2026 Landlord Insurance Cost Data by State in United States

Last Updated: July 2026

Landlord insurance costs an average of $2,643 per year in 2026, but statewide averages run from $1,504 in Oregon to $4,509 in Florida, a threefold spread that can make or break a rental property’s cash flow. As part of our rental real estate data and research library, this guide covers premium data, 2026 estimates, and year-over-year rate changes for all 50 states, plus a statistic you will not find anywhere else: how much gross rental income insurance actually consumes in each state.

On This Page

• Key Facts: Landlord Insurance Pricing in 2026
• Landlord Insurance Cost by State in 2026
• Landlord Insurance Cost by Year: 2025 to 2027
• Landlord Insurance Cost as a Percentage of Rent by State
• Landlord Insurance Cost as a Percentage of Rental Income by State
• Find and Compare Landlord Insurance Near You
• Landlord Insurance Cost by Coverage Amount and Policy Type
• Landlord Insurance vs. Homeowners, Condo, and Renters Insurance Costs
• How to Lower Your Landlord Insurance Premium
• Frequently Asked Questions

Key Facts: Landlord Insurance Pricing in 2026

• National average landlord insurance cost: $2,643 per year ($220 per month)
• Cheapest state: Oregon at $1,504 per year
• Most expensive state: Florida at $4,509 per year
• Landlord vs. homeowners premium difference: about 25 percent
• Most recent validated national increase: 11.2 percent (NAIC, 2021 to 2022)
• Fastest-rising state: South Dakota at +38.3 percent year over year
• Insurance as a share of gross rent: 13.7 percent in the median state, 33.2 percent in Louisiana
• Projected 2027 national average: $2,775 per year

Landlord Insurance Cost by State in 2026

The table below shows the estimated average landlord insurance cost in every state for 2026, alongside each state’s insurance burden as a share of rent, a published market benchmark, the most recent validated year-over-year change, and the primary factor driving prices in that state.

Landlord Insurance Cost by Year: 2025 to 2027

The figures below apply RentalRealEstate’s national growth assumptions to each state’s premium base, showing the projected dollar path from 2025 through 2027. State-specific historical changes appear in the YOY Increase column of the table above.

Landlord Insurance Cost as a Percentage of Rent by State

Annual premium alone does not tell an investor what insurance actually costs. The table below divides each state’s monthly insurance cost by average monthly rent, showing how much of every rent dollar insurance consumes.

Landlord Insurance Cost as a Percentage of Rental Income by State

Annual premium alone does not tell an investor what insurance actually costs, because a $2,500 policy means something very different on a property renting for $2,500 per month than on one renting for $1,100. To measure the true burden, we divided each state’s estimated 2026 landlord insurance cost by twelve months of average state rent using RentalRealEstate market rent price data. The result inverts the conventional wisdom about cheap and expensive states.

Landlord insurance consumes 13.7 percent of gross rental income in the median state, but over 33 percent in Louisiana, according to RentalRealEstate data. The states with the highest absolute premiums and comparatively low rents, concentrated along the Gulf Coast and the southern Plains, are where insurance takes the largest bite out of revenue. Meanwhile, high-rent coastal and mountain states look expensive on the premium table but rank as the lightest insurance burden in the country relative to income.

When underwriting a rental property investment, this ratio belongs in your expense assumptions alongside taxes and management. A property in Oklahoma or Louisiana can look attractive on purchase price and still underperform a pricier market once insurance claims its share of every rent check.

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Find and Compare Landlord Insurance Near You

Explore our full rental property insurance hub, or jump directly to your state below.

Landlord Insurance Cost by Coverage Amount and Policy Type

Your dwelling coverage limit is the biggest lever on price after location. Premiums scale with the cost to rebuild the structure, so a policy insuring $500,000 of dwelling costs far more than one insuring $150,000 in the same ZIP code. The national and state averages on this page reflect policies clustered in the $300,000 to $400,000 dwelling range, which is the most common setting for a single-family rental. Properties insured near $100,000, typically older homes and low-cost markets, generally run well below their state average, while properties at $500,000 and above run well above it, with high-value coastal properties climbing fastest.

The policy form matters almost as much as the limit. A landlord policy is written on one of three dwelling fire forms:

DP-1 (Basic Form) is the cheapest and narrowest. It covers only named perils such as fire and lightning, usually pays claims at actual cash value, which deducts depreciation, and is best reserved for vacant or very low-value properties.

DP-2

DP-2 (Broad Form) adds perils like windstorm, hail, and theft, and typically includes loss of rental income for covered events.

