The world has always been a place of change and evolution. People change the way they live, move, and work as time passes. This has never been more true than after the coronavirus pandemic of 2020.

The worldwide pandemic has forced a lot of companies and people to reevaluate how they work and, more importantly, where they work. With brick-and-mortar locations being locked down, many people moved to remote work. But this shift to remote work seems to be longer-lasting, and that brings up other opportunities.

Working remotely means that, for the most part, you aren’t chained to one specific location. Now more people are considering the idea of relocating. But the transition to a new area or a new state brings a lot of other questions and considerations.

Everything about a move has to be thought through. It’s more than just finding a good spot, a nice neighborhood, and fast internet access. Finding the right home with the right workspace is top of the list. Once you’ve found that perfect spot, it’s important to consider homeowners insurance rates.

Home Insurance Requirements by State

Do I Need Home Building Insurance

Home insurance can be an overwhelming subject. If you aren’t sure how to approach home insurance, it can leave you with more questions than answers. The truth is, however, that home insurance is different depending on the state in which you reside.

This makes a cross-state move even trickier. Even if you have a handle on the home insurance rates and coverage options in your current state, it can all go sideways when you cross outside those state lines.

Why does location impact home insurance?

The adage of “location, location, location” couldn’t be more true. The difference in home insurance cost and coverage between states is all based on the geographical location of your home. Of course, geography has a lot of different factors.

The first consideration is weather. Each state has different climates and different weather patterns. Some states deal with tornadoes, others see hurricanes, and still others deal with extremely cold weather and huge piles of snow. These weather conditions will affect what type of coverage you’ll need.

Similar to the weather and climate is the terrain of a state. Here in the U.S., there are a number of different types of terrains, everything from mountains, beaches, and grassy plains. Each type of terrain presents different potential losses, so these things must be considered.

City size is also considered when looking at home insurance in different states. Larger cities function differently than smaller or rural areas. Those larger cities tend to have larger areas of urban population and can have higher rates of crime. This has to be considered when assigning rates and coverage options.

What factors are used to determine the average cost?

There are other factors considered when determining home insurance rates and coverage. Some of these factors focus on the home itself. The age and construction of the home or building are often considered. Older homes usually require more maintenance and upkeep, which can affect insurance coverage.

How a home is constructed is also a consideration. Frame homes use much more wood and flammable materials than, say, a brick home. The fire hazard potential is a big concern when drafting insurance coverage and policies.

Location is a consideration here as well, not only on a geographic, more macro scale but also on a local scale. Is the home close to fire protection? Is it more urban or more rural? The answer to each of these questions will help determine insurance coverage.

Most Expensive States for Home Insurance

Most Expensive States for Home Insurance

With so many factors and elements to consider, it can be difficult to move states and estimate home insurance costs. There are, however, states that repeatedly rank at the top of the list.

On average, Louisiana is the most expensive state when it comes to home insurance. The average premium is just under $2,000. This may seem wildly expensive, but consider where Louisiana is located. It’s a coastal state and is exposed to a number of hurricanes each year.

The second most expensive state is Florida. Just like Louisiana, Florida is coastal. The residents of this state deal with ravaging winds, saltwater, and the possibility of hurricanes. The average insurance premium is only a few dollars less than those in Louisiana.

Texas is next on the list. Another coastal state, Texas residents deal with similar weather conditions and climate challenges as the two most expensive states. Additionally, there is a large number of people moving into Texas each year. This increase in population also affects home insurance costs.

Least Expensive States for Home Insurance

If there are states that rank highest on a list of home insurance costs, then there are states that rank among the lowest, right? Yes, there are states that routinely come in less expensive when it comes to home insurance.

The least expensive state for home insurance is Oregon. Residents in Oregon, on average, can pay as little as $700 for home insurance premiums. Compare this to the total in Louisiana. Residents in Oregon pay almost three times less than those in Louisiana.

The second and third least expensive states for home insurance are Utah and Idaho, respectively. Both of these states are landlocked and less populated than other states. These reasons are reflected in the low cost of insurance premiums.

So, are you ready to move? If you find yourself in the new remote workforce, then consider moving states and seeing more of the country. This kind of move may require the selling of a house. Selling a house can add another layer to a move across different states. Luckily, there are tried-and-true tips for getting a great deal when selling your home.

There are other businesses calling their workforce back to the office building. The move back to normal can hinder some people’s ability to move around, but keep working. This great shift in the workforce has created more creative opportunities and more careers that pay you to travel.

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However you make the move, make sure you have all the T’s crossed and the I’s dotted. Find the state that speaks to you, but understand the ins and outs of the new state’s home insurance factors.

Laura Gunn writes and researches for the home insurance comparison site, She works from home and is passionate about helping others strike a balance between working and living at home.

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