As the largest city in Montana, Billings faces a variety of risks that influence home insurance rates. The national average cost for home insurance is $1,428 per year, but in Billings, homeowners typically pay an average of $1,675 per year. Local weather conditions, wildfire risks, and home characteristics all contribute to this slightly higher premium.
Local Factors Impacting Home Insurance Costs in Billings
Severe Weather: Billings experiences extreme weather conditions, including hailstorms, high winds, and heavy snow, which increase the likelihood of property damage.
Wildfire Risk: Billings’ proximity to forested areas and grasslands elevates the risk of wildfires, contributing to higher insurance premiums.
Home Age: Many homes in Billings were built in the mid-20th century, which can increase repair costs and result in higher insurance premiums.
Home Insurance Rates by Home Age in Billings
The age of your home is a significant factor in determining your insurance premium. Older homes often have outdated systems, which can lead to more expensive repairs.
Home Age
Average Annual Premium
0-10 years
$1,520
11-25 years
$1,640
26-50 years
$1,750
51+ years
$1,875
Home Insurance Rates by Credit Tier in Billings
Your credit score plays a key role in determining your home insurance premium. Here’s how insurance costs vary by credit score in Billings:
Excellent Credit (750+): $1,550 per year
Good Credit (700-749): $1,675 per year
Fair Credit (650-699): $1,825 per year
Poor Credit (Below 650): $2,050 per year
Cheapest Home Insurance Providers in Billings
Even though the average cost of home insurance in Billings is slightly above the national average, there are providers that offer competitive rates:
Provider
Average Annual Premium
State Farm
$1,600
Allstate
$1,720
Liberty Mutual
$1,690
USAA (military families)
$1,580
Home Insurance Rates by Deductible Amount in Billings
Increasing your deductible can help reduce your monthly premiums, but it also means you’ll have to pay more out of pocket if you file a claim.
$500 deductible: $1,850 per year
$1,000 deductible: $1,675 per year
$2,500 deductible: $1,525 per year
Types of Homeowners Insurance in Billings
HO-3: The most common type of home insurance policy, covering the structure, personal property, and liability.
HO-5: Comprehensive insurance that provides broader protection for high-value homes and belongings.
HO-8: A policy designed for older homes, which provides coverage based on the actual cash value rather than replacement cost.
Additional Coverage Options
Wildfire Insurance: Given the wildfire risks in Billings, this additional coverage can be essential for homeowners in forested or grassland areas.
Flood Insurance: While flooding is less common in Billings, homes near rivers or in flood-prone areas should consider flood insurance.
Hail and Windstorm Insurance: Billings experiences strong winds and hailstorms, making this an important coverage option.
Frequently Asked Questions (FAQs) about Home Insurance in Billings
Does my home’s age affect my insurance premium? Older homes often have higher premiums because they tend to require more maintenance and have higher repair costs.
Is wildfire insurance necessary in Billings? Yes, given Billings’ proximity to fire-prone areas, wildfire insurance is highly recommended.