Homeowners Insurance in North Dakota

Contributor, Benzinga

Want to find the best coverage? Most of our readers prefer Lemonade for their home insurance needs.

If you’re looking for the best homeowners insurance in North Dakota, you’re not alone. North Dakotans know their weather is unpredictable and harsh, especially in the dead of winter. Tornadoes, blizzards, floods and more can potentially be on the docket during any given year. The high potential for natural disasters can cause the cost of homeowner’s insurance premiums to be quite high, depending on the particular area of North Dakota in which you live.

Companies that offer homeowners insurance in North Dakota companies do not offer flood coverage as part of the standard homeowner’s insurance policy. This only includes floods resulting from natural disasters, such as storms or outside flooding that can seep into your home. Since North Dakota can be prone to flooding, it is important to obtain additional coverage through a rider on your insurance policy to cover flood damage to your home.

For more information about homeowners insurance, check out Benzinga’s top-rated Best Homeowners Insurance Companies.

Key Points

  • North Dakota has very specific guidelines for flood insurance in regards to your homeowners policy
  • North Dakota tends to rank somewhere in the middle as far as nationwide home insurance rates
  • In North Dakota, your mortgage company will typically recommend an insurance provider, but comparing rates is the best way to get the best price

Best Homeowners Insurance

Check Prices securely through Lemonade’s website
Best For
Ratings, price and customization
1 Minute Review

Lemonade home insurance provides a top-rated homeowners insurance experience that’s easy and hassle free. Award-winning customer service and digital, super-fast everything from just $25 a month.

Lemonade uses technology to simplify the home insurance claims and sign up process. You can buy a policy in just a few minutes by answering a few simple questions, and some claims can be  paid instantly using its innovative AI technology. 

The app has high user ratings and keeps you connected with your policy. Lemonade may also donate a portion of your premiums to a charity of your choice each year through its Giveback program. 

Best For
  • Those looking for an ultramodern home insurance experience
  • Those looking to switch from other homeowners insurance coverage
  • Tech-loving homeowners who want fast, efficient home coverage
  • Get coverage in as little as 90 seconds
  • Most claims paid in less than 3 minutes
  • Leftover premiums support charities you care about
  • Buried utilities and equipment failure endorsements available
  • Not yet available in all states
Best For
Excellent claims process
1 Minute Review

The Hartford is one of the most trusted providers of various types of insurance, including property, casualty and business insurance. Homeowners and rental property owners alike will find solid coverage backed by strong financial ratings.

Best For
  • Excellent claims process
  • Financially strong
  • Ranked No. 1 by JD Power and Associates for claims paying
  • Slower than average quote time
Compare Quotes securely through Allstate’s website
Best For
No Recent Claims
1 Minute Review

Allstate is one of the best-known insurance companies in the business and for good reason. It offers a range of coverage options so you can tailor your coverage to your needs. You can apply for a policy through a local agent or online. Even if you buy a policy online, you can still get assistance from a local agent, which can be helpful when it’s time to file a claim. 

Allstate’s claims process is clear and you can track it online so you know exactly what’s going on. It also has a mobile app that you can use to pull up ID cards, take photos for a claim and pay your bills. Allstate is a good choice for those with multiple policies and who like personal service.

Best For
  • Home owners with multiple policies
  • Home owners without a recent claim
  • Ease of online service or through an agent
  • Clear claims process
  • Useful mobile app
  • Average customer satisfaction for claims
  • Optional coverage like yard and garden not available in every state
get started securely through American Family’s website

Average Annual Premium for Homeowners Insurance in North Dakota

The Insurance Information Institute released a study in 2014 that compared homeowners and renters insurance in all 50 states. There were 21 states which had premiums higher than North Dakota. Therefore, North Dakota, at $1,156 a year, is along the lines of the average for the rest of the country.

Most times, in North Dakota, the mortgage lender will recommend an insurance company. However, it is possible to shop for the most competitive rates within North Dakota.

Certain elements affect the rates, such as the price of your home and the hazards that are represented in the areas in which your home is located. For instance, many areas of North Dakota are prone to tornadoes. If your home is located in such an area, your insurance rates will likely be higher. 

