Decatur Homeowners Insurance

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  • Decatur Homeowners Insurance

Located along the banks of the Tennessee River and Wheeler Lake, just downstream from Florence and the Tennessee border, Decatur, Alabama is full of the great outdoors. During much of the year, the town’s more than 55,000 residents get to enjoy life on the water, exploring through Wheeler National Wildlife Refuge Visitor Center and even Huntsville, which lays across the “Steamboat Bill” Memorial Bridge.

For homeowners, life gets even better. Homeowners insurance in Decatur, Alabama is more affordable than in many other places across the country. Averaging just $1,292 per year for a $150,000 house and $2,047 per year for a $300,000 house, Decatur is also on par with nearby Alabama cities.

How Much Is Homeowners Insurance in Decatur, Alabama?

The average cost of homeowners insurance in Decatur, Alabama tips the scale at about $1,675 per year. But the cost of your home is the biggest determining factor in premiums, with more expensive homes requiring more insurance. That brings the average cost to $1,292 for a $150,000 house and $2,047 for a $300,000 house.

One of the other biggest factors is the company you choose. Below, you’ll find that Travelers, one of our many partners that we can secure a homeowners policy for you with, is by far the most affordable. It’s averaging just $619 per year — $441 and $797 for the aforementioned values of a house.

Next up are Allstate, Safeco — also one of our partners — and Farmers rounding out the top four. The companies, however, are just the tip of the iceberg. Sure, you can get a cheap policy, but will it cover what you need?

We’ll dive into everything you need to know about your homeowners insurance policy in this article. But first, let’s take a look at the full breakdown of average costs and some of the key Alabama Department of Insurance rating factors used to determine these prices.

Average Premiums of Homeowners Insurance in Decatur, Alabama


Alfa$2,574
Allstate$1,016
Farmers$1,769
Nationwide$2,580
Safeco$1,303
State Farm$2,127
Travelers$619
Average$1,675

Alabama Department of Insurance Rating Factors

The numbers in this article are from the Alabama Department of Insurance. The premiums provided here do not include surcharges or discounts that may apply to a particular policy. These are real premiums, but they may vary depending on many factors.

Policy Type

The rates utilized are for an HO-3 Special Form, the most common type of homeowners insurance policy. The HO-3 covers houses on an “all-risks” basis, protecting property from 16 perils. Certain named exclusions, such as floods and earthquakes, are not covered.

Coverage Amounts

The amount of coverage you need is determined by the value of your home. The annual premiums are calculated based on $150,000 or $300,000 of dwelling coverage for 10-year-old houses with brick construction, a $500 deductible, no policy lapses and a premium paid in full.

Credit Score

The policyholder represented is a 40-year-old with a 710 credit score. Insurers in most states use credit rating as an indicator of your ability to pay your premiums on time. Having a bad credit score (below 600) may cause you to pay more for home insurance than someone with a good credit score (700+).

Home Protection

The rates represent houses that have smoke detectors and deadbolt locks with no other protective devices and no claims history. Many homeowners insurance companies may offer additional discounts to policyholders that protect their house with security systems or other features.

Breaking Down Premiums for $150,000 and $300,000 Houses in Decatur, Alabama

As you can see from above, there are four different categories of rating factors used by the Alabama Department of Insurance. This is fairly common, and similar factors are used in the nearby states of Georgia and Florida. But there are more factors you need to know about before getting into a more in-depth breakdown.

Things like natural disasters, particularly the more common tornadoes in the area, influence rates heavily. Insurers must calculate the potential damage those tornadoes could cause to one single town and the area as a whole. If an insurer has many policies in a single city and other policies sparsely populated throughout the state, the chances of paying more for premiums increases.

This is because the risk taken on by the insurer is higher because one big natural disaster in the town could cause many claims at once. That’s why large insurers diversify in as many cities and states as possible, mitigating their risk of having to pay out large sums of money at once.

That’s also why we partner with large insurance companies. It allows us to decipher their costs and only choose the partners who can provide affordable policies that meet the needs of homeowners. Things like your converge amounts, deductibles and many other factors are also at play.

Before we dive any deeper into coverages, let’s take a look at the average cost of homeowners insurance in Decatur, Alabama for homeowners with $150,000 and $300,000 houses.

Average Premiums of Homeowners Insurance in Decatur, Alabama for a $150,000 House


Alfa$1,912
Allstate$740
Farmers$1,256
Nationwide$2,413
Safeco$947
State Farm$1,765
Travelers$441
Average$1,292

Average Premiums of Homeowners Insurance in Decatur, Alabama for a $300,000 House


Alfa$3,235
Allstate$1,291
Farmers$2,282
Nationwide$2,746
Safeco$1,659
State Farm$2,488
Travelers$797
Average$2,047

It’s Time to Switch Your Homeowners Insurance

We partner with the nation’s top homeowners insurance companies so you can get a custom policy at an affordable price.

Analyzing the Most Popular Home Insurance Companies Decatur, Alabama

The numbers in this article are actual figures of real homeowners insurance policies. Each year, the state’s largest insurers are required to provide data to the Alabama Department of Insurance for transparency measures. It’s up to us to sift through these numbers, break them down and provide them to you, the person who will actually need the policy.

As an agency, we have many insurance partners in Alabama ready to provide you with a policy today. All you need to do is enter a few details about your home into our proprietary online quoting engine, then we’ll work some magic and pair you with an affordable policy that meets your coverage needs.

