Illinois home insurance: Quick overview
Average annual cost: Around $3,240 per year for a sample policy with $400,000 in dwelling coverage (NerdWallet, March 2026)
Mortgage requirement: Most mortgage lenders require home insurance as a condition of the loan
Coverages typically included: Dwelling, personal property, liability, other structures, additional living expenses
Illinois-specific risks to consider: Severe storms and tornadoes, flooding, pipe freezes and hail. Some of these may require a separate policy.
Discounts that may be available: Multi-policy, protective devices, smart home, loyalty and more
What does home insurance cover in Illinois?
A standard Illinois home insurance policy is designed to help address financial losses from covered events. Coverage types typically included are:
- Dwelling coverage: Designed to help pay for repairs or rebuilding of your home's structure if damaged by a covered event such as fire, wind, hail or a winter storm
- Personal property coverage: Designed to help address the cost of replacing personal belongings damaged or stolen in a covered event
- Other structures coverage: Designed to help address damage to detached garages, fences and other structures on your property
- Liability coverage: Designed to help address costs if someone is injured on your property or you cause damage to others' property
- Medical payments coverage: Designed to help address immediate medical costs for injuries occurring on your property, regardless of fault
- Additional living expenses coverage: Designed to help address temporary housing costs if the entire dwelling is uninhabitable due to a covered loss
Additional coverage options worth considering in Iowa:
- Flood insurance: Flood damage is generally not included in standard policies. Flood insurance is a separate policy that may be available through the National Flood Insurance Program (NFIP). Iowa has a significant flood history, particularly near the Des Moines, Iowa and Mississippi river systems.
- Sump pump failure and sewer backup coverage: May be available as an endorsement, depending on your policy. This coverage may be particularly relevant in Iowa due to heavy seasonal rainfal and spring snowmelt events.
A single storm can cause damage from more than one source, such as wind versus rising water, and your policy may treat each differently. A representative can help clarify how specific events are handled under your coverage.
Our team can help review your coverage options based on your home and location.
Learn more about our home insurance coverages.
Homeowners insurance discounts
A range of home insurance discounts¹ may be available, depending on your home and policy:
- Multi-Policy Discount: Combining auto, home or life insurance or other financial products with COUNTRY Financial may qualify you for additional savings, if applicable.
- Protective Devices Discount: Homes with alarms and security systems (fire, burglar or automatic sprinklers) may qualify.
- Home Feature Discounts: The Smart Home Discount and Backup System Discount are tied to specific home safety features.
- Reward Discounts: You may qualify for additional discounts such as Welcome, Loyalty and Good Payer, among others.
Read more about our homeowners insurance discounts.
How much is homeowners insurance in Illinois?
Curious about the cost of homeowners insurance in Illinois? On average, according to NerdWallet, a homeowners policy in Illinois is around $3,240 per year for a sample policy with $400,000 in dwelling coverage, $300,000 in liability coverage and a $1,000 deductible.² Keep in mind that specific factors can influence your premium. Some cost factors are:
The value of your home
The type of coverage you select
Location
Age
Size
Condition
Claim history
Special features (such as a pool)
...and many more
Please note that these numbers are approximate, and your actual premium may vary. Contact a COUNTRY Financial representative for a personalized quote based on your specific home and situation.
Is homeowners insurance required in Illinois?
Most mortgage lenders require a home insurance policy as a condition of the loan. For homeowners who have paid off their mortgage, carrying coverage becomes a personal choice, and reviewing options with a COUNTRY Financial representative may be worth considering given the weather and liability risks Illinois homeowners commonly face.
Home insurance in Illinois
At COUNTRY Financial, we proudly serve homeowners in various cities in Illinois. While these are just some of the areas we do business in, COUNTRY Financial has an extensive network of representatives across Illinois. A COUNTRY Financial representative can help you review your coverage options.
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Frequently asked questions
A standard Illinois home insurance policy is designed to help address financial losses from covered events including damage to your home's structure (dwelling coverage), damage or theft of personal belongings (personal property coverage), damage to other structures such as detached garages and fences, temporary housing costs if the entire dwelling is uninhabitable due to a covered loss, medical payments for injuries on your property and liability if someone is injured on your property. Flood damage is generally not covered by standard policies and requires a separate flood insurance policy.
According to NerdWallet (March 2026), the average homeowners insurance policy in Illinois costs around $3,240 per year for a sample policy with $400,000 in dwelling coverage, $300,000 in liability coverage and a $1,000 deductible. Your actual premium may vary based on factors including the coverage type and amount you select, your home's value, age, size, condition, location, claims history and special features such as a pool. A COUNTRY Financial representative can provide a personalized quote based on your specific home.
Most mortgage lenders require home insurance as a condition of the loan. For homeowners who have paid off their mortgage, carrying coverage becomes a personal choice, and many choose to do so given the financial risks associated with property damage, liability exposure and weather-related losses.
COUNTRY Financial offers several home insurance discounts for Illinois homeowners, including a Multi-Policy Discount for combining home with auto, life or other qualifying products, a Protective Devices Discount for qualifying alarm and security systems, Smart Home and Backup System discounts and loyalty-based discounts including Welcome, Loyalty and Good Payer. Discount availability and amounts vary by state. A COUNTRY Financial representative can confirm which discounts may apply to your specific policy.
1Discounts and availability vary by state.
2 The Best Home Insurance in Illinois in 2026, NerdWallet - March 2026. ©2014-2026 and TM, NerdWallet, Inc. All Rights Reserved.
The descriptions provided are for general informational purposes only and are not intended to constitute an insurance policy or to modify, amend or extend the terms, conditions or coverages of any insurance policy. Coverage, terms, limitations and exclusions vary. For complete details, please refer to the applicable insurance policy or contact a COUNTRY Financial representative.
COUNTRY Financial® is a family of affiliated companies (collectively, COUNTRY) located in Bloomington, IL. Learn more about who we are.
Home insurance policies issued by COUNTRY Preferred Insurance Company®, Bloomington, IL.
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