Claire Smith Last Updated On: August 23, 2023

What to Know About Getting Home Insurance in Arizona

If you live in the Grand Canyon state, you’re used to the crazy weather, like extreme heat and cool nights. You probably already know that having the best home insurance in Arizona is key to surviving the state’s fluctuating weather. 

But what exactly is the best home insurance in Arizona? What does an ideal policy for Arizonians look like? Read on, and we’ll reveal the kind of home insurance you need if you live in Arizona.

Free Home Insurance Comparison - Save up to 30%

No junk mail. No spam calls. Free quotes.

No Signup required

Table of Contents

Arizona’s Climate & How It Affects Your Rates

Arizona’s climate is both arid and semiarid, which means desert-like conditions. However, due to the hot and dry weather, there are certain hazards the state is prone to that put your home at greater risk, so you’ll need the right coverage in place to protect your home. 

These are the most common perils that Arizona experiences:

  • Wind/Dust Storms: Desert winds can cause a lot of damage to your house, so ensure your roof, siding, and windows are well-maintained.
  • Water Damage/Flooding: Arizona is prone to flash flooding, so if you live in a flood zone, protect your home by clearing the gutters and ensuring drainage is in working condition.
  • Theft: Theft is another cause for home insurance claims. Remember not to hide spare keys under the mat and use a security camera for additional protection. 
  • Fire/Wildfires: A common fire hazard is candle accidents, so always monitor when you have lit candles. And since Arizona is arid, it’s prone to wildfires—just as much as California is.
  • Lightning: Lightning striking the house can cause a power surge or damage to your home, so make sure you use surge protectors on your appliances.

Given the wide range of perils that Arizona experiences, you want to ensure that your home insurance policy is up to the task of protecting your property. For instance, most standard home insurance policies cover all these perils, apart from flooding damage, which means you’re protecting your property just by having home insurance.

Arizona Homeowners Insurance Laws

If you’re looking to buy a house in Arizona but need a mortgage, then you must have home insurance as part of your lending requirement. So you’ll likely need to purchase home insurance. 

If you want to find the best homeowners insurance in Arizona now, check out ConsumerCoverage for all the details on your options, or to get access to free quotes.

What Does Home Insurance Cover?

Your home is so much more than just the four walls around you. That’s why home insurance goes beyond the basics and offers protection to these five main buckets:
  • Your Home: The structure of your house. 
  • Your Personal Property: Your belongings, like furniture or jewelry.
  • Any Structure On Your Property: Any additional structures on your property, like a freestanding shed.
  • Liability: If someone is injured on-site, your insurance will pay their medical expenses or repair property damage.
  • Living Expenses: Insurance will pay for your temporary accommodations if your home is under repair.
Home insurance in Arizona doesn’t just protect you from theft, but it also covers many types of perils, such as:

Free Home Insurance Comparison - Save up to 30%

No junk mail. No spam calls. Free quotes.

No Signup required

Home Insurance's Covered Perils

Home Insurance’s Covered Perils
  • Fire
  • Lightning
  • Theft
  • Damage From Cars
  • Damage From Planes
  • Riots or Civil Commotions
  • Explosions
  • Water Damage From A/C, Plumbing, or Heating
  • Hail And Windstorms
  • Vandalism
  • Volcanic Eruptions
  • Smoke Damage
  • Damage From Ice, Snow, or Sleet
  • Frozen Pipe Damage
  • Damage From Electrical Current
  • Falling Objects
  • Water Heater Issues

However, if you have an HO-1 policy, it only covers ten named perils, while HO-2 policies only cover 16 named perils. Therefore, HO-1 and HO-2 products are not ideal insurance policies for families as they offer a different level of protection than a comprehensive HO-5 policy.

Optional Home Insurance Coverage

You can customize your homeowner’s insurance policy to suit your needs. So what are your optional home insurance coverages if you’re worried about dust devils or flooding? 

These are some optional coverages you can choose from:

  • Equipment Breakdown: This offers up to 125% of the repair cost (mechanical or electrical) or replacement for your appliances and may include switching to “greener” upgrades. 
  • Valuable Items Blanket: Get blanket protection for your valuable possessions, from fine art to jewelry.
  • Enhanced Personal Injury Liability: Protect yourself against libel/slander cases with this coverage.
  • Lock Reimbursement: Lose your keys? You’ll get $500 to replace them after paying a $100 deductible.
  • Flood: Because Arizona experiences flash floods often, typical home insurance products don’t cover flooding damage. So, if you live in a city prone to flash flooding, getting this coverage is in your best interest.
  • Personal Property Replacement: If your possessions are damaged, this coverage will pay for a brand-new replacement.

