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16+ years in personal finance and insurance writing
Certified Financial Education Instructor
Catherine Hiles is a freelance writer covering insurance, personal finance, and home improvement. A Certified Financial Education Instructor, Catherine is committed to providing readers with empowerment and insight when facing insurance decisions.
Her work has been published in TIME, The Penny Hoarder, BobVila.com, Tom's Guide, and Angi. She has a bachelor's degree in communication studies from the University of Chester in the United Kingdom. Catherine lives in Ohio with her husband, two children, and two energetic dogs.
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10+ years writing and editing insurance content
Published in Washington Post, LA Times, and more
Nick leads Compare.com's editorial team in creating helpful, easy-to-understand content about insurance and personal finance.
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Licensed property and casualty insurance agent
5+ years editing insurance content
NPN: 20564519
A seasoned editor, insurance author, and licensed agent, Katie is an expert reviewer fact-checking Compare.com articles.
Updated
High-risk home insurance is a type of coverage for homes that standard insurers decline to cover.
Whether an insurer denies coverage because you live in a coastal area with a high flood risk or your home is in poor condition, you still have insurance options to protect your investment. But the coverage options, pricing, and availability of this type of policy can differ from those of traditional home insurance.
This guide explores what makes a home high-risk, your coverage options, and how to get a high-risk home insurance policy.
High-risk home insurance provides coverage when a standard insurer denies coverage.
The most common reasons an insurer might consider a home high-risk include its location in a high-crime or disaster-prone area, its age, and its condition.
Most homeowners still have coverage options, even if a private market insurer declines their coverage request.
Homeowners insurance helps protect you if a covered event damages or destroys your home — and if you have a mortgage, your lender probably has insurance requirements. But what if an insurer considers your home high risk?
When you request a home insurance quote, insurers will consider your home’s location, age, and other factors to determine risk. If you live somewhere with a high crime rate or a high risk for natural disasters like hurricanes or wildfires, an insurer might decline to offer coverage.[1]
But even if insurers label you high risk, that doesn’t mean your home is uninsurable. You might have to look harder to find a high-risk home insurance policy that protects you and your home.
High-risk homeowners insurance is often less flexible and has narrower coverage than traditional policies. Generally, this type of policy will have more exclusions than a standard policy — and your insurance premiums will likely be higher.
Also, it can be harder to find high-risk coverage than standard coverage because fewer insurers offer it.
Compare quotes from top companies side by side.
When you’re shopping for coverage, insurers will look at several factors to decide whether to offer a policy.[2] Certain factors increase your chances of filing a claim, making you a higher risk to insurers.
Here’s what insurers consider during the quote process:
Location-related risk factors: Insurers may refuse coverage if you live in an area with a high crime rate or frequent severe weather or natural disasters, like hurricanes or tornadoes.
Property condition and construction risks: If you live in an older home with structural issues — or if its plumbing, electrical, or heating systems are old — there’s a higher chance of fire or water damage. Insurers consider this high risk and may decline to cover your home.
Homeowner and policy history risks: Insurers will check your prior claims history and can refuse to insure your home if you have a history of multiple insurance claims.
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Coverage for high-risk homes is often more expensive than standard coverage. These policies may also have different coverage limits, exclusions, and deductibles, depending on the situation.
The most common options for high-risk home insurance coverage are Fair Access to Insurance Requirements (FAIR) Plans, specialty insurers, excess and surplus lines, and policy modifications.
FAIR Plans help ensure that high-risk properties and homeowners who struggle to obtain coverage from traditional insurers are protected. FAIR Plans are shared-market plans that states run and that private insurers support financially to reduce their risk.[3] As of 2025, 33 states and Washington, D.C., manage FAIR Plans, according to the Insurance Information Institute.
The application process differs from state to state, but you’ll likely need to provide proof of private insurer coverage denial to show your eligibility. FAIR Plans typically only offer dwelling coverage, so you may need to opt into personal property insurance or other structures coverage at an additional cost.
