While some homeowners insurance companies have stopped or paused writing new policies in California, getting coverage is still possible. Whether buying a new home or just shopping for a better rate, there are still several companies to choose from in the Golden State.
Below, CNBC Select reviews the top homeowners insurance companies offering new policies in California. We considered the cost of coverage, discounts available, financial strength and customer service to find the best companies. (See our methodology for more information on how we made this list.)
Best homeowners insurance in California
Find the best homeowners insurance for you
Best for customer satisfaction
AAA Homeowners Insurance
Cost
The best way to estimate your costs is to request a quote
App available
Yes (though not entirely insurance-focused)
Policy highlights
AAA offers affordable homeowners insurance policies across the US, though it is limited to members of the auto club (which starts at $64.99 per year). Its coverage features simple online claims and quotes. It also includes access to 16 discounts, including a bundling discount of up to 20% on homeowners insurance.
Pros
- Discount over 36% for owners of newly-built homes
- Large number of other discounts available
- Opportunity to bundle and save with car insurance
Cons
- Requires annual AAA membership
Who's this for? AAA is ideal if you're a member of the auto club or are considering joining (membership starts at $64.99 per year) and want to take advantage of competitive rates with good customer service.
Standout benefits: AAA offers Californians many discounts, including savings of up to 36% for newly constructed homes and up to 20% for those who also insure their cars with AAA. There are also discounts for fire-resistant roofing (up to 13% discount), being a senior (up to 12%) and having protective devices (up to 9%).
Best for discounts
Mercury Homeowners Insurance
Cost
The best way to estimate your cost is to get a personalized quote
Maximum coverage
Not disclosed
App available
Yes
Policy highlights
Policy covers damage to your home due to fire, lightning, smoke or storm damage, theft, loss of use, personal liability and accidents that occur to others on your property.
Does not cover
Earthquakes and flood insurance. See below for additional protections.
Terms apply.
Pros
- Can submit claims online or over the phone
- Offers service line protection
- Offers discounts for bundling home and auto insurance
- App available
- Provides identity theft coverage of up to $25,000
- Offers discount for living in a gated community
- Offers a discount for selecting a policy with a higher deductible
Cons
- Only available in 10 states
Who's this for? Mercury can be great if you're a Californian who wants to prioritize affordability without sacrificing reliability. The insurer offers 15 discounts to California homeowners and has one of the lower complaint index scores of the companies we reviewed with affordable prices.
Standout benefits: The brand offers up to a 17.9% discount for those who bundle auto, home and earthquake insurance in California.
Best for online coverage
Lemonade Homeowners Insurance
Cost
Starts at $25/month; can vary by state, age of the home and other factors
Maximum coverage
Not disclosed
App available
Yes
Policy highlights
Policy covers your home and property for damages caused by wildfires, extreme weather, crime, and vandalism. It also covers liability claims for damage you accidentally cause to others
Does not cover
Power, water, or heat going out, or bug infestation; some events may not be eligible for coverage, depending on the circumstances — see here for more information
Terms apply.
Pros
- Ability to cancel coverage at any time
- Affordable monthly cost
- Make claims through the app
- Ability to easily switch over from a different insurer
- Can add additional coverage for expensive personal items like jewelry and cameras
- Ability to make payments through escrow or using a credit card
- Also covers condos
- Simple claims may be paid almost instantly
Cons
- Only available in 24 states
- Cannot enroll over the phone
Who's this for? If you would rather buy your coverage online, you can find a mix of convenience and affordability with Lemonade. Unlike other insurers on this list, you won't need to work with an insurance professional to get a quote or coverage, and Lemonade's website and app make the process simple.
Standout benefits: Lemonade allows you to pay for your policy through your escrow account or a credit card. It also offers pet insurance, car insurance and term life insurance, making it possible to bundle your coverages to save.