Customizing your home insurance policy with optional add-on coverage can help you feel more in control of your home and your belongings, no matter what life throws at you.

How Much Is Home Insurance in Arizona?

The average home insurance cost in Arizona is $1,216 a year for $250,000 of home coverage. The national average for the same coverage amount is $1,383.

Of course, your actual rates will depend on a number of factors, so you could end up paying less or more. Keep in mind, there are always ways to save on home insurance, so don’t be discouraged if your first quote is higher than you expected. 

Want access to free quotes on home insurance? Click here, and start saving.

Free Home Insurance Comparison - Save up to 30%

No junk mail. No spam calls. Free quotes.

No Signup required

How Your Insurance Rates Are Calculated in Arizona

Arizona homeowners insurance rates are unique to every insurer and are based on your variables. Here are some variables that Arizona uses to calculate your rates:
  • Your credit score
  • Your insurance claims history overall and by location
  • Deductible amount and policy coverage/limits
  • Your homes: age, the cost to rebuild, fire rating, and what materials it’s built with 
Oftentimes, you have more control over your rates than you think. By maintaining your home, removing risky items like trampolines and old wood stoves, and improving your credit score, you can see your rates drop. 

What Won't Home Insurance Cover?

Even the best home insurance in Arizona doesn’t cover your house from everything! So rather than assuming your home is covered from A-Z, let’s review the short list of exclusions.
  • Power failure
  • War
  • Wear and tear
  • Infestations (termites or animals)
  • Flooding
  • Sinkholes
  • Earthquakes
  • Nuclear hazards
You can add additional coverage for certain items, like flooding and earthquakes, to give you more peace of mind.

Home Insurance Discounts for Arizona Residents

Who doesn’t love saving money on insurance? If you’re ready to shave some cash off your home insurance, here’s how.

  • Bundle: Save by bundling your home and auto insurance or any other applicable insurance product.
  • Home Security: If you’ve got home security features like a door cam or a home alarm, many insurers will offer you a discount.
  • Loyalty: By staying with the same provider for a certain number of years, you could earn yourself a loyalty discount. 
  • New Client: On the flip side, you could be incentivized to switch providers with a discount. And if you have no recent claims on your history when you switch, you could earn another discount too!

Plus, you can save money just by shopping around. Getting multiple quotes from providers helps you ensure you’re getting the best rate possible.

Renters Insurance in Arizona

Not everyone can afford or chooses to own their property; some people rent and that’s perfectly okay. Even renters require insurance to protect them from liability (medical expenses should someone get hurt on-site) and personal property claims (repair/replace your possessions).

The average cost of renters insurance in Arizona is $211 a year.

Condo Insurance in Arizona

If you live in a condo and get an uninterrupted view of the turquoise Arizona skyline that the state is known for, you’ll still need insurance on your condo. The average cost of condo insurance in Arizona is $759 a year. 

Condo insurance offers policyholders coverage on the dwelling (physical structure), personal property (your possessions), and personal liability (covers medical costs if someone gets hurt at your home).

Final Thoughts on Arizona Homeowners Insurance

Finding cheap home insurance in Arizona will take you no time. So long as you don’t buy HO-1 or HO-2 home insurance, your insurance policy is enough to protect your place from most of the Grand Canyon state’s known hazards (minus flooding). 

The only way to boost your home insurance coverage to “total protection” is by adding flooding insurance. Flash flooding is a huge risk to many parts of Arizona, and standard policies don’t cover flooding, so you should add it to your policy if it’s an option. Otherwise, HO-3/HO-5 home insurance in Arizona offers you all the protection you need!

And if you’re ready to shop around for homeowners insurance quotes in Arizona, start now by getting access to free quotes here.

Free Home Insurance Comparison - Save up to 30%

No junk mail. No spam calls. Free quotes.

No Signup required


Stay Up-to-Date
Subscribe to our newsletter and receive alerts, offers, education, and updates in your inbox.