How Much Is Landlord Insurance? 2026 Costs by State

What landlord insurance costs, state by state

There’s no reliable public average for landlord policies by state, so we start from the best homeowners data available and adjust it. The benchmark below is NerdWallet’s 2026 analysis of sample rates from Quadrant Information Services: the median annual HO-3 homeowners premium for $400,000 of dwelling coverage and a 40-year-old nonsmoker with good credit, across all ZIP codes in the state. The national figure is $2,490.

Landlord policies (usually the DP-3 dwelling form) typically run around 15-25% higher. The estimated landlord range is that benchmark multiplied by 1.15 and 1.25, rounded to the nearest $10. Treat it as a ballpark, not a price anyone will offer you.

State	Homeowners benchmark (per year)	Estimated landlord range (per year)
National average	$2,490	$2,860 - $3,110
California	$1,820	$2,090 - $2,280
Colorado	$3,910	$4,500 - $4,890
Florida	$2,845	$3,270 - $3,560
Georgia	$3,225	$3,710 - $4,030
Hawaii	$900	$1,040 - $1,130
Illinois	$3,240	$3,730 - $4,050
New York	$1,710	$1,970 - $2,140
North Carolina	$3,025	$3,480 - $3,780
Ohio	$2,080	$2,390 - $2,600
Oklahoma	$7,255	$8,340 - $9,070
Pennsylvania	$1,720	$1,980 - $2,150
Texas	$4,915	$5,650 - $6,140

Two cautions. First, the benchmark assumes $400,000 of dwelling coverage. A smaller house that costs $220,000 to rebuild will usually price well below these figures, and a large one above. Second, a state median hides big swings inside the state. A Florida rental on the coast and one in an inland county can be priced like they’re in different countries, and in California the wildfire risk of the specific ZIP code can matter more than the statewide number.

Average landlord insurance cost per month

Dividing the annual estimates by 12 gives a rough monthly figure:

• National: about $240 to $260 a month.
• Ohio: about $200 to $215 a month.
• Pennsylvania: about $165 to $180 a month.
• Texas: about $470 to $510 a month.
• Oklahoma: about $695 to $755 a month.

It helps to see that against rent. On a $1,650 rental, a $2,500 annual premium is about $208 a month, or 12.6% of the rent. At the Texas estimate of $470 to $510 a month, the same rent would lose close to 30% to insurance. That’s why insurance belongs in your numbers before you buy a rental, not after.

Many insurers add an installment fee if you pay monthly. If you can pay the year up front, ask what it saves. If your mortgage escrows the premium, the lender pays it annually and spreads the cost across your payments.

Why a rental costs more to insure than your own home

Insurers price a rented house as a higher risk than an owner-occupied one. Tenants don’t have the same stake in catching a slow leak early, units sit empty between leases, and there are more people coming and going who could get hurt. A landlord policy also includes things a homeowners policy doesn’t, chiefly fair rental value (the rent you lose while a covered loss is repaired) and liability that’s written for a rental business.

Some of the difference comes back to you, because a landlord policy doesn’t need to cover your own furniture, clothes and electronics. Your belongings move with you and get covered by whatever policy you buy for your new home.

What drives your landlord insurance premium

Where the property is

Location is the biggest single factor. Hail, tornado, hurricane and wildfire exposure push premiums up, which is why Oklahoma ($7,255), Nebraska ($6,015) and Kansas ($5,455) top the homeowners benchmarks while Hawaii ($900), Vermont ($1,170) and Delaware ($1,365) sit at the bottom. Distance to a fire station and hydrant matters too.

How much dwelling coverage you buy

Your dwelling limit should match what it would cost to rebuild the house, not what it would sell for. Land doesn’t burn, so the market value of a lot in an expensive neighborhood shouldn’t be in the number. Insuring a house that costs $300,000 to rebuild for $400,000 wastes money; insuring it for $200,000 leaves you short after a total loss and can trigger a coinsurance penalty on partial claims.

The building itself

Roof age and material, the age of the wiring and plumbing, the heating system, and construction type all change the price. A 25-year-old roof can raise the premium, limit roof claims to depreciated value, or get the policy declined. A new roof is one of the few upgrades that can lower your premium right away.

Your deductible

Raising the deductible from $1,000 to $2,500 lowers the premium. In storm-prone states, many policies also carry a separate wind or hail deductible set as a percentage of the dwelling limit. At 2% on a $300,000 dwelling limit, that’s $6,000 out of pocket before the policy pays on a roof claim, so read that line of the quote closely.

Liability limit and add-ons

Liability is usually part of the policy. Steadily says its liability coverage typically adds $200 to $400 a year. Higher limits, water backup, ordinance or law coverage and equipment breakdown each add a little more.

Claims history and credit

Prior claims on the property or on you as an owner raise the price. Most states let insurers use a credit-based insurance score, though a few restrict it.

How the property is used

A long-term rental, a short-term rental and a vacant house under renovation are three different risks and often three different policies. Steadily and Obie both quote vacant and renovation coverage and short-term rental coverage, but they’re priced separately from a standard landlord policy.

How to lower your landlord insurance cost

• Get at least three quotes. Prices for the same house vary widely between insurers. Online insurers like Steadily and Obie take a few minutes; an independent local agent can shop several carriers for you.
• Set the dwelling limit to rebuild cost. Ask how the insurer estimated it, and push back if it’s based on market value.
• Raise the deductible to an amount you could pay tomorrow without stress. Keep that amount in a separate reserve.
• Fix the roof, panel and plumbing issues first. Update the insurer once they’re done.
• Add protective devices. Monitored smoke detectors, water-leak sensors and deadbolts can earn discounts with some carriers.
• Require renters insurance from tenants. It doesn’t lower your premium directly, but it keeps small tenant-caused losses off your claims history.
• Avoid small claims. A $1,800 claim on a $1,000 deductible can cost more in future premiums than it pays.
• Pay annually if your insurer charges installment fees.
• Combine properties. Once you own several rentals, a portfolio policy may cost less than separate policies, and it’s worth pricing.
• Re-shop at renewal. Premiums change every year. Shopping every two or three years keeps your insurer honest.

What the price won’t tell you

The cheapest quote can be the cheapest because it covers less. Before you compare prices, line up the details:

• Policy form. A DP-1 policy covers only named perils and often pays actual cash value. A DP-3 covers the dwelling against all perils except those excluded and usually pays replacement cost. They’re not the same product.
• Loss of rent. Check how many months of rent it covers and whether it’s included.
• Flood and earthquake. Neither is covered by a standard landlord policy. Steadily’s coverage list says flood requires a separate policy.
• Claims handling. Public reviews of both Steadily and Obie include complaints about slow or denied claims. That doesn’t make either a bad choice, but it’s worth reading recent reviews for any insurer before you buy.
• Lender acceptance. Some lenders and umbrella insurers set minimum financial-strength ratings for the carrier behind a policy. If you have a mortgage, ask your lender before you switch carriers.