Best from a large insurer
Travelers Homeowners Insurance
Cost
The best way to estimate your costs is to request a quote
App available
Yes
Policy highlights
Travelers has a longstanding reputation of providing reliable insurance coverage, and its homeowners insurance policies are no different. It offers several discounts, including one for new homebuyers and those who have installed certain smart home technologies.
Who's this for? Travelers can provide strong coverage options if you want your policy to be backed by a big insurer in the space. It offers homeowners coverage in California, and rates are affordable compared to competitors in the state.
Standout benefits: Travelers offers a 5% discount for LEED-certified homes, as well as discounts for protective devices, new homeowners and for being loss-free.
More on our top California homeowners insurance companies
AAA
AAA may be best known for its roadside assistance services, but the American Automobile Association also offers several insurance options through the club, including auto insurance and homeowners insurance. AAA received an 810 out of 1,000 in J.D. Power's 2023 survey of homeowners insurance companies.
Average California premium
$1,463.50
2022 justified complaint ratio (from the California Department of Insurance)
0.9 (relatively low)
J.D. Power Customer Satisfaction Score
810 out of 1,000 (819 is industry average)
Mercury
Since 1961, Mercury has proven itself a mainstay of affordable homeowners insurance. While it's only available in 10 states, California is one of them.
Average California premium
$1,224.75
2022 justified complaint ratio (from the California Department of Insurance)
0.94 (relatively low)
J.D. Power Customer Satisfaction Score
Not rated
Lemonade
A relative newcomer in the insurance space, Lemonade makes insurance coverage a digital-first experience. Claims are handled directly through Lemonade's app and are often instantly approved by Lemonade's AI.
Average California premium
$1,297.25
2022 justified complaint ratio (from the California Department of Insurance)
4.9 (relatively high)
J.D. Power Customer Satisfaction Score
Not rated
Travelers
For more than 165 years, Travelers has been offering individuals insurance they can count on. The company has maintained consistently high financial strength ratings — an indicator that the brand can handle its policy obligations.
Average California premium
$1,205.50
2022 justified complaint ratio (from the California Department of Insurance)
2.76 (moderate)
J.D. Power Customer Satisfaction Score
790 out of 1,000 (819 is industry average)
FAQs
What is the average cost of homeowners insurance in California?
The average $300,000 home in California costs about $1,452 per year to insure.
Who has the cheapest homeowners insurance in California?
Among the companies we reviewed, Travelers offered the lowest average cost for homeowners insurance in California.
Who still offers home insurance in California?
How can I get the best price on homeowners insurance in California?
Getting the best price on homeowners insurance in California starts with comparison shopping — prices can vary widely by location, home details and company. Get quotes with the amount of homeowners insurance you need and the same deductible to get an idea of what's available.
Why trust CNBC Select?
At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every insurance review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of insurance products. To research the best homeowners insurance companies in California, we compiled over 100 data points on more than a dozen insurance companies. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. See our methodology for more information on how we choose the best homeowners insurance companies in California.
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Our methodology
To determine the best homeowners insurance companies in California, CNBC Select analyzed dozens of insurance companies available in the state and compared them based on various factors.
While narrowing down the best insurance companies, we focused on a sample premium from the California Department of Insurance's 2023 Homeowners Insurance Comparison Tool for a sample home in four areas: Burbank, San Francisco (Nob Hill), Sacramento (Rosemont) and San Diego (Pacific Beach). The sample home required $500,000 of coverage, and was seven to 15 years old. The sample policy we considered had a $1,000 deductible. We averaged these sample premiums to find the average California premium for each company.
We also gathered data points on the number of discounts available to California customers. In addition, we gathered customer satisfaction metrics using scores from J.D. Power's 2023 Home Insurance Study, and complaint data from the California Department of Insurance's Homeowners Complaint Composite Report.
From there, we sorted our recommendations by the best for customer satisfaction, best for discounts, best from a large insurer and best for online covearge.
Note that the premiums and policy structures advertised for California homeowners insurance companies are subject to fluctuate in accordance with the company's policies.
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