Best Homeowners Insurance in Arizona: Top Picks and Key Insights
Finding the right homeowners insurance in Arizona can be tricky, but the good news is that several providers offer excellent coverage at competitive rates. Our list is based on extensive research and mirrors many of the top companies that also ranked highly in national homeowners insurance studies.
Below, we’ll walk you through the best insurers in the state, essential coverage options Arizona homeowners should consider, and practical tips to save money on your policy.
Key Takeaways About Owning a Home in Arizona
Owning a home in Arizona comes with its own financial challenges. While property taxes and insurance costs are lower than in many states, higher-than-average home prices make affordability a concern.
Here are some numbers to keep in mind:
- Average home value: $426,164 (down 3.0% from last year, according to Zillow).
- Property taxes: Just 0.45% on average, with a typical annual tax bill of about $1,244 (Quicken Loans).
- Insurance costs: Arizona homeowners spend about 1.0% of their income on home insurance, which is less than in neighboring states like New Mexico, Texas, and Colorado (Freddie Mac).
How We Selected the Best Homeowners Insurance Companies in Arizona
We evaluated 15 different insurers, dedicating over 1,000 research hours and analyzing more than 20 performance factors. Our picks prioritize:
- Strong financial ratings (AM Best)
- Customer satisfaction (J.D. Power studies & NAIC complaint index)
- Range of coverage options, including add-ons like flood insurance and replacement cost coverage
- Market presence in Arizona
Top Homeowners Insurance Companies in Arizona
Here are our top picks, listed alphabetically. Each insurer stands out for coverage quality and customer satisfaction.
AIG
Financial Rating: A (Excellent) – AM Best
Highlights:
- Luxury coverage for high-value homes (up to $100M)
- Guaranteed replacement cost (no limits)
- Specialized options: cybersecurity, landscaping, international coverage, business property insurance
- Ultra-high deductible options to lower premiums
AIG is ideal for homeowners with high-value properties who want comprehensive, customizable protection.
Amica
Financial Rating: A+ (Superior) – AM Best
Highlights:
- Excellent customer service & contractor database with 5-year guarantees
- Discounts for bundling, loyalty, autopay, alarms, and claim-free policies
- Fewer NAIC complaints than average for its size
While not the cheapest option, Amica is perfect for homeowners who value exceptional service and claim support.
Chubb
Financial Rating: A++ (Superior) – AM Best
Highlights:
- Masterpiece policy with unique benefits (risk consulting, hijacking/home invasion coverage)
- High flood coverage limits ($15M)
- Cash settlement option if you choose not to rebuild
- Discounts for safety upgrades, gated communities, and more
Chubb is expensive but worth it for homeowners who want premium protection and added peace of mind.
State Farm
Financial Rating: A++ (Superior) – AM Best
Highlights:
- Largest U.S. insurer with strong Arizona presence
- Discounts for bundling and protective devices
- Policies sold exclusively through local State Farm agents
State Farm is widely accessible, making it a solid choice for homeowners who want personalized service with local agents.
USAA (for military families only)
Financial Rating: A++ (Superior) – AM Best
Highlights:
- Guaranteed replacement cost included at no extra charge
- Top-ranked for customer satisfaction (J.D. Power)
- Home-sharing coverage (Airbnb/Vrbo rentals) available
- Low premiums compared to competitors
For active-duty military, veterans, and their families, USAA offers unbeatable value and service.
Important Insurance Considerations in Arizona
Arizona’s unique climate and geography create specific risks that homeowners should prepare for:
- Wildfires & House Fires: Dry conditions and extreme heat increase fire risks.
- Monsoon Season Damage: High winds, rain, and dust storms can cause roof and structural damage.
- Hail Damage: Monsoon storms sometimes bring hail, damaging siding and roofs.
- Flooding: Flash floods are common; standard policies don’t cover flood damage, so consider separate flood insurance.
Tips to Save on Homeowners Insurance in Arizona
- Bundle policies: Combine auto and home insurance to save 5–15%.
- Use discounts: Loyalty, autopay, paperless billing, new roof, and security systems can all lower premiums.
- Raise deductibles: Higher deductibles reduce premiums but increase out-of-pocket costs if you file a claim.
- Review your policy yearly: Update coverage after home improvements or major purchases.
- Adjust coverage cautiously: Switching from replacement cost to actual cash value coverage can reduce premiums but limits payout.
Methodology
We ranked insurers using four main criteria:
- Customer Satisfaction: Based on J.D. Power’s 2025 Property Claims Satisfaction Study and NAIC complaint data.
- Financial Strength: Ratings from AM Best and Demotech.
- Coverage Options: Unique features like flood insurance, replacement cost, and specialty coverage.
- Market Presence: Nationwide availability and share of Arizona’s homeowners insurance market.
Summary: Best Homeowners Insurance in Arizona
Arizona homeowners benefit from low property taxes and affordable insurance rates, but wildfire, monsoon damage, and flooding remain real risks. The best insurer for you depends on your budget, service expectations, and coverage needs.
- Best for luxury homes: AIG, Chubb
- Best for service: Amica
- Best for accessibility: State Farm
- Best for military families: USAA
