Homeowners Insurance in Boston, Massachusetts (2024)

We don’t have much to say about historic Boston, Massachusett’s state capital, that hasn’t already been said, However, we do have a lot to say about homeowners insurance in Boston. As an independent agency, our job is to help residents find the best coverage possible for their circumstances. So, we made this guide to help property owners in the city find the best home insurance in Boston.

Key Takeaways:

The average cost of homeowners insurance in Boston is $1,694 annually, which is slightly higher than the Massachusetts state average of $1,554. However, rates vary by company and property, so you won’t know your exact rate until you get quotes.

Boston, as a coastal city, is more prone to hurricane damage from an Atlantic Ocean direct hit than inland locations, and this increased risk of wind and flood damage raises premiums. Coastal properties usually have higher insurance rates.

Also, natural disasters in other parts of America can unfortunately affect Boston premiums. If an insurer suffers financial losses elsewhere, such as in the South due to a major hurricane, it may raise premiums for many of its policyholders, even outside the affected state, to recoup some of the losses.

Homeowners insurance premiums have been rising nationwide over the past few years due to increased building costs and inflation stemming from the pandemic years. Your home’s value directly affects how much you’ll pay for Boston home insurance. Houses that are more expensive to build are more costly to insure since they call for higher coverage amounts, which you can see in the table below.

Larger, more expensive homes typically always cost more to insure than small, simple ones. This principle is called replacement cost. Replacement cost is the amount of money needed to rebuild your house from scratch based on construction and labor expenses. Larger houses have higher replacement costs because they cost more to build., and homes with higher replacement costs have higher premiums. 

In addition to location and home value, other notable cost factors affecting Boston homeowners insurance rates include:

Home Age: Companies acknowledge your home’s age, and older houses often have higher premiums because their dated components, such as the roof, pipes, and siding, are more prone to damage from severe weather or even general wear and tear.

Property Features: Certain features on and about your property affect rates. Wind mitigation features reduce your house’s susceptibility to wind damage and lower premiums. Attractive nuisances, such as pools, trampolines, and playground equipment, increase liability risk and often raise rates. Having security systems or deadbolt locks can get you discounts.

Claims History: Insurers ask if you’ve filed any claims recently, such as the past three to five years, when quoting. Companies usually charge people with extensive claims histories higher premiums because they’re seen as a higher financial risk to insure.

Carriers consider these factors and more in slightly different ways. The varying underwriting methods and business needs and strategies create rate discrepancies among carriers. You should always shop around before buying a policy to find the best deal on home insurance in Boston.

Before we delve into the ways to save money on home insurance in Boston, you should know what your plan covers. Every home insurance policy, regardless of provider, includes protections that can be separated into six coverage areas that financially guard your property and liability. These coverages are briefly summarized below.

While the largest insurance companies in Boston include regional carriers like Mapfre and Andover, as well as national brands like Liberty Mutual and Travelers, the truth is that the best homeowners insurance could come from any carrier, and the choice depends on your coverage needs and budget.

As of 2022, the most recent year available at the time of writing, the Commissioner’s Report on Home Insurance states that the companies with the largest share of the Massachusetts home insurance market are:

While these are the largest insurance companies in Massachusetts, you shouldn’t restrict your search for Boston home insurance to these carriers. The best coverage could come from any insurer that satisfies your coverage needs and budget at an affordable rate.

For instance, you’ll likely need to adjust the coverage limits in your plan to suit your needs. You can set your dwelling limit between 80% and 100% of your home’s replacement cost. Raising your dwelling coverage amount will increase your premiums, but you may want the added coverage to be more comfortable during a possible rebuild.

You can also easily adjust your personal property limit. We recommend creating a home inventory that determines the total value of your belongings and setting your limit at that number to account for all your possessions.

Another common coverage area to adjust is your liability coverage. Most insurers recommend at least $300,000 as a liability limit, but you may want to increase the number to $500,000 or more depending on your assets. Most carriers let you increase your coverage up to $1 million before you need an umbrella policy.

In addition to adjusting your coverage limits, you may also want to address exclusions in your policy with endorsements, which are optional coverage add-ons for certain items or perils, such as costly valuables, equipment breakdown, home-based business coverage, and water backup protection.

Once you know what you want in your plan, you can take some steps to save money without sacrificing coverage. Some ways to help you secure the cheapest home insurance in Boston are:

Raising Your Deductible: Your deductible is the amount you must pay out of pocket when filing a claim before your insurer can cover the rest of the damage bill. You choose your deductible when quoting, and it usually ranges from $500 to $2,000. Choosing a higher deductible creates higher out-of-pocket costs for you during a claim, but since it lowers the insurer’s payout, it reduces your risk level as a policyholder and lowers your premiums.

Seeking Discounts: You should always ask about available discounts. Discount type and extent will vary by carrier, so be mindful of how you may qualify and which company has better deals. For instance, one carrier may have a larger claims-free, loyalty, or bundling discount than another.

Shopping Around: We mentioned it earlier, but we want to underline again how important it is to compare multiple quotes before buying a plan. You won’t know you’re getting the best deal (or saving the most money) unless you check your options. Teaming up with an independent agency, like our team at Clovered, can make comparing plans for residential property insurance in Boston as easy as possible.

Flooding is the country’s most costly and common natural disaster, and it occurs so frequently that insurance companies don’t include flood coverage in their home insurance plans. Homeowners insurance never covers flooding.

Most people in the country get flood insurance through the National Flood Insurance Program (NFIP), a government-subsidized option administered by the Federal Emergency Management Agency (FEMA).

Anywhere it rains, it can flood, so it isn’t a bad idea to consider flood insurance in Boston. Several regions downtown and in South Boston, as well as many properties near the water, are in federally designated flood zones with a higher likelihood of flooding.

If you’re interested in Boston flood insurance, our team at Clovered can answer your questions and find you a policy from the NFIP or possibly a private flood insurance carrier.

Homeowners insurance in Boston isn’t required by law, but you do need to have a policy if you have a mortgage. Lenders require home insurance as part of home loans.

Lenders consider the house as collateral when giving you a mortgage. If the house gets destroyed, the lender would have no way to recoup its investment. So, the Boston property insurance policy can reimburse all parties, you and your lender, in case of significant home damage.

As we mentioned, it’s crucial to compare multiple home insurance quotes in Boston when seeking coverage. Don’t settle for the first quote you get because you won’t know if you could save money or find more favorable coverage options elsewhere.

Our team at Clovered tries to make getting quotes as easy as possible. You can use our online quoting platform at your convenience to find policies and potentially bind coverage on your own.

Or, if you’d rather chat with one of our licensed agents for a quote on the phone, call our team at 833-255-4117 during business hours. We’re happy to assist with your Boston home insurance quote. You can also email us with questions at [email protected].