Cost of homeowners' insurance can vary wildly, but they're not spiking like they once were

Insurance rates have skyrocketed nationally since the pandemic and jaw-dropping renewal notices have left many consumers stretched thin when it comes to protecting their assets. Nearly half of Americans with homeowners insurance (46%) say they're stressed about their premiums, according to a recent NerdWallet survey.

But on Long Island, the rate of homeowners insurance increases has slowed, experts said.

"There was a period of years where they had to raise rates pretty substantially," said Aaron Stein, owner of Babylon-based insurance agency Norton and Siegel, Inc. Now, rates have caught up, he said, and increases are more modest. 

On the Island, the cost of homeowners insurance ranges widely. Premiums, which are gradually trending upward, can start around $2,000 and surpass $10,000, according to Dan Waldeck, partner at Amityville-based The Liberty Company Insurance Brokers.

"We've seen steady increases over the past several years, although they've started to level off compared to the sharp increases we saw a couple of years ago," Waldeck said in an email.

On LI, homeowners' insurance premiums can range from

$2,000 and surpass $10,000

said Dan Waldeck, partner at The Liberty Company Insurance Brokers in Amityville

Nationwide, despite stress over premiums, few consumers are taking their business elsewhere: 8% of Americans with home insurance say they switched those respective insurance companies in the past 12 months.

Here are some of the forces keeping Americans trapped in expensive policies — and what Long Islanders can do about it.

Americans are shopping around, but not enough

Most insurance customers don't shop around on an annual basis. About 1 in 5 Americans with home insurance (19%) say they shopped around for a new insurance company in the past 12 months, leaving a sizable gap between consumers with budget anxiety and those taking action.

Waldeck said he had seen more homeowners asking the agency to review their coverages lately, but cautioned clients to consider more than just the premium.

"They should review the home’s replacement cost, deductibles, liability limits, exclusions and the carrier's claims reputation," Waldeck said. "All things that must be considered before a loss occurs, not after."

1 in 5 Americans

with home insurance say they

shopped around

for a new insurance company

in the past 12 months

Even as affordability challenges drive more people to shop than usual, nearly 80% of shoppers considered only one or two insurers, according to JD Power's Q1 2026 Insurance Shopping Loyalty Indicator & Shopping Trends (LIST) Report.

Part of the blame can likely be placed on consumer inertia — people often stay loyal to a single brand out of convenience or habit, even when cheaper alternatives exist. And this is certainly a factor in the insurance market, where policies don't come lined up on a retail shelf with price tags you can easily compare.

But there's not much reason to stay loyal to your insurance company, said Emily Rogan, senior program officer for United Policyholders, a consumer advocacy group. "The interesting thing is that you're buying one year of coverage over and over and over again," Rogan said. "So they're still selling you one year of product. And the only way to find out if you could get a better deal is to shop around and see what else is out there."

Review your coverage and shop around annually

Insurance may not be the easiest product to shop for, but letting your policy sit on autopilot isn't the answer. "The new normal is that people have to pay more attention to their insurance," Rogan said. "Just because the cost is going up doesn't mean the quality of your coverage or the amount of your coverage is going up."

Take the time to audit your insurance policies once a year. Scott Fox, an independent insurance broker in California, said this annual review can do two things: "Make sure that you've got the coverage that you need, but also make sure that you're not overpaying."

Pay special attention to your coverage limits and deductibles to ensure they still align with your needs. While you're at it, you can check other insurance companies to see if you can get a better rate for the same coverage.

If manually entering your personal information into multiple websites and risking an onslaught of spam messages and robocalls is stopping you from comparing prices, you can always ask an independent insurance agent to shop around for you.

How to lower your rates when you can't switch

Digital fatigue isn't the only barrier keeping Americans from shopping around. For some, a lack of options has forced them to stay loyal to one insurer.

Homeowners looking to lower home insurance premiums without changing insurers should review their policy annually with an insurance professional, Loretta Worters, vice president of media relations for the Insurance Information Institute, said in an email. 

This offers homeowners the opportunity "to ensure they have appropriate coverage and are receiving all available discounts," Worters said.

If options are limited, homeowners can consider increasing their deductible if it makes sense within the context of their budget, Worters said. Homeowners can also reduce the likelihood of claims and keep insurance costs down by maintaining the home, including the roof, she said.

The age of the house can affect the cost of home insurance, Worters said. Many of the Island's homes are decades old and cost more to insure than newer homes because of older plumbing and structural systems, she said. Old electrical wiring can be a fire hazard, and galvanized or cast-iron pipes can rush and leak over time, she said. A roof older than 20 years is "prone to failing in a storm," she added.

Taking precautions to mitigate wind and water risk — including installing impact-resistant roofing or storm shutters — and updating electrical and plumbing systems can also help keep insurance premiums down, Worters said.

Some companies also offer discounts for homeowners who have water leak detection systems, alarm systems or smart home technology, she said. These discounts are not automatically applied; homeowners have to inform insurers of home improvements to qualify. 

For those looking for a quicker fix than making home improvements, experts recommend exploring options like bundling auto and homeowner's insurance.

Other options to try:

• Increase your deductible. This is one of the quickest ways to lower your insurance premiums. Just make sure you have enough money in savings to cover the deductible in case something happens.
• Try bundling. If you have home and auto insurance, bundling them together with the same company can get you discounts of up to 40%, depending on the insurer.
• Look for discounts. Insurance companies offer all kinds of discounts, and you might qualify for one without even knowing it. You can check your insurer's discounts page or have your agent review potential savings opportunities. Fox has seen teachers overpaying by 20% because they didn't know about educator discounts.

Newsday's Arielle Dollinger contributed to this story.