Foley Homeowners Insurance

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Foley is a small, historic town on the Gulf Coast of Alabama. Its long summers, lively shopping, and great location have begun to attract many to the area. It’s one of the fastest-growing cities in the fastest-growing county in the state.

As people buy and build homes in Foley, they’ll need a way to protect their investment in their new properties. Homeowners insurance is a must-have.

We’ve put together a list of some of the top insurance companies in Foley and their average rates so you can make a well-informed decision if you need coverage. We’ve also outlined some cost factors to consider and some common coverages you can expect.

How Much Is Homeowners Insurance in Foley, Alabama?

The average cost of homeowners insurance in Foley, Alabama, is $1,917 for a $150,000 home and $3,110 for a $350,000 house, which brings the overall average premium in Foley to $2,518.

Over 20 insurance companies submitted rates to the Alabama Department of Insurance. We compiled some of them from the top insurance companies in Foley and broke them down, accounting for some important factors.

Before we get into the variables, take a look at some average homeowners insurance costs in Foley overall:

Average Homeowners Insurance Cost in Foley


Alfa$3,456
Allstate$1,669
Farmers$3,348
Nationwide$4,180
Safeco$5,199
State Farm$1,442
Travelers$2,092
Average$2,518

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.

Analyzing Average Home Insurance Rates in Foley

The average premium is $2,518, but rates on our list range from $1,442 to $5,199. That’s a difference of over $3,000. This range in premiums demonstrates how much rates can vary and how important it is to find the right policy without overpaying.

One of the most significant factors in determining home insurance premiums is the value of your home. Generally, the larger and more expensive your home is, the more insurance you need to cover it. A more extensive insurance policy is going to cost more money.

In a coastal city like Foley, another essential consideration for insurance companies is the possibility of wind damage from storms, namely hurricanes. This is why many southern states, like Alabama, have legislation that requires insurers to discount premiums of policyholders who have taken proven measures to reduce wind damage on their homes.

These policyholders have done wind mitigation. This consists of having hurricane-proof windows and doors, verifying your roof is attached to your home in a certain way, and more. Look below at the effects of wind mitigation and home value on insurance rates in Foley:

Average Homeowners Insurance Cost in Foley for a $150,000 House

Company

Alfa
Allstate
Farmers
Nationwide
Safeco
State Farm
Travelers
Average

W/O Wind Mit

$3,408
$1,870
$3,779
$6,697
$3,780
$1,715
$2,279
$2,567

W/ Wind Mitigation

$1,568
$401
$410
$1,118
$3,870
$610
$824
$1,267

Average

$2,488
$1,136
$2,095
$3,908
$3,780
$1,163
$1,552
$1,917

Breakdown of Insurance Rates in Foley, Alabama on $150,000 Homes and $350,000 Homes

Above are the rates for $150,000 homes, which you’ll notice are lower across the board than the rates below for $350,000 homes. This is because the more expensive homes have higher replacement costs.

You can also see the substantial difference in premiums on homes of the same value with and without wind mitigation. Nationwide, for instance, had the biggest difference, with their premium decreasing by $5,579, or over 83% on houses with wind mitigation. Farmers also had a very notable decrease.

Below, we listed average premiums on $350,000 houses. Again, you can see notable decreases when wind mitigation is taken into account. Farmers’ average premium dropped an astounding $7,874, or 92%.

Average Homeowners Insurance Cost in Foley for a $300,000 House

Company

Alfa
Allstate
Farmers
Nationwide
Safeco
State Farm
Travelers
Average

W/O Wind Mit

$5,941
$3,764
$8,516
$7,636
$6,618
$2,565
$3,690
$3,999

W/ Wind Mitigation

$2,905
$642
$685
$1,269
$6,618
$878
$1,575
$2,218

Average

$4,423
$2,203
$4,601
$4,453
$6,618
$1,722
$2,633
$3,110

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 Are the Best Insurance Companies in Foley, Alabama?

Allstate had the lowest average premium on our list for $150,000 homes, while State Farm takes that achievement on $350,000 houses. There are also several more insurance companies in the Foley area that we didn’t list, such as Universal Property & Casualty. UPCIC is one of the largest insurance companies in Florida and is very prevalent throughout the southeast United States.

The best insurance company for you is the one that covers all your specific needs at the right price. Every policyholder is different, so it’s hard to recommend one insurance company over another. You should shop for home insurance to find out which insurer caters to your needs best.

