Home Insurance in Maryland

Having a comprehensive insurance policy is an absolute must for any homeowner, but finding the right policy isn’t always easy. With Obrella, however, shopping for and choosing home insurance is a cinch. Obrella connects you with our friendly and knowledgeable insurance experts, whose expertise in Maryland home insurance coverage makes it easy to find the best policy for you. They can help you sort through your options from several providers and customize your coverage depending on your needs.

Homeowners Insurance in Maryland

The average Maryland home is valued at $20,233 more than the typical U.S. house, yet insurance premiums are lower than the national average. In fact, at $837 per year, Maryland homeowners pay about$200 less per year than homeowners in most states. That ranks Maryland as having the 34th lowest premiums in the country.

• Median Home Value: 299,700
• Household Income: 76,165
• Percent of Income on Home Ownership: 31.60%

Maryland’s median house value is more than what it is nationally, but so are household incomes. At$292,700, the average house in Maryland is priced 40% higher than those in most other states. However, the median household income in Maryland is $72,483, which is nearly 30% more than the national median of $52,250. Residents of the Old Line State spend 31.6% of their income on home ownership costs, which is the same as the national rate. The percent of owner occupied housing in Maryland is 66.5%, which is also on par with the U.S. average.

To find out if your home insurance policy is adequately protecting your home, contact an insurance professional and ask them to run a home insurance comparison. You might save money by receiving home insurance quotes in Maryland from a top insurance expert.

How are premiums for home insurance calculated in Maryland?

There are many factors at play when an insurance company calculates the cost of your home insurance premium. The process starts with an evaluation of your home and region, including local building costs, crime rates, the size of your home, and the year it was built. Premiums can also be affected by environmental factors, such as the likelihood of floods, tornadoes, or earthquakes in your region. Even things like your credit score and add-ons such as a swimming pool or a guest house on your property may affect the cost of your insurance premiums.

Why do these aspects matter? These elements combine to determine the amount of risk the insurance company will take on when issuing you a homeowners insurance policy. The higher the risk, the higher your premium. Fortunately, though, there are ways to lower these risks. For instance, installing extra security measures like motion-sensor lights, security systems, or surveillance cameras makes it less likely that your insurance company will have to reimburse you for stolen property, which in turn results in lower premiums for you.

Read more: Finding The Best Homeowners Insurance In Maryland For 2023

What does Maryland’s homeowners insurance cover?

Many home insurance companies in Maryland give you a range of coverage options to choose from; here are a few examples:

• HO-1: Limited Coverage
  • While an HO-1 policy will cover your home in the event of the first 10 classified disasters—fire or lightning, windstorms or hail, explosions, riots, damage caused by aircrafts, damage caused by vehicles, smoke, vandalism, theft, and volcanic eruption—this type of policy is no longer available for purchase in most states. (For more information, read our “Understanding Homeowners Insurance Coverage For Volcanic Eruptions“)
• HO-2: Basic Policy
  • In the event of any of the 16 classified disasters, an HO-2 policy will give you basic protection.
• HO-3: Standard, most popular
  • With very few exceptions, this policy offers comprehensive coverage, making it pretty much standard amongMaryland customers.
• HO-8: Older Home
  • As homes age, the cost of repairs to the house may exceed the actual market value of the house. With an HO-8 policy, you’ll receive reimbursements for damage on an actual cash value basis, rather than the full cost of the repairs. Moreover, older houses may not be eligible for plans that cover the full replacement cost of the home in the event of a total loss. (For more information, read our “Replacement Value vs. Market Value“)

What is Maryland’s standard homeowners insurance coverage?

Usually, loss or damage to your property will only be covered by home insurance if the reason behind it is outlined in your policy. So, for instance, you wouldn’t receive a payment for flood damage if your policy doesn’t provide flood coverage. Check out the following home insurance coverage definitions to get a better idea of your policy options:

• Coverage A – Dwelling
  • Insures your home in the event of damage to the home and attached structures. This includes damage to the home’s plumbing, wiring, and permanent air-conditioning and heating systems.
• Coverage B – Other Structures
  • Tool sheds, free-standing garages, fences, guest homes, and other non-attached structures are covered under Other Structures.
• Coverage C – Personal Property
  • Personal Property coverage reimburses homeowners for the value of damaged, lost, or stolen belongings, including furniture, clothing, computers, and TVs. This coverage even extends to items that were not lost, stolen, or damaged on the homeowner’s property—such as items in a storage unit.
• Coverage D – Loss of Use
  • During an extensive home repair, Loss of Use coverage will pay for living expenses.
• Coverage E – Personal Liability
  • If found legally liable for injuries that occurred on their property, a homeowner can use their Personal Liability coverage, which will cover the homeowner’s financial loss.
• Coverage F – Medical Payments to Others
  • If someone gets hurt on your property or by your pet, this coverage will take care of any resulting medical bills.

Maryland Insurance Resources

• Maryland Insurance Administration: Regulates the state’s insurance industry and protects your rights as a consumer. It offers a homeowners guide so you can compare rates of Maryland insurance companies, and you can also sign up for email updates. Visit the Administration at 200 St. Paul Place, Suite 2700 Baltimore 21202, or call them at 1 (800) 492-6116. For your convenience, representatives from the Maryland Insurance Administration also visit various cities across the state.
• Maryland Homeowners’ Association: A non-profit organization that helps protect the rights of residents who live in communities governed by homeowners associations. The all-volunteer group can answer your questions, as well as explain your rights as a homeowner under the Maryland law that governs homeowner associations.

Trying to figure out your home insurance options on your own can be frustrating. Fortunately, there is another option! Shopping for a home insurance policy in Maryland is a breeze with Obrella. All it takes is a simple phone call for you to get connected with an experienced insurance agent who will work with you to evaluate your situation, review your options, and address any questions you may have. And you don’t have to wait for your coverage to kick in, as we even offer over-the-phone binding of your policy!

So quit worrying and start using Obrella for your home insurance needs. Our professional insurance experts are just a phone call away, so pick up the phone and dial [mapi-phone-link /] today.

Before making any final decisions on your insurance company, it is important to learn as much as you can about your local insurance providers, and the coverages they offer. Call your local insurance agent to clear up any questions that you might have. Questions to consider asking include, “What is the best coverage plan for me/my family/my situation?” “What are the minimum coverage requirements in my state and what form of coverage do you recommend?” “Do you guys offer any bundle discounts if I take out both my auto insurance and home insurance with you?” and “What is the average rate of insurance quotes you guys offer?

Before making any big insurance decisions, use our free tool to compare insurance quotes near you. It’s simple, just plug in your zip code and we’ll do the rest!