Home/How to Compare Quotes How to Compare Home Insurance Quotes: A 6-Question Framework
Shopping three or more quotes saves 15 to 40 per cent per III research, but only if the quotes are actually comparable. A $2,100 policy with ACV roof coverage is not cheaper than a $2,300 policy with RCV roof coverage. The six questions below normalise any two quotes so you can spot genuine price differences from paperwork differences.
QUESTION 01
Are the coverage limits identical?
All six standard coverages must match across quotes. Coverage A (dwelling) to the dollar. Coverage B (other structures) to the same percentage - default 10% of A, but some quotes default 25% and others default 10%. Coverage C (personal property) to the same percentage. Coverage D (loss of use) to the same percentage or dollar limit. Coverage E (liability) to the same dollar amount. Coverage F (medical payments to others) to the same dollar amount. One mismatched coverage makes the price comparison meaningless.
QUESTION 02
Is each quote RCV or ACV, separately for dwelling AND roof?
Replacement Cost Value (RCV) pays to replace with no depreciation. Actual Cash Value (ACV) depreciates by age. Many carriers in 2024 and 2025 began forcing older roofs onto ACV even when the dwelling remains on RCV. Ask the carrier directly: 'what is the settlement basis for the dwelling, and separately for the roof?' A roof ACV endorsement can save the carrier $10,000 to $15,000 on a single hail claim and is the most common hidden swap between nominally similar quotes.
QUESTION 03
What are the deductibles - flat AND percentage?
Most quotes have multiple deductibles applying to different perils. Ask: the all-other-perils deductible (fire, theft, water - typically $500 to $5,000 flat), the wind deductible (flat or percentage), the hurricane deductible (percentage in hurricane states, typically 2% to 5% of Coverage A), the named-storm deductible (if separate), the hail deductible (percentage in hail states), and the roof deductible (if separate). A 2% hurricane deductible on a $400k home is $8,000 out of pocket - radically different from the $1,000 flat most people assume.
QUESTION 04
Which endorsements are included vs optional vs absent?
Carriers bundle different endorsements into their base policies. Ask specifically about: water backup / sump pump coverage, extended replacement cost (typically 25% or 50% above Coverage A), ordinance or law coverage, service-line coverage, equipment breakdown, and scheduled personal articles. A quote that looks $150 cheaper but excludes water backup and ordinance-or-law is actually more expensive once you add them back for an apples-to-apples comparison.
QUESTION 05
What is the insurer's financial strength rating?
Check AM Best (ambest.com) directly. Enter the carrier name. You want A- or better for a long-term homeowners policy. Below B, the carrier has material solvency risk. This is especially important for surplus-lines carriers in Florida, Louisiana, and California where the standard market has retreated. We will not quote specific carrier ratings on this site (they change), but the AM Best consumer lookup is free and takes 30 seconds per carrier.
QUESTION 06
What is the insurer's NAIC complaint ratio?
Visit naic.org and search Consumer Information Source for the carrier in your state's homeowners line of business. You are looking for the complaint index. 1.0 = average, 0.5 = half as many complaints as market-share-adjusted expectation, 2.0 = double. Complaints are dominated by claim-handling disputes, so a high ratio predicts bad experience at the one moment when insurance actually matters. Prefer carriers materially under 1.0.
FAQ
How many home insurance quotes should I get?
At least three. III research shows shoppers who compare 3 or more quotes save 15 to 40 per cent compared with those who auto-renew. Include one direct carrier (State Farm / Allstate / USAA / Travelers direct quote), one independent agent who represents multiple carriers, and one online aggregator (NerdWallet / Policygenius / The Zebra). That covers the three channels each carrier writes through.
How do I know if two quotes are actually comparable?
Check that all six coverages match: Coverage A (dwelling) identical, Coverage B (other structures) identical percentage, Coverage C (personal property) identical percentage, Coverage D (loss of use) identical, Coverage E (liability) same limit, Coverage F (medical payments) same limit. Then confirm RCV vs ACV stance is identical for both dwelling and roof. Then confirm deductibles match across flat AND percentage. Then check which endorsements are included. A quote that is $300 cheaper but swaps RCV for ACV on the roof is not actually cheaper.
Should I check a carrier's financial strength rating?
Yes. AM Best publishes free financial strength ratings at ambest.com. A rated carriers (A++, A+, A, A-) have strong claims-paying ability; B-rated carriers have adequate ability; non-rated or below-B carriers carry tail risk. Surplus-lines carriers in Florida, Louisiana, and California sometimes carry weaker ratings than standard-market carriers. The rating is one input; carrier complaint ratio (NAIC) is the other.
How do I check a carrier's complaint history?
The NAIC maintains the Consumer Information Source at naic.org. Search by company name and line of business to see the 'complaint index' - a ratio that normalises complaint count to market share. An index of 1.0 is average for the industry; 0.5 is half the expected complaints, 2.0 is double. Any carrier materially above 2.0 deserves scrutiny.