How much does Home Insurance Cost?
The average reported home insurance cost varies widely by source, but here's what real data shows: across the homes MBG Insurance currently insures in Northwest Arkansas, our clients pay an average of $1,409.76 to $1,840.53 per year. That's well below most published Arkansas averages, which typically run $2,400 to $5,000 — largely because we shop more than 20 carriers for every client and apply auto and home bundle discounts wherever possible. Arkansas does see higher-than-average rates overall due to frequent hail, tornadoes, and severe wind storms, which makes carrier comparison matter even more here.
Actual pricing varies depending on the size, age, and location of your home along with other factors like roof condition, claims history, and the coverage limits you choose.
What Are The Key Parts of Home Insurance
Dwelling — this is the part of your policy that covers the dwelling. The cost to replace your home can fluctuate from time to time. This can vary due to the cost of raw material and labor to rebuild your home.
Other Structures — this covers most structures on your property that are not permanently attached to your house. This could include fencing, driveways, sidewalks, and detached buildings like sheds and garages. Furthermore, this coverage is 10% of your Dwelling limit but it can be increased.
Personal Property — this covers belongings like clothing, furniture, electronics, and appliances. Basically anything that would fall out of your house if you turned it upside down and shook out the contents.
Loss of Use — this can give coverage for temporary extra expenses you may have because your insured home is unlivable after a loss your policy covers.
Medical Expense —this can provide limited medical expense coverage for guest who gets injured on your property. In certain cases it can coverage injury to others off of your property. In contrast, it does not provide coverage healthcare costs for you or other members of your household.
Family/Personal Liability — this typically provides a set amount of coverage for specific type of injury that you cause to others. This can also provide coverage for damage to others property. When choosing your liability coverage limit, consider things like how much money you make and the things you own
What Does Arkansas Homeowners Insurance Not Cover?
Unfortunately, no homeowners insurance policy in Arkansas covers every unfortunate event that can happen at your home. The simplest example: an insurer won't pay a claim for damage you cause intentionally.
Beyond that, standard homeowners policies exclude several other causes of loss:
- Flooding, including water that backs up through sewers and drains
- Earthquakes, sinkholes, and land movement
- Infestations by vermin, insects, birds, mold, and fungus
- Neglect and normal wear and tear
- Nuclear hazard
- War and government action
The good news is that coverage for some of these risks can be purchased separately. Flood insurance is available through the NFIP or private flood carriers, and earthquake coverage can be added for Arkansas homeowners — something worth serious consideration in the northeast part of the state near the New Madrid seismic zone.
You can also expand your policy through endorsements. Water back-up coverage, for example, is one of the most affordable and most commonly needed add-ons, and most carriers offer it for a modest additional premium. Talk with your independent agent about which exclusions matter most for your home and which endorsements or separate policies can close those gaps.
Arkansas Home Insurance Deductibles
Traditionally, homeowners insurance deductibles were often $1,000 or $1,500. Today, many insurers in Missouri use a separate wind and hail deductible, set as a percentage of your home’s replacement cost. This wind/hail deductible is separate from your all-peril deductible.
Example:
- Replacement cost: $500,000
- Wind/hail deductible: 1%
- Calculation: $500,000 × 1% = $5,000
- Deductible for a wind or hail claim: $5,000
Ways To Lower My Home Insurance Cost?
Shopping for Home Insurance can be overwhelming if you don't use MBG. Our team helps you find shop around without having to sacrifice coverage. If your looking to lower costs here are some quick ways:
- Raise Deductibles
- Bundle with Other Policies
- Remove Coverages You Don't Need
- Get A New Roof
- Shop with An Insurance Broker
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Major Arkansas Cities We Serve
MBG specializes in many different types of insurance but our specialty is homeowners insurance. Here is some of the major cities we serve: