In a lot of ways, insurance is sort of like water….we all have to have it in multiple ways. When it comes to your main investment (your actual home) buying insurance ranks right at the top. The folks over at howmuch.net recently gathered the numbers from all 50 states (using data from Insurance.com) to compare average costs across state-lines. For their map, dark red states have the highest costs and dark blue have the cheapest. Don’t be surprised if what you might think are the cheapest states are actually the most affordable (California and Hawaii) and the most expensive are not where you expected.
The least expensive state for home insurance is in the middle of the Pacific Ocean—it costs only $703 in Hawaii. Florida is at the opposite end of the spectrum, where it costs a whopping $6,892 to insure a home. Hurricanes are the obvious explanation for the discrepancy between both states. Hawaii almost never gets severe weather, and only a handful of hurricanes have hit the island in the last 70 years. Florida, on the other hand, endures more direct hits than any other state. The University of Miami’s mascot is—guess what—the Hurricanes.