Delaware was one of the original thirteen colonies in the “New World,” and earned its nickname – “The First State,” in 1787 when it became the first to ratify the U.S. Constitution. While it is the nation’s second smallest state, it is the sixth most populous. Within its 2,000 square miles a population of nearly 940,000 people lives. Delaware’s name comes from the Delaware River, which runs a winding path along the eastern shores.
Home insurance rates vary dramatically from city to city. We observed 39 cities throughout the state, examining prices to create a hypothetical model home in each. Based on this, the average price in Delaware is $796 annually. Prices from most and least expensive towns in the state vary 70% at most. The cost of homeowner insurance represents roughly 0.5% of the overall cost of ownership for a $200,000 home per year.
What Is Southern Delaware’s Most Affordable Homeowners Insurance?
Homeowners insurance rates in Sussex County– the southern portions of Delaware – are somewhat more expensive than they are in the north. The average cost in these cities is typically around $950 a year. The most likely culprit is the increased risk of flood, wind, and other weather-related damage due to the high risk of hurricane activity. The area typically goes into storm watch each year in late autumn. But for those who are enamored with the sea, the history and culture of the easternmost coast – the higher premiums are not enough to drive them away. Aside to the higher insurance rates, however, the costs of living in these areas are significantly lower both statewide and nationally – giving residents significantly more than coastal ambiance to keep them in the area.
How Do City Average Premiums Compare to the State Average?
Georgetown $916 +15%
Ellendale $925 +16%
Dagsboro $925 +16%
Seaford $943 +19%
Bridgeville $991 +25%
Laurel $1,001 +26%
Georgetown, the 5th most expensive city for homeowners insurance in Delaware, has an average price of around $916 a year. It is the county seat of Sussex, and has a population of roughly 6,000. Once every two years, Georgetown puts on a one of a kind festival known as Return Day which occurs just after Election Day with parades and various contests.
Ellendale comes in with Dagsboro, as the 4th priciest places to buy homeowners insurance in the First State. Our sample household in Ellendale cost $925 annually to insure, that’s 16% higher than the state average. Beside home insurance, costs of living in the area are generally low. Housing costs, for example, are roughly 43% more affordable than national averages.
Seaford is the largest town in Sussex County and is home to just over 7,000 people. Historically, it’s been voted among the top 30 best small towns in the country to live and raise a family. This is due in part to the many unique conveniences including numerous parks, museums, and historical places. Each year, Seaford hosts several of popular festivals, like the FRAM and Nanticoke Riverfest. Home insurance premiums in Seaford are 19% higher than the state average. It costs approximately $943 a year to insure our benchmark Seaford household.
The 2nd most expensive home insurance premiums in Delaware are found in Bridgeville. Home to just under 2,000 residents, Bridgeville is the birthplace of Edward W. Redfield, the famous impressionist painter – his work can be seen in museums all over the world. Redfield isn’t the only famous product of Bridgeville. This town has also produced several Delaware governors, senators, and assemblymen. Our Bridgeville sample home cost $991 annually to insure.
Historic Laurel, is home to approximately 4,000 residents. Founded in 1683, Laurel was one of the wealthiest towns in Delaware for many years. Today, it has more buildings listed on the National Historical Record than any other Delaware city, boasting over 800 historic buildings listed. Other than historic buildings, Laurel has some relatively high home insurance premiums. For our sample property, Our study found, the median price of homeowners insurance is $1,001 in Laurel which is 26% higher than the statewide average.
What Is Northern Delaware’s Most Affordable Homeowners Insurance?
The cheapest homeowners insurance rates are found in New Castle County (the northern region of the state). The average policy in the following areas was $626 a year, representing a 21.2% decrease from the state average.
How Do City Average Premiums Compare to the State Average?
Greenville $594 -25%
Hockessin $611 -23%
Townsend $632 -20%
North Star $647 -19%
Newark $648 -18%
The most affordable rates in Delaware are to be found in Greenville. Classified as a suburb, Greenville is primarily a commuter town. Many Greenville residents work in the nearby city of Wilmington. It is surrounded by historic landmarks and picturesque landscapes – several homes are listed in the National Registry of Historic Places. Other than its attractive surroundings, new investors will appreciate the city’s low premiums. The model home we surveyed in Greenville was quoted prices circling $593 annually.
Hockessin is located right at the Delaware-Pennsylvania border. 14,000 residents live here, just a half hour drive from Wilmington, Delaware’s largest city. Hockessin’s name comes from the word “hòkèsa,” which means “bark pieces” in the language of the native Lenape people. Hockessin is among best places in Delaware to purchase homeowners insurance. The two story model property we examined cost, on average, $610 annually. That’s 23% better than typical Delaware prices.
Townsend is a rapidly expanding town in the south end of New Castle County. Its current population is roughly just over 2,000 residents. The population was a mere 400 just 15 years ago – that’s a 400% growth factor! Townsend is predominantly an agricultural community, and has been since it was incorporated in 1885. Homeowners insurance prices in Townsend are near the best in Delaware. The home we toured was 20% more affordable than state norms at just $634 a year.
North Star has a population of approximately 8,000 residents. The most recent data shows there are about 2,600 households here, with an average occupancy of 3. The average household income is roughly $100,616 a year. The average price of homeowners insurance, for the North Star benchmark property is 6% of the average household income at $646 annually.
Newark is among the most populous cities in Delaware, with nearly 30,000 residents. A large portion of that population is made up of college students – bringing the median age of the population to a very youthful 22. It stands to reason, since Newark is host to the University of Delaware – Delaware’s biggest university. Newark is also among the most affordable cities in the First State in terms of homeowners insurance. The average price of home insurance, for our sample home cost $649 per year.
What Is the Price of Homeowners Insurance Delaware?
According to our data, the average annual cost for homeowners insurance in Delaware is $795. This figure varies from city to city. As we’ve seen, the southernmost towns have higher insurance premiums, but lower costs of living- and a few boast better paying jobs. So it’s important to note that these higher premiums should not keep you out of these coastal towns if you find the salty air and seafaring culture especially appealing.
What Methodology Did we Use?
To achieve accurate results, we compared prices for single benchmark homes across several cities, towns, and census-designated areas. We collected rates from three separate insurance companies – Allstate, State Farm, and Nationwide. Benchmark homes were two story, 2,000 square foot structures, with an attached garage, one and one-half bathrooms, a brick-veneer facade, and a full basement. The average model homeowner for our baseline was a single 41-year old male with no pets, no prior insurance claims, and has owned his home since 2000.
2 Point Highlight
We compared prices for single benchmark homes across several cities, towns, and census-designated areas. We collected rates from three separate insurance companies – Allstate, State Farm, and Nationwide. Benchmark homes were 2 story, 2,000 square foot structures, with an attached garage.
It’s important to note that these higher premiums should not keep you out of these coastal towns if you find the salty air and seafaring culture especially appealing, since low costs of living offset them.