While we’d love for you to get a policy through us, we care more about providing you with the necessary measures and premiums to go out there and get the best policy for you. If that’s through us, welcome to the team. If it’s not, we hope these numbers and this article helped you better understand the ins and outs of homeowners insurance in Decatur.

While we don’t have partnerships with companies like State Farm, Farmers or Nationwide, we do have partnerships in place with companies like Travelers, Universal Property & Casualty Insurance Company and Hippo — some of the best insurers in the country. Let’s take an even closer look at the numbers and companies on the list.

  1. State Farm Insurance: State Farm averages $2,127 per year for premiums, breaking it down even further to find that its average for $150,000 houses is $1,765 and $2,488 for $300,000 houses. That’s good for fifth-most affordable on each list, respectively.
  2. Farmers Insurance: Farmers is just ahead at fourth-most affordable for each category, averaging $1,256 for a $150,000 house and $2,282 for a $300,000 house.
  3. Allstate Insurance: Allstate is the second-most affordable provider on the list, falling to only our partner Travelers. It provides average rates of $740 for a $150,000 house and $1,291 for a $300,000 house — nearly half of State Farm’s averages.
  4. Alfa Insurance: Alfa Insurance, headquartered in Montgomery and known as one of the largest insurers in the Heart of Dixie, is the second-most expensive carrier on the list. Rates average $1,912 for a $150,000 house and $3,235 for a $300,000 house. Those numbers are primarily due to a heavy insurance presence in just Alabama, which increases risk if a major disaster hits the state.
  5. Travelers Insurance: One of our many partners, Travelers submitted the lowest average rates in the state, coming in at just $441 for a $150,000 house and $797 for a $300,000 house. That’s nearly half the cost of any other insurer on the list.
  6. Nationwide Insurance: As the most expensive carrier on the list, Nationwide provides policies at an average of $2,413 for a $150,000 house and $2,746 for a $300,000 house.
What’s Covered With Home Insurance in Decatur, Alabama?

With a standard homeowners insurance policy, you’ll get coverages A through F. Those coverages protect against a certain subset of perils, which are simply matters of damage and disaster that can occur. Let’s take an in-depth look at these coverages and a few example scenarios that should be covered.

Dwelling: This is the structure of your home, including things that are built into it or attached to it and deemed necessary. Dwelling coverage extends to things like your home’s roof, the windows, doors, flooring, hot water heater and also the major systems in your home, like the air conditioning unit, HVAC system and electrical wiring.

Other Structures: This is geared to protect any structures on your property that aren’t attached to your home, such as sheds, carports, detached garages and fencing. The amount of coverage you receive is typically 10% of your home’s dwelling coverage, which is the amount your house is actually insured for. So homeowners with a $250,000 house may have up to $25,000 in coverage for the structures on their property if they need to file a claim for damage.

Personal Property: This will help protect your furniture, clothing, electronics and much more if your home is damaged or destroyed by a covered peril. It also covers high-value items like jewelry and collectibles, but in a much different fashion with lower maximums — unless you schedule them with your insurer.

To determine how much coverage you need, start a home inventory list of all your belongings and their values, noting which items you need to schedule and for how much.

Loss of Use: This protects your finances if your home is damaged or destroyed and you’re forced to temporarily move out while it’s being repaired or rebuilt. It’s geared to reimburse you for additional living expenses you incur in that scenario. Things like a rental home of equivalent value, storage fees and pet boarding are some of the most common things covered.

Liability: This is designed to help cover medical bills and legal fees if someone is injured on your property and you’re found liable, damage you cause to another home, or if your dog bites someone on or off the property.

Things like a tree falling from your yard onto your neighbor’s roof can be covered. As can incidents like your dog biting someone off your property. Coverage typically comes standard at $250,000 per claim, but high-net-worth individuals are encouraged to purchase supplementary umbrella coverage to extend their maximums.

Medical Payments: Similar to the aforementioned liability portion, medical payments to others coverage can help pay for minor medical expenses if someone is injured on your property — whether or not you’re found liable.

Getting a Homeowners Insurance Decatur, Alabama

Getting a homeowners insurance quote is easy as ever with Clovered. Our online quoting platform is simple to use, extremely intuitive and can compare the premiums of some of Alabama’s top insurers, so you get the best policy at the best price.

We’re always here to help. If you’d rather speak to a licensed agent on the phone, just call 833-255-4117 Monday through Friday from 8:30 a.m. to 6 p.m. Or you can email us anytime at agent@clovered.com.

It’s Time to Switch Your Homeowners Insurance

We partner with the nation’s top homeowners insurance companies so you can get a custom policy at an affordable price.

What to Know About Flood Insurance in Decatur

Homeowners insurance doesn’t cover flooding, so you’ll need a separate flood insurance policy for that. Fortunately, getting an Alabama flood insurance policy is extremely easy. All you need to do is fill out our online quoting form and one of our licensed flood insurance agents will get back to you with a policy that fits your needs and your budget.

Decatur, Alabama Flood Zone Mapping

Since Decatur sits along the banks of the Tennessee River, much of the city is within one of FEMA’s designated flood zones. But it’s mainly properties along the Dry Branch and Betty Rye Branch that are most susceptible to flooding, as some of these are high-risk flood zones.

Stay Above Water With Flood Insurance

Do you want to pay for costly and common flood damage yourself or have an insurance policy pick up the tab?

Homeowners
It's Time to Switch Your Homeowners Insurance

We partner with the nation's top homeowners insurance companies so you can get a custom policy at an affordable price.

The editorial content on Clovered’s website is meant to be informational material and should not be considered legal advice.