What’s the cheapest renters insurance company?

The cheapest renters insurance companies are Erie and American Family, with an average cost of $15 per month, according to Compare.com data. Comparing renters insurance quotes from multiple companies can help you find the cheapest renter policy.

What’s the best way to buy renters insurance?

The best way to buy renters insurance is to purchase it from the same insurer as your auto insurance policy to get a multi-policy discount. Bundling your auto and renters policies with the same company usually saves you money.

How much does renters insurance cost?

Renters insurance costs an average of $20 per month for $30,000 in personal property and $100,000 in personal liability coverage. Keep in mind that your cost depends on factors like your ZIP code, coverage options and limits, policy deductible, and claims history.

Does renters insurance cost more for high-value items?

Yes. You’ll pay more for renters insurance to insure high-value items exceeding the base policy coverage, typically a policy limit of around $1,500 per theft claim, according to the Insurance Information Institute (Triple-I). You may be able to increase the limit amount or buy a policy that “schedules” each item for its appraised value.

Is renters insurance worth it?

Yes. Renters insurance can help protect you from the unexpected. It can protect you if your dog bites someone, an injury happens on your property, or a fire destroys your apartment building and all your belongings with it. Renters insurance is an inexpensive way to protect your things and provides valuable liability protection if you cause injuries or damage to someone else.

How Much Is a Renters Insurance Policy? (2025)

National Average Rates
Cheapest Companies
Average Costs by State
What Affects Your Costs
Determining Coverage Needs
Frequently Asked Questions

National Average Rates
Cheapest Companies
Average Costs by State
What Affects Your Costs
Determining Coverage Needs
Frequently Asked Questions

When you rent a home, apartment, or other dwelling, your landlord’s insurance policy won’t cover your personal property or liability for someone’s injury on your property.^[1] That’s why renters insurance is essential — it protects you and your belongings.

If you experience fire, theft, or water damage, a renters insurance policy is beneficial for several reasons. It can replace or reimburse you for lost or damaged items and pay an injured person’s medical bills. And if you need to stay elsewhere temporarily, it’ll cover your additional living expenses, too.

You can expect to pay around $20–$43 per month for renters insurance, depending on your coverage level, according to Compare.com data. This article breaks down the average cost of renters insurance by state, the cheapest renters insurance companies, and how to determine your coverage needs.

Quick Facts

Erie, American Family, and Travelers are the cheapest renters insurance companies, with average rates ranging between $15 and $17 per month.
Renters insurance is cheapest in Alaska, averaging $6 per month, but more expensive in Louisiana, averaging $35.
Factors like your claims history, credit history, and coverage choices, as well as the building’s age, construction, and ZIP code, determine how much renters insurance costs.

The Average Cost of Renters Insurance

Renters insurance costs depend on your personal property and liability coverage limits. Personal property covers your belongings, while personal liability pays for your legal defense if someone sues you for injuries or property damage you cause. The policy limit is the most your insurance company will pay per claim under each coverage.

The table below shows the average cost of renters insurance for different coverage levels, according to Compare.com data.

Personal Property / Personal Liability Limits	Average Monthly Premium
$30,000 / $100,000	$20
$50,000 / $500,000	$30
$100,000 / $750,000	$43

Disclaimer: Table data sourced from real-time quotes from Compare.com's 50-plus partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.

Renters insurance is relatively cheap because it doesn’t provide home or building structure coverage (like a homeowners insurance policy does). It also won’t cost much to increase your personal property and liability coverage amounts.

For example, say you start with the lowest coverage levels. For just $10 more per month, you can get $20,000 more in personal property coverage and $400,000 more in liability coverage.

That said, if your net worth is higher than $100,000, it may be worth the extra cost to get higher limits that protect your finances in case someone decides to sue you.^[2]

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The Cheapest Renters Insurance Companies

Renter insurance costs can vary by insurance company since each insurer considers different factors and calculates premiums differently. Premiums for renters insurance don’t vary as drastically as car insurance rates. Still, some companies are cheaper than others — so shop around and compare rates to find the best deal.

