Hi! I’m Monica, and today I want to share the rollercoaster experience my husband, Alex, and I had as new homeowners navigating the world of home insurance for the very first time.
When we finally closed on our adorable little craftsman-style home in a quiet North Carolina neighborhood, we were over the moon. 
After years of apartment living and dreaming about a place of our own, the dream became real.
But the moment we started talking about insurance, reality hit hard. I remember looking at Alex and saying:
“Do we even know what we’re doing here?”
We didn’t. 
So we dove headfirst into research, asked a lot of questions, got a few quotes that made us blink twice, and eventually found a policy that gave us peace of mind without emptying our savings.
Here’s what we learned—and how you can find the right home insurance as a new homeowner too.
What We Didn’t Know About Home Insurance (But Learned Quickly)
We knew we needed it—our lender required it. But when we got our first quote? $2,400/year.
My jaw dropped.
What we didn’t realize at first was that home insurance isn’t one-size-fits-all. There’s more to it than just picking a company and paying a bill.
Here’s what you need to know as a new homeowner:
 Coverage Type |
 Why It Matters |
|---|---|
| Dwelling Coverage | Covers the structure of your home if it’s damaged or destroyed |
| Personal Property | Covers your stuff (furniture, clothes, electronics) |
| Liability Coverage | If someone gets hurt on your property, this covers legal costs |
| Medical Payments | Helps pay for minor injuries to guests |
| Loss of Use (ALE) | Pays for hotel/rent if you can’t live in your home after damage |
| Deductible | The amount you pay before insurance kicks in |
We realized quickly that underinsuring or overinsuring could cost us more than we thought.
Comparing Quotes: Who We Looked At
We used a couple of comparison tools and also spoke to local agents. Here’s a breakdown of the quotes we received for our 3-bedroom, 1,800 sq ft home:
 Insurance Company |
 Annual Quote |
 Best For |
|---|---|---|
| State Farm | $1,428 | Trusted agents, strong local presence |
| Allstate | $1,382 | Great bundling with auto insurance |
| GEICO (partnered with Homesite) | $1,336 | Fast online process |
| Lemonade | $1,245 | Digital-first, great for younger homeowners |
| Progressive | $1,312 | Offers custom packages for new homes |
| Hippo | $1,268 | Fast quotes, good tech integrations |
We ended up choosing Hippo Insurance. It was the perfect balance of cost, coverage, and a modern digital experience we both liked.
What Our Policy Included
We went with a $1,268 annual premium and a $1,000 deductible, which felt reasonable for us. Here’s a snapshot of our coverage:
| Coverage Type |
Our Amount |
|---|---|
| Dwelling | $310,000 |
| Personal Property | $75,000 |
| Liability | $300,000 |
| Medical Payments | $5,000 |
| Loss of Use | $25,000 |
| Water Backup |  Included |
| Equipment Breakdown | Included |
| Earthquake/Flood |  (not needed for our area) |
We added equipment breakdown coverage for our new appliances, and water backup protection just in case—we’ve heard horror stories from neighbors. 
Discounts That Helped Us Save
We weren’t going to leave any savings on the table. Here’s what we qualified for:
| Discount |
Did We Get It? |
|---|---|
| New home construction | Yes (built in 2021) |
| Security system | Yes (door sensors + smart camera) |
| Bundled with auto insurance | Yes (with Progressive) |
| Smoke detectors & carbon monoxide alarms | Yes |
| Fire extinguisher on premises | Yes |
| Paperless billing & autopay | Yes |
| First-time buyer discount | Yes!  |
In total, we saved about $370/year just through discounts. Worth every email and phone call.
Lessons We Learned As First-Time Homeowners
1. Start Early (Before Closing Day!)
We almost waited too long. Get your quotes before you close, especially if your lender needs proof of insurance for underwriting.
2. Don’t Choose Just the Cheapest Option
Lemonade had the lowest price, but it didn’t include water backup, and their liability limit was lower. The cheapest isn’t always best.
3. Ask About Regional Add-ons
In North Carolina, flooding can be an issue in some areas. We asked our agent if we needed extra flood coverage—thankfully, we didn’t. But it’s worth asking.
4. Raise Your Deductible (But Not Too Much)
A $1,000 deductible gave us solid savings without making emergencies unaffordable. $2,500 would have saved more—but felt risky.
5. Inventory Everything You Own
We used an app to document everything: electronics, appliances, furniture, even clothes. That list is gold if we ever need to make a claim. 
Questions We Asked (That You Should Too)
What does my mortgage lender require in a policy?
Minimum dwelling coverage—often equal to the loan amount—but check with them.
Does this policy cover wind, hail, or water damage?
Always confirm. Some basic policies exclude certain types of water damage, especially in high-risk areas.
What’s the claims process like?
We chose Hippo partly because they had fast, tech-friendly claims processing. Make sure you know what to expect before you need it.
Can I cancel and switch if I find a better rate?
Yes. You can cancel your policy anytime and often get a pro-rated refund—just don’t let coverage lapse.
Tools That Helped Us
 Tool |
 Why It Was Useful |
|---|---|
| Policygenius | Compared multiple quotes easily |
| Hippo.com | Fast online quoting & buying |
| Lemonade app | We tested it—it’s slick & simple |
| Google Sheets | We built a spreadsheet to compare quotes |
| Sortly (Inventory app) | We logged everything we own for personal property tracking |
Final Thoughts From a First-Time Homeowner (Still Smiling 
)
Buying a home was a huge step—but figuring out home insurance as a new homeowner was a whole different challenge. I’m so glad we didn’t just click the first ad we saw or take the lender’s default suggestion.
Here’s my advice for fellow new homeowners:
Compare quotes early—at least 4 or 5- Customize your coverage for your home’s risks
Ask for every possible discount
Choose a deductible that balances cost and confidence
Don’t be afraid to ask real agents questions—even if you go digital
Now Alex and I can finally just enjoy our home. The cozy nights, the creaky wood floors, and even the weird old attic we’re still too scared to go in. 
But more than anything, we sleep better knowing that if anything happens—we’re covered.
* This article was originally published here