These plans typically don’t offer the following coverages:[4]
Loss of use
Personal liability
Theft, vandalism, flood, earthquake, or hail damage
Certain specialty insurers may offer coverage for high-risk properties. Talk to your neighbors to see which insurance company they use, or work with a local licensed insurance agent who is familiar with the area to find coverage for your home.
Excess and surplus (E&S) insurers write policies for high-risk homes that other insurers decline to cover. These policies typically have higher premiums than standard or FAIR Plan policies. Contact an insurance broker to explore your options for E&S coverage.
Some standard insurers might offer coverage for high-risk homes, but with limited coverage. Expect a higher deductible and more exclusions in your policy.
You may need high-risk home insurance in the following scenarios:
Policy denial: You’ve received two or more coverage denials from standard insurance companies.
Non-renewal: Your current insurance company declined to renew your existing policy.
Proximity to water: You live in a coastal area with a high hurricane or flood risk.
Natural disaster risk: You live in a region with a high earthquake or wildfire risk.
Find a policy for your high-risk home.
Not every insurer offers high-risk home insurance policies. A high-risk property has unique coverage needs, so it’s essential to find an insurer that’s well-equipped to cover one.
The best home insurance companies for high-risk insurance coverage include Allstate, Liberty Mutual, and Chubb. But no insurer is the best for every type of homeowner or property, so it’s wise to compare quotes from several insurers to find the right coverage for your needs.
Insurance Company | Best For | Average Annual Premium: Standard Policy | High-Risk Specialty |
|---|---|---|---|
| Allstate | Coastal homes | $2,496 | Flood insurance |
| Liberty Mutual | Older homes | N/A | HO-8 insurance |
| Chubb | Wildfire protection | $3,696 | Wildfire-defense systems |
If you live in a coastal region, you may be at a high risk of flooding. Allstate has two options for flood insurance. You can purchase a private policy through National General (an Allstate company), or you can buy coverage from the National Flood Insurance Program (NFIP) through the insurer.
Choice of private or NFIP flood insurance
Superior AM Best financial strength rating
Below-average J.D. Power customer satisfaction rating
30-day waiting period for NFIP coverage to start
Older homes can be harder to insure — especially if they have structural wear or unique characteristics that would be difficult to replace. Liberty Mutual offers HO-8 coverage, a named-peril policy for older or historic homes. Liberty Mutual also has a generous discount if you bundle home and auto insurance.
Offers HO-8 policies for older homes
Generous bundling discount
High number of complaints on the National Association of Insurance Commissioners complaint index
Below-average J.D. Power customer satisfaction rating
Chubb is a good choice if you live in a high-risk area prone to wildfires. As a policyholder, you can enroll in Chubb’s Wildfire Defense Services, which offers monitoring, prevention, and mitigation to keep you protected. This service includes a personalized risk assessment with specific recommendations to make your home more resilient against wildfire.
Standard wildfire monitoring, prevention, and mitigation services
Above-average J.D. Power customer satisfaction rating
No online quotes
Fewer customizable coverage options
Homeowners insurance costs vary significantly based on individual risk factors. The average cost of homeowners insurance is $234 per month for a standard policy with $300,000 of dwelling coverage and a $1,000 deductible, according to Compare.com data. But a high-risk homeowners insurance policy can cost much more than that.
High-risk homes often cost more to insure because there’s a greater chance you’ll need to file a claim. Insurers view a property in a region that experiences frequent natural disasters, such as hurricanes, tornadoes, earthquakes, or wildfires, or in an area with a high rate of theft and vandalism, as higher risk. This can make it harder to find cheap home insurance.
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Follow these steps to find the right high-risk home insurance policy for your needs:
If an insurance company denied or limited your coverage, ask why. This helps you determine your next steps.
Shop around for insurers that handle non-standard or high-risk properties. Often, the best way to do this is through a broker or agent, or by asking your neighbors for recommendations.