Get the Best Rate for Your North Dakota Home Insurance

Explore Homeowners Insurance
Tip: get quotes for 2-3 companies

Finding the best premium for your home is quite different than finding the lowest premium in the state of North Dakota. There are several factors to consider when shopping for the best premium for your home:

What is the value of your home?

The value of your home is directly related to the premium of your insurance policy. Before factors such as specific risks of your location or liability are even a consideration, the overall value of your home will help the insurance company determine what its maximum out-of-pocket will be in the event of a claim. This will often be the basis for your premium.

Are you in an area prone to natural disasters such as tornadoes and blizzards?

Once the value of your home is determined, the risks of a claim being filed are factored into the premium. For instance, if you are in a tornado zone, you will have a greater risk of filing a claim.

Do you own a large number of valuables?  

Homeowners insurance covers your home and its belongings. Therefore, the value of the contents of your home will play a factor in the premium for your insurance. If you own priceless works of art, expensive furniture or above-average electronics, expect to pay higher premiums.

Have you filed homeowners claims in the past?  

Homeowners insurance is like any other insurance. If you have filed claims with past companies on this or other properties, you will likely pay a higher premium, as you are seen as a higher risk.

Many factors such as these, as well as credit and types of pets, affect the premium of your homeowners insurance policy. Once you have answered these questions with your insurance broker, it is time to begin obtaining quotes from several different companies. Each company may rate risks differently, offering you variables in premiums.

Since the state of North Dakota does not mandate that you have homeowners insurance, there are no minimum requirements that must be fulfilled by law, allowing for greater flexibility in pricing.

Inclement Weather in North Dakota

North Dakota is part of the Midwestern corridor of the United States. This means it is no stranger to brutally cold winters and sometimes excessively hot summers. As a result, North Dakota sees a fair share of inclement weather throughout the year.

Winters in North Dakota are especially brutal. While the calendar says winter begins on December 21, North Dakota winters typically begin in the earlier part of November. Temperatures can reach negative numbers by the end of December and continue through January. A warm-up may begin to appear in February and March, but expect a warm-up to only bring you to about 19 or 20 degrees without the wind chill factor.

Along with excessive cold comes blizzards. If you are a resident of North Dakota, you are no stranger to three feet of snow (or more). There may be two or three blizzards during any given winter season.

Once the spring and summer begin to round the corner, North Dakota enters a new extreme of heat, thunderstorms, hail, and tornadoes. The same factors that lead to blizzards in the winter will lead to severe thunderstorms in the spring and summer. The wind can be debilitating, and hail can keep you trapped indoors as well.

Finally, North Dakota sits on the tip of Tornado Alley. Therefore, each spring and summer typically allows for at least one tornado to tear through North Dakota’s border counties. From time to time, tornadoes will enter the middle of the state, but aren’t quite as prevalent there.

North Dakota Flood Insurance Guidelines

In North Dakota, floods can occur as a result of blizzards, thunderstorms, and tornadoes. However, not every area of North Dakota is considered a flood zone. Moreover, homeowners insurance policies do not cover floods unless provisions are made to the policy in the form of a special flood insurance policy.

In order to purchase flood insurance, a policy backed by the National Flood Insurance Program, you must own a home or commercial property in a participating community. A community does not need to be in a flood zone to participate. However, the community must abide by any and all guidelines enacted through the National Flood Insurance Program.

It is important to understand that if a flood insurance policy is not purchased for your property, any flood damage caused by a natural phenomenon will not be covered by your homeowners insurance policy. It is also important to understand that a flood, in terms of insurance, refers to water damage caused by natural phenomenon. This does not include a flood caused by a pipe breaking or an appliance overflowing in your home.

North Dakota has very specific guidelines regarding flood insurance coverage. Flood insurance will pay up to $250,000 of structural damage to your home as the result of a flood. An additional premium and rider to the policy will add another $100,000 of coverage for your personal property damaged in the flood. If you own a commercial property damaged by a flood, the standard flood insurance policy will cover up to $500,000 of structural damage.

As with any insurance policy, the cost of flood insurance will vary depending on the risk of flood damage to a property. Properties located within a flood zone will cost more to insure for floods than properties located in a participating community that is not considered a flood zone. Of course, the amount of your deductible can also affect the cost of flood insurance for your property.

