US Homeowners Insurance Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Homeowners insurance is a package policy, providing both property and personal liability insurance. The typical policy covers a house, garage and other structures on the property-as well as personal property inside the house-against a wide variety of perils, such as fire, windstorm, vandalism and accidental water damage. The typical homeowner's policy includes theft coverage on personal property anywhere in the world and liability coverage for accidental harm caused to others. It also reimburses the policyholder for the additional cost of living elsewhere while a house is being repaired or rebuilt after a disaster.

Earthquake damage and flood damage caused by external flooding are not covered by standard homeowners' policies, however special policies can be purchased separately. Flood coverage is provided by the federal governments National Flood Insurance Program and some private insurers.

Storm surge is ocean water that is pushed ahead of a storm and can cause severe damage. States along the U.S. Gulf of Mexico and Atlantic Basin are potentially vulnerable to storm surge damage. In 2019, there were 7.3 million coastal homes along the Gulf and Atlantic Coasts, worth almost $1.8 trillion, at risk for storm surge damage. Along the Gulf Coast, 3.1 million homes are at risk from storm surge, and another 4.1 million homes along the Atlantic Coast are at risk. The reconstruction cost value of homes at risk for storm surge damage is $668 billion along the Gulf of Mexico in the United States and $1.1 trillion along the highly populated Atlantic Coast. The reconstruction cost is based on the 100 percent destruction of the residential structure, using a combined cost of construction materials, equipment and labor costs by geographic location.

The State Farm mutual automobile insurance from Bloomington, Illinois, was the leading homeowners insurance writer in the United States in 2020. With almost 20 billion U.S. dollars in direct premiums written, this insurance company toppled the second homeowner insurer (Allstate Corp.) in the U.S. by around 10 billion dollars in that year.