ZIP Codes With the Highest Home Insurance Rates Have This in Common

Photo by Amy Walters /

Location, location, location — it’s a saying that can apply to the cost of home insurance as much as it does to the cost of a home itself.

A new analysis shows homeowners insurance premiums can vary drastically across the nation, with location being a key factor.

And one type of “location” is especially likely to boost your rates: ZIP codes with average homeowners premiums well above the national average tend to be in coastal areas prone to natural disasters like hurricanes.

The ZIP code 33050 — home to Conch Key, Florida — has the highest average annual premium in both the Sunshine State and the nation at $11,702.

The national average is $1,228.

Conch Key is part of the Florida Keys, the chain of islands off Florida’s southern tip. Hurricane Irma first made landfall in the continental U.S. by striking the Keys last month.

According to a Miami Herald report, the Category 4 storm’s impact destroyed 675 homes and commercial buildings in the Keys, including 10 homes on Conch Key.

Michael Barry, spokesman for the Insurance Information Institute, tells

“Homeowner rates are based on actual and anticipated losses across the state so if a state is prone to natural disasters, it will push up the cost of insurance for everyone in the state. It will have the biggest impact on areas where natural disasters tend to hit most often, coastal areas for example.”

For the analysis, identified the ZIP code in each state with the highest and lowest average annual premium. The premiums are based on a policy for $200,000 in dwelling coverage and $100,000 in liability coverage with a $1,000 deductible.

Based on’s analysis, the top five ZIP codes with the highest average annual premiums for their respective states are:

  • 33050 (Conch Key, Florida) — average annual premium of $11,702
  • 70091 (Venice, Louisiana) — $11,151
  • 39595 (Pascagoula, Mississippi) — $7,922
  • 36561 (Gulf Shores, Alabama) — $7,850
  • 77550 (Galveston, Texas) — $7,105

The bottom five ZIP codes with the lowest average annual premiums for their states are:

  • 96814 (Honolulu) — $332
  • 07920 (Basking Ridge, New Jersey) — $485
  • 83729 (Boise, Idaho) — $498
  • 05404 (Winooski/Burlington, Vermont) — $525
  • 97003 (Beaverton, Oregon) — $532

You might be surprised to see a ZIP code in the island state of Hawaii having the lowest rates in the nation. But that, too, is connected to hurricanes — although in an unexpected way. Barry explains:

“One major factor in Hawaii is the fact that most standard homeowner insurance policies do not cover hurricane damage. Hurricane Iniki, which hit in 1992, did so much damage that the majority of insurers excluded hurricane damage from their coverage. Homeowners in Hawaii now have to purchase a separate hurricane damage policy.”

Factors affecting your homeowners insurance rates

Your home’s location, including its exposure to storms like hurricanes, is not the only factor that affects your homeowners insurance premium. lists the top factors that influence rates.

Those that have the biggest impact on your rates are:

  • Your home’s location — including its exposure to hazards like storms, wildfires and burglaries
  • Your home’s value
  • The cost to rebuild your home if it was destroyed
  • Local construction costs — which accounts for building material costs as well as availability and other factors, like building regulations
  • Your home’s age
  • Risk exposure on your property — such as from a swimming pool, trampoline, guest house or aggressive dog breed
  • How close your home is to a fire station
  • The claims history of your neighborhood, yourself and the previous owner of your home
  • Your insurance score — which is based, in part, on your credit score (except in Maryland and Hawaii, where this is not allowed)

To learn more about that insurance score, check out “Little-Known Credit Score Has Big Impact on Home Insurance Rates.”

To learn about how you can reduce your rates, check out “8 Foolproof Ways to Slash the Cost of Homeowners Insurance.”

What’s your take on this news? Let us know what you think by commenting below or on our Facebook page.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Read Next
7 Surprising Things That Damage Your Credit Score

A seemingly small stumble can cause your credit score to plummet.

7 Common Online Shopping Mistakes That Will Cost You

How many of these costly online shopping missteps are you making without realizing it?

17 Unusual Things You Can Clean in a Dishwasher

Many everyday items do not require meticulous hand washing.

15 Ways Retirees Can Make Their Savings Last Longer

Study these strategies to make your golden years gleam.

5 Ways to Avoid Taxes on Social Security Income

Here’s how to minimize and delay the chunk that Uncle Sam claims.

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Most Popular
9 Things You’ll Never See at Costco Again

The warehouse store offers an enormous selection, but these products aren’t coming back.

11 Things Retirees Should Always Buy at Costco

This leader in bulk shopping is a great place to find discounts in the fixed-income years.

Over 50? The CDC Says You Need These 4 Vaccines

Fall is the time to schedule vaccines that can keep you healthy — and even save your life.

The 15 Worst States for Retirees in 2020

Based on dozens of metrics tied to affordability, quality of life and health care, these are not ideal places to spend retirement.

11 Household Items That Go Bad — or Become Dangerous

When you get the impulse to stockpile these everyday items, pay close attention to their expiration dates.

7 Ways to Boost Your Credit Score Fast

Your financial security might soon depend upon the strength of your credit score.

8 Things You Can Get for Free at Pharmacies

In this age of higher-priced drugs and complex health care systems, a trip to the pharmacy can spark worry. Freebies sure do help.

These Are the 4 Best Medicare Advantage Plans for 2020

Medicare Advantage customers themselves rate these plans highest.

This Is the Cheapest Place to Buy a Used Car

Looking for a good deal on a set of wheels? This should be your first stop.

19 High-Paying Jobs You Can Get With a 2-Year Degree

These jobs pay more than the typical job in the U.S. — and no bachelor’s degree is required.

The 10 Most Commonly Stolen Vehicles in America

A new model parks atop the list of vehicles that thieves love to pilfer.

10 Things the Pandemic Is Making Obsolete

Even if a COVID-19 vaccine is discovered tomorrow, it’s unlikely we will ever return to these ways of life.

5 Ways to Get Amazon Prime for Free

Hesitant to drop $119 a year on an Amazon Prime membership? Here’s how to get it for free.

26 States That Do Not Tax Social Security Income

These states won’t tax any of your Social Security income — and in some cases, other types of retirement income.

Could You Give Up These 7 Expenses to Save Thousands of Dollars a Year?

You could save more than $30,000 by setting aside these costly expenses for just one year.

3 Ways to Get Microsoft Office for Free

With a little ingenuity, you can cut Office costs to zero.

5 Keys to Making Your Car Last for 200,000 Miles

Pushing your car to 200,000 miles — and beyond — can save you piles of cash. Here’s how to get there.

10 Reasons Why You Should Actually Retire at 62

If you can, here are several good reasons to retire earlier than we’re told to.

5 Things That Make Life More Meaningful for Retirees

Retirees agree: These are the things that give them purpose and fulfillment in their golden years.

View More Articles

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Add a Comment

Our Policy: We welcome relevant and respectful comments in order to foster healthy and informative discussions. All other comments may be removed. Comments with links are automatically held for moderation.