Find the Best Homeowners Insurance in Madison, WI

What to know about homeowners insurance in Madison

Homeowners insurance covers the rebuilding of your home and other physical structures on your property and pays for replacing personal possessions after loss or damage due to events, or “perils,” such as a fire, lightning strikes, windstorms, theft, vandalism and more. Wisconsin doesn’t require homeowners to purchase homeowners insurance, but if you have a mortgage, chances are your lender requires coverage.

• What homeowners insurance covers: Basic homeowners insurance policies include five types of coverage: dwelling, personal property, liability, additional living expenses and medical payments. These coverages apply after damage or loss due to certain perils, such as fire, lightning, tornado, water damage, glass breakage, hail, windstorm, explosion, vandalism and theft. Coverages have limits up to certain dollar amounts, and policyholders have a deductible to meet before the insurance company pays.
• What homeowners insurance doesn’t cover: Standard home insurance policies don’t cover water damage caused by flooding or sewer or drain backup. They also don’t cover damage or loss resulting from earth movement, power failure, nuclear accident or war. Additionally, homeowners insurance doesn’t cover damage from pests.

Average home insurance costs in Madison

The average cost for homeowners insurance in Madison is about $1,000 per year, or about $85 per month. Homeowners insurance in Wisconsin is relatively cheap compared with other states in the U.S.

The amount of your premium, or what you pay for homeowners insurance, depends on a variety of factors, including the type of home construction, the location of the home in the Madison area and how much coverage you purchase.

How to save on homeowners insurance in Madison

You can save money and get cheaper homeowners insurance in Madison by taking the following steps:

• Compare multiple quotes. Ask for free quotes from different home insurance companies (but make sure you are comparing prices for similar coverage with the same deductible). You may be surprised at how much prices vary from company to company, even for similar policies.
• Explore discounts. You can usually save money by bundling your homeowners insurance with auto insurance. Insurance companies also commonly offer discounts for having smoke detectors or a security system, being claims-free, switching from a different provider or having a nonsmoking household.
• Raise your deductible. The higher your deductible is, the less the cost of homeowners insurance.
• Improve your credit score. Your credit score is one of the factors that insurance providers consider when calculating your rates. The Wisconsin Office of the Commissioner of Insurance recommends asking an insurance company how it uses your credit information and if improving your credit score can have a positive effect on your rates.

Madison homeowners insurance FAQ

How are homeowners insurance companies regulated in Madison?

The Office of the Commissioner of Insurance regulates insurance companies in Madison. It does this by reviewing policies to make sure they meet Wisconsin law, monitoring companies’ financial health, issuing licenses and assisting state consumers with problems.

What are the different types of homeowners insurance?

There are several types of homeowners insurance in Wisconsin, with each differing based on the type of home it insures and the coverage. The most common include HO-2 (broad form), which lists the specific perils that are covered; HO-3 (special form), which covers your dwelling and other structures against all perils except those named, and covers personal property against named perils; and HO-5 (comprehensive form), which only lists excluded perils.

Can I buy homeowners insurance online?

Yes, you can buy homeowners insurance online.

How are homeowners insurance claims paid?

It depends on factors like the type of claim and whether you have a mortgage. The payment may go directly to you, to both you and your lender, or to a contractor who’s making repairs to your home.

Do home insurance premiums go up every year?

Sometimes. Factors like number of claims filed, a higher cost of building materials or the financial health of the insurer could lead to a rise in your premium. Insurers in Wisconsin must give you 60 days of notice before renewing your policy with a higher premium.

Can you change insurance agents within the same company?

Yes, you can change insurance agents within the same company.