According to InsuredCircle 2020 rate analysis, the national average cost of homeowners insurance is $1,631 per year. However, the amount you pay can vary significantly depending on a number of factors. Here's how to figure out how much your home insurance will cost.

How to estimate your home insurance

To get an average in your ZIP code, use the calculator, or follow the steps below to estimate for yourself.

1. Determine how much coverage you need

A typical homeowners insurance policy has six components, and the amount of coverage you choose for each type will influence your overall premium. The six types are as follows:

• Dwelling, which pays for damage to your home's main structure.
• Other structures, which includes detached structures such as sheds and fences.
• Personal property refers to your possessions.
• Additional living expenses if you must relocate temporarily while your home is being repaired.
• Liability if you cause property damage or injury to another person.
• Medical payments, which cover the cost of treatment for someone injured on your property or if you, a family member, or a pet injure someone else.

In most cases, you'll need enough dwelling coverage to cover the costs of completely rebuilding your home.

Several of the others can be calculated as a percentage of your dwelling coverage — typically 10% for other structures, 50% to 70% for personal property, and 20% for extra living expenses. Liability coverage typically begins at $100,000 and can be increased based on your needs. Typically, medical payments coverage has a low limit, ranging between $1,000 and $5,000.

2. Choose your insurance deductible

The amount you pay out of pocket for a covered claim before insurance kicks in is known as your insurance deductible. A typical homeowners insurance deductible is between $500 and $2,000.

The higher your deductible, the lower your premium.

3. Consider other factors

The physical characteristics of your home, such as its age, roof condition, and compliance with current building codes, will all have an impact on the cost of insurance. A swimming pool will almost certainly necessitate additional liability insurance.

Similarly, location can be significant. Insurers may consider factors such as the level of local fire protection and the home's proximity to the coast.

4. Consider supplemental coverage

Floods and earthquakes are not covered by standard home insurance policies, but separate coverage for these and other home insurance exclusions may be available. If your home is in jeopardy, you may require additional protection.

5. Get a quote

Some insurers provide tools to help customers estimate the cost of their home insurance. These features typically use a limited set of data, but they will provide you with an idea of your potential costs. You can also request a quote by clicking the button above.

InsuredCircle home insurance calculator

To estimate your homeowners insurance premium, InsuredCircle provides a ZIP-code-based calculator. The hypothetical homeowner is a nonsmoker with good credit who lives in a single-family, two-story home built in 1983. The homeowner in the example had a $1,000 deductible and the following coverage limits:

• $300,000 in dwelling coverage.
• Other structures coverage of $30,000
• $150,000 in personal property coverage.
• $60,000 in loss of use (additional living expenses) coverage.
• $300,000 in liability coverage.