Missouri Home Insurance

If you own a home in Missouri, you may want to consider getting homeowners insurance to protect your property and belongings from unforeseen events. Homeowners insurance is not required by law in Missouri, but it may be required by your mortgage lender or your homeowners association. Here are some details of Missouri homeowners insurance requirements, laws, policies as well as average costs and best companies.

Homeowners insurance requirements: The amount and type of coverage you need depends on your personal situation and preferences. However, most lenders require you to have at least enough coverage to pay off your mortgage balance in case of a total loss. You may also want to have enough coverage to rebuild your home and replace your personal property at current market value. Additionally, you may want to have liability coverage to protect you from lawsuits if someone gets injured on your property or if you cause damage to someone else's property.

Homeowners insurance laws: Missouri has some laws and regulations that affect homeowners insurance. For example, Missouri law prohibits insurers from canceling or nonrenewing a policy based on a single claim within a three-year period, unless the claim was fraudulent or the insured failed to pay the premium. Missouri law also requires insurers to offer a 5% discount to policyholders who install smoke detectors, deadbolt locks and fire extinguishers in their homes. Furthermore, Missouri law allows insurers to use credit information as one of the factors in determining premiums, but they must notify the insured of any adverse action based on credit information.

Homeowners insurance policies: Homeowners insurance policies vary by company and by policy type. The most common policy types are HO-2, HO-3 and HO-5. HO-2 covers only specific perils listed in the policy, such as fire, lightning, windstorm and theft. HO-3 covers all perils except those excluded in the policy, such as earthquake, flood and war. HO-5 covers all perils except those excluded in the policy, and also provides replacement cost coverage for personal property without depreciation. You can also add endorsements or riders to your policy to cover specific items or situations that are not covered by the standard policy, such as jewelry, antiques, home business equipment or identity theft.

Homeowners insurance costs: The average annual premium for homeowners insurance in Missouri was $1,285 in 2017, according to the Insurance Information Institute. This was slightly higher than the national average of $1,211. The cost of homeowners insurance depends on many factors, such as the location, size, age and condition of your home, the amount and type of coverage you choose, your deductible amount, your credit score and your claims history. You can compare quotes from different companies online or through an agent to find the best deal for your needs.

Homeowners insurance companies: There are many companies that offer homeowners insurance in Missouri. Some of the largest and most popular ones are State Farm, American Family, Shelter Insurance, Farmers Insurance and Allstate. You can check the financial stability and customer service ratings of these and other companies through independent agencies such as A.M. Best, J.D. Power and the Better Business Bureau. You can also check the consumer complaint index and the market share of each company through the Missouri Department of Insurance website.