Top 5 Homeowners Insurance Plans for First-Time Buyers in 2025
Buying your first home is an exciting experience, but it also comes with a long to-do list, including homeowner’s insurance. If you’re like most first-time buyers, this might be your first time even hearing about concepts like dwelling coverage, liability limits, or loss of use. In this guide, we’ll break down the top 5 homeowners insurance plans for first-time buyers in 2025, so you can make a confident, money-smart decision. We’ll also walk you through what to look for and how to save big.
Why First-Time Buyers Need the Right Homeowner’s Insurance
Let’s face it, insurance isn’t the most thrilling topic. But when disasters like storms, fires, theft, or plumbing fails strike you you’ll be really glad you picked the right plan. As a first-time buyer, here’s what you want to look for in a policy:
- Affordable premiums
- Simple claims process
- Strong customer support
- Customizable coverage
- Discounts and bundling options
Top 5 Homeowner’s Insurance Plans for First-Time Buyers in 2025
Here’s our carefully curated list of the best homeowner’s insurance companies for new homeowners this year:
1. Lemonade – Best for First-Time Buyers
If you love doing things from your phone, Lemonade will be your insurance BFF. It’s all digital, super easy to use, and perfect for first-timers who don’t want to deal with paperwork.
Why we like it:
- Fast, AI-powered claims process
- Policies start as low as $25/month
- Offers renters-to-homeowners discounts
- Charitable giveback program
Bonus: Great for younger buyers or those who are already used to managing things through apps.
Check out Lemonade’s latest rates
2. State Farm – Best for Personalized Support
New to homeownership? State Farm agents are known for holding your hand through the whole process—without making you feel silly for asking questions.
Why it’s great:
- Largest insurer in the U.S. = rock-solid financial backing
- Local agents = personalized service
- Great bundling options with auto policies
- Multiple coverage tiers
Pro Tip: Ask your agent about discounts for new roofs or security systems.
3. Allstate – Best for Customization
Want to tailor your policy like you would a playlist? Allstate gives you plenty of ways to build a plan that fits your budget and lifestyle.
Why it works for first-time buyers:
- Flexible coverage options
- Discounts for first-time homeowners
- Excellent tools for quote comparison and savings
- Claim-free bonus features and deductible rewards
Feature highlight: Their Claim RateGuard prevents your rates from increasing after your first claim.
4. Hippo – Best for Smart Home Integration
Hippo blends traditional coverage with modern tech perks, making it ideal for buyers who want next-gen protection for their homes.
Why we love it:
- Free smart home monitoring kits with policy
- Fast online quotes
- Broad coverage options (including electronics & home office gear)
- Great customer reviews
Heads up: Hippo isn’t available in every state yet, so double-check availability.
5. Nationwide – Best Overall Value
Nationwide strikes that sweet spot of strong coverage, good pricing, and helpful customer service—making it a safe bet for first-timers.
Why it stands out:
- Reliable claims service
- Options for water backup and identity theft
- Available in nearly every state
- Discount for purchasing coverage before closing
Insider Tip: Use Nationwide’s bundling calculator to find your best deal.
What to Look for in a First-Time Buyer Homeowner’s Insurance Policy
Here’s a quick checklist for comparing policies:
- Dwelling Coverage – Will it fully rebuild your home after a disaster?
- Personal Property – Does it cover things like laptops, clothes, and furniture?
- Deductibles – Can you afford the out-of-pocket costs if you need to file a claim?
- Liability Protection – Covers injuries to others on your property
- Loss of Use – Pays for hotels if your home becomes unlivable
Smart Tips for First-Time Buyers
- Shop around: Don’t accept the first quote—compare at least 3 options.
- Ask about bundling: Most companies offer big savings if you combine home and auto.
- Raise your deductible: You’ll lower your monthly premium (just have an emergency fund ready).
- Improve your home’s safety: Things like smoke detectors and deadbolts can snag you discounts.
- Review your policy yearly: Needs change—so should your coverage.
Looking for more budget friendly options? Read our Cheapest Homeowners Insurance guide for a complete walkthrough.
Final Thoughts: Protecting Your First Home Starts with the Right Plan
Buying a home is one of the biggest milestones of your life protecting it should be just as important. The top 5 homeowner’s insurance plans for first-time buyers in 2025 we’ve listed above are reliable, easy to manage, and packed with features that suit new homeowners.
Ready to get started?
Take 10 minutes to compare quotes from these top insurers, and you’ll be one step closer to securing your new home with confidence and peace of mind.
