’s to note that insurance rates are increasing in ND and in general with each passing year. North Dakota used to be the 20th most expensive state (regarding home insurance premiums) back in 2014. And although the ranking increased to 18th in 2015, it stayed the same in 2016. Though North Dakota was able to keep it’s 18th spot two years in a row, it still had a $39 annual increase from 2015 to 2016.
However, the relatively high rates should not deter you from insuring your home. As per the experts, it’s always smarter to take a comparative study on different insurance companies to come up with competitive rates.
Below, we’ll brief some of the top homeowners insurance companies in ND so that you can do your comparative research beforehand.
Average North Dakota Home Insurance Premiums
|National annual average||$1,192||$1,173||$1,132|
Top providers by in-state market share %
We took the data from III and reviewed companies with the most market shareholdings in home insurance in 2017 (latest available data). We’ll review the companies’ policies and consumer satisfaction records, citing credible insurance rating agencies. We are not able to review all of the home insurers in North Dakota. A company not mentioned in this article may provide you with better rates and great coverage, so be sure to look into other companies, as well, when looking for an insurance provider.
State Farm holds the #1 rank when it comes to writers of homeowners insurance in North Dakota. In fact, the company is hailed as one among the largest homeowners insurance firms in the whole of the U.S. In North Dakota, the company boasts 16 percent market share, standing tall over insurance giants like American Family, Farmers, and Metlife, to name a few. State Farm is ready to cater to almost all kinds of residences in North Dakota. These include condominiums, single-family homes, farms/ranches as well as mobile homes. In regards to the coverage, the firm extends an extensive coverage where you will get regular dwelling protection as well as coverage for medical expenses and liability issues. You can also sign up for standalone floaters if you need additional coverage for highly expensive stuff in your home. Besides, State Farm provides specialty coverage for residential buildings with in-house office setup.
State Farm stands out with its unique “Discount Double Check” privilege. This exclusive feature assures you will get the best probable rate for your homeowners insurance policy with the company.
We must check the ratings awarded to the company by authority figures like AM Best, S&P as well as JD Power. State Farm has received the highest financial strength rating of A++ (Superior) from AM Best, for its premier performance and powerful financial backup. It’s prompt and reliable claims payout attitude has earned the company an optimum AA (Very Strong) from S&P. As per the reports published by JD Power, State Farm has attained a 3 (About average) out of 5 Power Circles Rating in their 2018 U.S. Home Insurance Study which effectively looked at details of the company and its offered policies to gauge the overall consumer satisfaction of home insurers across the country.
American Family ranks the 2nd when it comes to the top 10 homeowners insurance companies with the most market share in North Dakota of late. Founded in 1927, the company has been serving the state and the country for more than 8 decades. The company holds a massive market share (12 percent) in North Dakota home insurance market and is one of the top go-to places for insurance needs in ND.
American Family is widely reputed for its excellent financial strength which has earned it a great A (Excellent) rating from AM Best. It has received a decent 3 (About average) in overall consumer satisfaction from JD Power.
American Family extends customized coverage for homeowners insurance packages that include both property & liability coverage. Homeowners with in-house office setup will also receive protection from AmFam’s homeowners insurance package. The company is widely known for its vast network of local agents, fast response to claims and 24/7 emergency support over phone.
Part of QBE Insurance Group, Farmers Union is one among the oldest of home insurance companies, protecting North Dakota homeowners since 1945. The company is also one of the biggest shareholders of the state home insurance market and currently holds 9 percent market share. According to III, in 2017, Farmers Union ranked 3rd in the list of top 10 writers of homeowners insurance by direct premiums in North Dakota.
Championed for its excellent financial stability, Farmers Union enjoys an A- (Excellent) rating from the prestigious AM Best. The company has gained a great reputation for its transparent service and for maintaining strong relationships with clients over the years. JD Power has rated it with a decent 3 (About average) out of 5 Power Circles Rating on overall satisfaction.
One of the best parts of Farmers Union is its vast network of community based local agents which enables the company to assure prompt responses to emergency situations. Moreover, its reliable and premium claims service as well as convenient quoting process enables the company to grab a high rank in the top 10 list by III.
North Dakota Home Insurance Companies: Market Share and Summary of Ratings
|Rank||Insurer||Market Share %||AM Best||S&P||JD Power|
Source: Insurance Information Institute, AM Best, S&P, JD Power
Section 504 home repair program in ND
Also known as the Single Family Housing Repair Loans & Grants, this program allows single-family homeowners to receive government loans to modernize, improve or repair their homes. This program is available for homeowners with a total income below fifty percent of the median income of their area. The USDA also offers grants to senior (minimum 62) low-income homeowners to repair their homes as per modern safety standards. Eligible homeowners may receive up to $20,000 in loans and $7,500 in grants with a combined total of $27,500. To learn more, please visit USDA’s site.
If you are looking to save money on North Dakota home insurance, there are several factors to keep in mind. Living in the northern part of the state typically reduces your annual home insurance payments. Grand Forks has the lowest home insurance rates, followed by Devils Lake and Grafton. Factors such as historical claim rates and the cost of labor, construction, and materials required to rebuild and repair a property can also impact home insurance rates. In North Dakota, the quality of your local fire department, particularly in rural areas, can affect your annual premium. Fortunately, North Dakota homeowners insurance providers may give certain discounts based on lifestyle, customer loyalty, and preventative measures in their homes.
Homes without smokers can qualify for lower premium rates, as can having functional protective devices such as smoke detectors and burglar alarms. Compared to the rest of the nation, North Dakota has a lower-than-average rate of property crimes, which automatically reduces homeowner insurance rates statewide for that category. If you have a claim-free history, you may be eligible for a discounted premium rate. Some companies offer a better rate for multiple policies, such as bundling home and auto insurance. Age is also a factor, as individuals who are 60 years old or older may receive a discounted insurance rate.
As with other midwestern states, North Dakota is subject to extremely cold winters and wind/hail from summertime thunderstorms and tornadoes. The likelihood of your home to encounter damage or loss from an extreme weather event can affect your premium rate. However, you may receive a discount for taking protective measures to reduce the risk of weather-related damage, such as installing a hail-proof roof and updating your heating system. It is a good idea to find out about windstorm damage coverage beforehand, as some companies require a separate deductible for loss attributed to severe storms. Most homeowner insurers do not offer flood protection in their premium plans, so if your home is prone to flood damage, you may want to consider purchasing that special coverage as an add-on value.
If you live in a mobile home, keep in mind that special prices and conditions may apply for mobile home insurance in this state. Policies for mobile homes are generally more limited than policies for standard homes, and they may cover the actual cash value of your residence instead of the replacement cost.
For more assistance, please contact your local state department of insurance:
North Dakota Insurance Department