Are There Independent Insurance Agents in Foley?

Yes, there are independent insurance agents in Foley. The task of comparing policies is easier said than done, which is why insurance agents exist. An agent will work with you to understand what you need and then use their knowledge and connections to insurance providers to find the best policy for you. Agents will also help you maintain your policy sufficiently and can help with claims if needed.

Clovered is an independent insurance agency that would love to help you find an insurance policy in Foley. We partner with several of the nation’s top insurers, and we have helped thousands in the US find coverage. You can compare quotes online with our quoting tool, or you can always chat with one of our team members by calling 833-255-4117 during business hours.

What Does Home Insurance in Foley Cover?

Dwelling coverage: The part of your plan that includes protection for the structure of your house. Dwelling coverage covers the foundation, floor, walls, ceilings, roof, and more. 

Other structures coverage: The part of your policy that covers features on your property that aren’t attached to your house. Such structures could include sheds, gazebos, guest houses, carports, detached garages, and more. 

Personal property coverage: The section of your homeowners insurance policy that covers your personal belongings. Furniture, electronics, art, jewelry, clothes, and more fall under personal property coverage. Your insurance can reimburse you for these items when they’re stolen or damaged on an actual cash value basis or a replacement cost basis.

Loss of use coverage: This part of your plan will cover expenses you incur if you have to move out of your home due to damage from a covered peril. Let’s say an electrical fire renders your house uninhabitable. While your insurance company is making repairs, they can pick up the tab for your hotel stay, food, and more while you’re displaced.

Liability coverage: The section of your policy that can cover medical bills and legal fees if you’re found liable after someone sustains an injury on or around your property.

Medical payments coverage: Similar to liability coverage, medical payments coverage is designed for covering small medical bills that someone can rack up after an injury on your property. Policies usually come with at least $100,000 of liability coverage and $1,000 to $5,000 of medical payments.

Factors That Affect Home Insurance Rates in Foley

Here are a few more factors that affect home insurance rates in addition to the ones we’ve already mentioned: 

Claims history: if you’ve filed several home insurance claims in the past 3-5 years, you may pay more for insurance. An insurance company believes that someone who has filed claims in the past is more likely to file claims in the future, which would cost the provider money. To offset this potential financial risk, insurers may raise your rates.

Attractive nuisances: certain features that can raise your home value can also increase your risk level to an insurance company. These features are called attractive nuisances. For example, a pool raises the liability risk of your property, and you may pay more for coverage on your house if you have one.

Certain dog breeds: owning certain historically aggressive or dangerous dog breeds can be a red flag to some insurance companies. They may deny you coverage altogether or charge you higher rates for coverage to offset the increased risk.

How to Get a Home Insurance Quote in Foley, Alabama

Getting homeowners insurance is crucial, especially if you have a mortgage. If you don’t decide on coverage on your own, your lender will force-place insurance on you. Force-placed insurance usually offers poor coverage at high rates.

To make the best decision on a homeowners insurance policy, you should compare quotes from multiple providers. Our team at Clovered can help. Whether you use our online quoting tool, call us, or email us, we’d love to help you find coverage in Foley.

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.

Foley, Alabama, Flood Zone Concerns

While home insurance defends against many threats to your home, one significant hazard isn’t included in policies: floods. Floods are the most common and the most costly natural disaster. You’d need flood insurance to safeguard your home and belongings against them.

The risk of coastal flooding in the form of a storm surge is a risk in Foley. Some areas can also experience flood damage from heavy rains. The national government maintains flood maps for the country that determine the risk of flooding in areas nationwide. In Foley, for instance, some areas along Wolf Creek and the Magnolia River have been deemed special flood hazard areas.

Special flood hazard areas are high-risk flood zones. Homeowners in SFHA’s are required to get flood insurance by their mortgage lender. Even if you’re not in a flood zone, getting flood insurance isn’t a bad idea. The National Flood Insurance Program, the country’s largest flood insurer, reports that over 25% of its flood claims come from properties outside of SFHAs.

Clovered can help you find flood insurance. We partner with the NFIP and several other flood insurance companies to give you options for the right flood coverage. Our quote form is simple. It should only take a few minutes to fill out with some basic information, and once you submit it, one of our agents will get back to you as soon as possible.

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?

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