Sinia Fajardo

Home insurance costs surged
Avg. US home insurance is $2.7K yearly for $350K dwelling coverage, up $760 yearly, or 39%.
Across coverage levels, yearly homeowners insurance ranges from $1.9K-$4.8K, depending on dwelling coverage amount.
Rates vary by state; higher claims from catastrophic weather, crime, or repair costs typically mean higher premiums.
Company pricing differs widely; comparison shopping quotes matters, since you won’t know who saves you hundreds until you shop.
Premiums rose with inflation, higher building costs, and severe weather; tariffs were cited as another potential cost driver.
I’m seeing homeowners insurance get more expensive as rebuilding costs rise and severe weather drives more claims. Prices vary widely by location, coverage choices, deductibles, and insurer, so shopping around can help.

Average Home Insurance Costs Update

Insurance steadies in 2026
Global insurance hit $8.33T in 2025, with projections topping $11.6T by 2030.
US insurance reached $2.27T in 2025, with forecasts nearing $4.95T by 2035.
2026 stability rests on P&C surplus, steadier reinsurance pricing, and improved life-insurer returns from higher rates.
After a quiet hurricane season and rate hikes, 2025 combined ratio was ~94%; 2026 likely normalizes toward 2024.
In 2026, insurers scaled AI beyond pilots; fraud analytics could save P&C up to $160B by 2032.
I’m seeing the insurance industry settle into a steadier phase in 2026, with less extreme pricing momentum. Strong capital, calmer reinsurance conditions, and wider AI adoption are supporting profitability, even as growth moderates.