If you are buying property within a participating community for flood insurance, simply discuss the addition of this special policy with your insurance agent or broker. Do not wait until after you have lived in your property for a while to purchase the insurance, as the insurance has a 30-day waiting period until it becomes active and will not be valid for an emergency purchase situation.

Top Picks for ND Home Insurance

Best For
Diminishing Deductible Option

1. American Family

American Family has been helping people with their insurance needs for over 90 years. The company exists in 19 states and they offer homeowners insurance in North Dakota. 

In addition to caring about clients and treating them as partners, American Family is also very committed to giving back to the community. The company works to help reduce waste in their offices and within communities to help create a sustainable environment.

American Family separates itself from the pack by:

  • Your agent is your advocate, as opposed to your salesperson. Your agent will create a customized homeowners insurance policy that addresses your concerns and helps you reach your goals.
  • Providing an interactive app to help you view your insurance policies and claims and even pay your bills. The app is available on both Google Play and the Apple App Store.
  • Helping and inspiring others to help make the world a better place through sustainability initiatives. The goal is to reduce waste and limit other harmful environmental emissions.

2. Nodak Mutual

Nodak Mutual calls North Dakota home. As a result, it knows the issues that clients in North Dakota deal with on a daily basis. The company has been named one of Ward’s top fifty insurance companies for five years running.

The firm is customer-driven and known for exceptional quality service and products. Nodak works with clients to not only help with insurance needs, but aid in financial needs as well.

Nodak Mutual separates itself from the pack by:

  • Employing local and accessible agents that live within the communities in which they serve
  • Utilizing ProClaim commitment with claims staff that is also local and part of the community in which it serves
Best For
Those who own investment properties
  • Prepackaged options that make buying easy
  • Other lines of insurance available
  • Above-average claims service and accepts prior claims
  • Accepts rural properties
  • Below-average customer service ratings
  • Must buy coverage through an agent

3. Farmers

Farmers Insurance has been helping families with their insurance needs since 1928. Over the years, the company has expanded and now is among the largest insurance companies in the country. Although it is a national agency, each of the agents is local to their own area and live within your community.

Farmers separates itself from the pack by:

  • Providing an expanded benefits package with every insurance policy.
  • Offering extensive training to its agents to keep them ahead of the curve.
  • Offering claim forgiveness if you go six or more years without making a claim.
Best For
Customers who have existing policies with State Farm
  • Website provides helpful information
  • A nationwide network of over 18,000 agents
  • Bundling discounts
  • Premiums may be higher than some competitors

4. State Farm

State Farm has been serving its customers since 1922. The firm is a mutual insurance company and is ranked at 35 on the Fortune 500 list of largest companies.  State Farm boasts over 70,000 employees and 19,000 independent contractor agents. They consistently lead the industry in home and auto policies.

State Farm separates itself from the pack by:

  • Offering numerous resources to help homeowners stay safe and avoid claims.
  • Providing financial loans as well as insurance assistance.

Final Thoughts

Finding the best premium for your homeowners insurance in North Dakota really means finding the best coverage for your home and your family — without costly coverage gaps — combined with a price that provides value you can afford.

Frequently Asked Questions

1) Q: If my home is destroyed due to fire or weather, how long will it take for my insurance claim to be settled and my home to be repaired?

From start to finish, the process could take anywhere from 12 to 24 months. The variables that play the largest role are the size of the loss and the insurance company you choose. Check her for the cheapest homeowners insurance quote.

2) Q: What can I do to ensure that my home is properly covered?

The most important thing you can do is have a conversation with your agent or carrier to be sure you have the right amount of coverage. Avoid putting just the minimum coverage on your home: Remember, if your home is destroyed, you need to have enough coverage to rebuild the entire home, so you’ll want to insure it for more than just the market value. Also, notify your insurer of renovations or changes that you make to your home — and don’t forget to check to be sure you have enough liability coverage. Get the best quote today from our top providers. 

Q: What does home insurance cover?

Most modern home insurance policies cover your home for nearly all risks. However, every policy has exclusions, among which you’ll find things like neglect, wear and tear, and ordinance or law. Land movement, including earthquakes, and floods are excluded as well but can be insured with a separate policy. Personal property and liability coverage is also part of most home insurance policies. Get the best policy quote here.