Gather relevant property details or documentation to show the high-risk nature of your property.
If eligible, apply for a FAIR Plan policy through your state or through an agent.
If asked, provide proof of denial from at least two private insurance companies.
Carefully review coverage terms, exclusions, and limitations before choosing a policy.
Ask your insurer about discounts that can help lower your insurance rates.
Compare partners with top insurers for real-time quotes.
Just because you have a high home insurance risk now, that doesn’t mean it’ll always be true. Over time, some risk factors can improve with changes or mitigation efforts. Below are some strategies to consider:
Make your home more disaster-resistant. Certain upgrades to your home can reduce the risk of damage from earthquakes, wildfires, or hurricanes.
Improve your home security. You can often lower your insurance costs by installing a burglar alarm, fire sprinkler system, or deadbolt locks. If you live in a high-crime area, taking these measures can help lower your home insurance risk.
Keep claims history clean. The more often you file home insurance claims, the riskier you look to insurers. Only file a claim if absolutely necessary and avoid filing for small losses you can cover using savings.
Some risks, like your home’s age or location, are outside your control. But by reducing your risk as much as possible, you may qualify for a standard policy in the future.
Below, we provide answers to some common questions about high-risk home insurance to help you shop for the best coverage.
Insurers may consider your home “high-risk” if it’s located in a high-crime area, located in a high-risk flood zone, or if it has outdated electrical, plumbing, and heating systems.
The best insurance for high-risk homes depends on the specific risks. Allstate, Liberty Mutual, and Chubb all offer coverage, or you might need to buy a policy through your state’s FAIR Plan.
Insurance companies consider certain home features, like swimming pools, to be high-risk “attractive nuisances.” It’s wise to get additional liability coverage if you have a pool or other high-risk home feature.
Standard home insurance companies might deny coverage if you live in a high-crime neighborhood or in an area prone to hurricanes, tornadoes, wildfires, or other disasters.
Yes. High-risk home insurance, such as state-managed FAIR Plans, is typically more expensive than standard homeowners insurance policies and provides limited coverage.
Compare.com data scientists analyzed rates from more than 180 home insurance companies sourced directly from Compare.com’s partner companies and Quadrant Information Services. Rates span all 50 states and Washington, D.C., and quote averages represent the mean price for a given coverage level and geographic area. To ensure data reliability, only insurers meeting minimum quote thresholds were included in the analysis.
Unless otherwise specified, quoted rates reflect the average cost for homeowners with no prior claims and good credit with a home construction year of 1980. The default coverage assumptions include:
Additional data points beyond these default values are sourced from Compare.com’s proprietary database. Rates are updated monthly.
16+ years in personal finance and insurance writing
Certified Financial Education Instructor
Catherine Hiles is a freelance writer covering insurance, personal finance, and home improvement. A Certified Financial Education Instructor, Catherine is committed to providing readers with empowerment and insight when facing insurance decisions.
Her work has been published in TIME, The Penny Hoarder, BobVila.com, Tom's Guide, and Angi. She has a bachelor's degree in communication studies from the University of Chester in the United Kingdom. Catherine lives in Ohio with her husband, two children, and two energetic dogs.
10+ years writing and editing insurance content
Published in Washington Post, LA Times, and more
Nick leads Compare.com's editorial team in creating helpful, easy-to-understand content about insurance and personal finance.
Licensed property and casualty insurance agent
5+ years editing insurance content
NPN: 20564519
A seasoned editor, insurance author, and licensed agent, Katie is an expert reviewer fact-checking Compare.com articles.
At Compare.com, it’s our mission to give you the tools to find the best (and most affordable) insurance for your unique needs and budget. We strive to provide information that’s helpful, clear, and unbiased, and we believe that comparing insurance companies should never put you at risk of spam. Our editorial team — which is made up of experienced writers, editors, insurance agents, and data analysts — has spent thousands of hours researching and creating the coverage overviews, side-by-side comparisons, and detailed reviews you see across our site.
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