Let’s take a look at the cheapest renters insurance companies for $30,000 in personal property and $100,000 in personal liability coverage, according to Compare.com data.

Company	Average Monthly Premium
Erie	$15
American Family	$15
Travelers	$17
ASI	$18
Allstate	$18
USAA	$18
Auto-Owners	$19
Progressive	$19
State Farm	$19
Farmers	$20

The cheapest renters policies range from $15 to $20 per month, or an average annual cost of $180 to $240. We found that Erie and American Family are the cheapest, at just $15 per month.

The Average Cost of Renters Insurance by State

An apartment complex

Renters insurance rates also vary by state. If your state has severe weather or high crime rates, for example, you’ll typically pay more for renters insurance than in other states.

The table below shows the average monthly premium in each state for $30,000 in personal property coverage and $100,000 in personal liability, according to Compare.com data.

State	Average Monthly Premium
Alabama	$18
Alaska	$6
Arizona	$18
Arkansas	$24
California	$20
Colorado	$16
Connecticut	$21
Delaware	$14
Florida	$18
Georgia	$23
Hawaii	$16
Idaho	$16
Illinois	$21
Indiana	$18
Iowa	$13
Kansas	$16
Kentucky	$18
Louisiana	$35
Maine	$16
Maryland	$17
Massachusetts	$20
Michigan	$17
Minnesota	$14
Mississippi	$25
Missouri	$20
Montana	$20
Nebraska	$20
Nevada	$18
New Hampshire	$14
New Jersey	$16
New Mexico	$18
New York	$16
North Carolina	$10
North Dakota	$13
Ohio	$17
Oklahoma	$18
Oregon	$17
Pennsylvania	$13
Rhode Island	$17
South Carolina	$21
South Dakota	$13
Tennessee	$18
Texas	$21
Utah	$16
Vermont	$13
Virginia	$17
Washington	$13
Washington, D.C.	$13
West Virginia	$20
Wisconsin	$11
Wyoming	$18

A renters insurance policy in Alaska is the cheapest of any state, averaging only $6 per month. On the other hand, Louisiana residents pay the most, with an average monthly cost of $35. Louisiana has the country’s fifth-highest property crime rate, while Alaska ranks 21st^[3] — a factor that likely plays a key role in these contrasting rates.

Louisiana is also more prone to natural disasters, such as hurricanes and flooding.^[4] Because of these factors, Louisiana renters are more likely to file claims, leading insurers to charge them higher premiums.

Factors That Determine Renters Insurance Premiums

Multiple factors influence renters insurance premiums. Some rate factors are personal, while others depend on the coverage options you choose and where you live. We’ll cover them in more detail below.

Rental location: Insurers consider local crime rates, weather patterns, fire hydrants, and fire station proximity when determining premiums.
Building’s age and construction: Newer structures and brick buildings usually experience less damage than older buildings and ones made primarily of wood.
Coverage choices: The higher your limits and the more coverage you have, the more you’ll pay for renters insurance.
Claims history: Renters with prior property claims typically pay more than people with no claims history.
Discounts: Applying discounts is an easy way to get cheaper renters insurance. For example, you can bundle your renters and auto insurance or pay your premium in full instead of monthly. You can also install a security system and interior sprinklers to help lower your renters insurance cost.
Credit score: Most states allow insurers to use credit history to determine renters insurance premiums. Improving your credit by paying your bills on time may decrease your rate.
Replacement cost vs. actual cash value: If you choose actual cash value coverage for your belongings, you’ll usually pay less for renters insurance. But you’ll only get the depreciated value of your damaged items when you file a claim, which often won’t be enough to fully replace them with new items.

How Much Renters Insurance Coverage Do You Need?

A woman using a laptop while moving into an apartment

Renters insurance covers damages from a fire, smoke, water damage, theft, or vandalism. If you have to replace most or all of your stuff, you’ll need to understand their replacement costs. Completing a home inventory can help you determine how much coverage you need.

Make a list of all your items and their approximate values, including kitchen appliances, pots, pans, bathroom accessories, clothes, and furniture. Pay special attention to expensive items, such as artwork, jewelry, collectibles, and electronics — some of these items will require specialty coverage, so it’s a good idea to talk to your agent to ensure you have the right coverage for your most valuable possessions.

You should also consider how much legal fees would cost, including a potential settlement or jury award, if someone gets hurt or damages their property at your house. The base amount for most renters policies is $100,000, which may be enough for many renters. But if you have a higher net worth, it may be worth increasing your liability coverage amount to cover the difference.

Just like an auto claim has a deductible, renters insurance policies do, too. The deductible is the amount subtracted from a claim payout from your insurer. Your premium will be cheaper if you go with a higher deductible. Just make sure you have the amount set aside in case you need to file a claim.

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Renters Insurance Costs FAQs

Here are answers to the most commonly asked questions about the cost of renters insurance.

What’s the cheapest renters insurance company?
The cheapest renters insurance companies are Erie and American Family, with an average cost of $15 per month, according to Compare.com data. Comparing renters insurance quotes from multiple companies can help you find the cheapest renter policy.
What’s the best way to buy renters insurance?
The best way to buy renters insurance is to purchase it from the same insurer as your auto insurance policy to get a multi-policy discount. Bundling your auto and renters policies with the same company usually saves you money.
How much does renters insurance cost?
Renters insurance costs an average of $20 per month for $30,000 in personal property and $100,000 in personal liability coverage. Keep in mind that your cost depends on factors like your ZIP code, coverage options and limits, policy deductible, and claims history.
Does renters insurance cost more for high-value items?
Yes. You’ll pay more for renters insurance to insure high-value items exceeding the base policy coverage, typically a policy limit of around $1,500 per theft claim, according to the Insurance Information Institute (Triple-I).^[5] You may be able to increase the limit amount or buy a policy that “schedules” each item for its appraised value.
Is renters insurance worth it?
Yes. Renters insurance can help protect you from the unexpected. It can protect you if your dog bites someone, an injury happens on your property, or a fire destroys your apartment building and all your belongings with it. Renters insurance is an inexpensive way to protect your things and provides valuable liability protection if you cause injuries or damage to someone else.

Sources

III. "Renters Insurance."
III. "Your renters insurance guide."
Statista. "Property crime rate by state U.S. 2023."
New Orleans Public Radio. "Louisiana is the most impacted state by costly natural disasters since 1980, says NOAA."
III. "Special coverage for jewelry and other valuables."

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Mandy SleightInsurance Writer

Mandy Sleight has over 15 years of insurance knowledge and expertise in auto, home, life, health, pet, supplemental benefits, and other insurance products. She’s a sought-after insurance expert, appearing in Bankrate.com, Moneygeek.com, U.S. News & World Report, Reviews.com, CNET, and other publications, and she's been writing for Compare.com since 2023.

Mandy uses her background and experience working for well-known insurance companies like State Farm and Nationwide Insurance to create engaging and easy-to-understand content that helps readers make smarter insurance choices that have a positive effect on their budgets and finances.

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Edited byLequita WestbrooksSenior Editor

Lequita WestbrooksSenior Editor

Lequita Westbrooks is an insurance editor at Compare.com. Her writing and editing experiences span several industries, including insurance, personal finance, higher education, and more. She excels at explaining complex topics like auto insurance in simple, easy-to-understand language and is passionate about helping readers save money. Lequita graduated from the University of South Florida, where she earned her Bachelor’s degree in English.

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How Much Is a Renters Insurance Policy? (2025 Rates)

The national average cost of renters insurance is between $20 and $43 per month, depending on your coverage level. Find out what factors affect your premium and how to determine your coverage needs.

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