DP-3

DP-3 (Special Form) is the standard for occupied rentals. It covers all perils except those specifically excluded, generally pays at replacement cost, and bundles liability and loss of rent coverage. Most figures quoted across the industry, including the averages on this page, reflect DP-3-style coverage. The premium gap between a DP-1 and a DP-3 on the same property is real, but so is the coverage gap: an actual cash value payout on a 20-year-old roof can leave a landlord tens of thousands of dollars short of the replacement bill. Note that dwelling fire forms cover one-to-four unit residential rentals; larger multifamily and mixed-use buildings require commercial real estate insurance instead.

Landlord Insurance vs. Homeowners, Condo, and Renters Insurance Costs

Landlord insurance is the most expensive of the four residential policy types because it carries the most risk. Applying the same growth assumptions behind our 2026 estimates, the average homeowners policy runs about $2,114 per year in 2026, which puts the $2,643 landlord average almost exactly 25 percent higher, matching the industry-standard markup. The difference reflects higher claim frequency in tenant-occupied homes, larger liability limits, and loss of rent coverage that homeowners policies do not carry.

Condo insurance for a rented unit (an HO-6 with landlord provisions) comes in well below both, because the association’s master policy covers the building shell and the owner insures only the interior and liability. Renters insurance is the cheapest by far, averaging under $200 per year nationally, because it covers only the tenant’s belongings and personal liability, not the structure. The two policies are complements, not substitutes: your landlord policy does not cover your tenant’s property, which is why most landlords require tenants to carry their own renters policy in the lease.

Two supplemental policies round out a complete coverage stack. Rent guarantee insurance covers missed rent when a tenant defaults, a gap that the loss of rent coverage in a standard landlord policy does not address, since that only applies when the property is damaged by a covered peril. An umbrella policy adds liability protection above the limits of the underlying landlord policy, which matters most for investors with multiple properties or significant equity to protect.

How to Lower Your Landlord Insurance Premium

Raise your deductible. Moving from a $1,000 to a $2,500 or $5,000 deductible typically cuts the premium meaningfully, and on a rental you control repair timing in a way an owner-occupant does not.

Fix the roof before it prices you. Roof age is one of the heaviest rating factors, and many carriers quietly downgrade older roofs to actual cash value payouts. A documented roof replacement often pays for part of itself in premium.

Document safety upgrades. Monitored alarms, water leak sensors, smart smoke detectors, and updated wiring and plumbing all earn credits with most carriers.

Insure to rebuild cost, not purchase price. Over-insuring wastes premium and under-insuring invites coinsurance penalties. Get the rebuild number right and revisit it annually as construction costs move.

Bundle and consolidate. Multi-property discounts with a single carrier, or pairing the landlord policy with your personal lines, routinely saves 10 to 20 percent.

Match the policy form to the property. A vacant property between tenants belongs on a vacant policy, a stabilized long-term rental belongs on a DP-3, and paying DP-3 rates for a property that qualifies for different coverage, or vice versa, leaves money on the table.

Shop it every two to three years. State markets reprice constantly, and the carrier that was cheapest at purchase is often not cheapest at the third renewal. Comparing landlord insurance providers against your incumbent is the fastest single check.

Frequently Asked Questions

How much does landlord insurance cost in 2026?

Landlord insurance costs an average of $2,643 per year, or about $220 per month, in 2026 based on RentalRealEstate estimates built from NAIC state premium data. Statewide averages range from about $1,504 in Oregon to $4,509 in Florida, and individual quotes vary with dwelling coverage, property condition, and ZIP code.

Why is landlord insurance more expensive than homeowners insurance?

Landlord insurance costs about 25 percent more than homeowners insurance on the same property. Tenant-occupied homes generate more frequent claims, landlords carry larger liability limits to protect against tenant and guest lawsuits, and landlord policies include loss of rental income coverage that homeowners policies do not.

What is the cheapest state for landlord insurance?

Oregon is the cheapest state for landlord insurance in 2026 at an estimated $1,504 per year. Utah, Nevada, Wisconsin, and Ohio round out the five cheapest states, all under $1,700 annually.

What is the most expensive state for landlord insurance?

Florida is the most expensive state for landlord insurance in 2026 at an estimated $4,509 per year, followed by Louisiana at $4,384 and Texas at $4,037. Hurricane and severe storm exposure drives all three.

Is landlord insurance required by law?

No state requires landlord insurance by law. In practice, lenders require it on financed rental property loans, and a standard homeowners policy will generally deny claims on a tenant-occupied home, so nearly all landlords carry a dedicated dwelling policy.

Is landlord insurance tax deductible?

Yes. Landlord insurance premiums are generally deductible as a rental business expense on Schedule E, including dwelling, liability, and loss of rent coverage. Confirm treatment for your situation with a tax professional.

How much of my rental income will insurance consume?

In the median state, landlord insurance consumes about 13.7 percent of gross rental income in 2026. The burden ranges from about 7 percent in Hawaii, Vermont, and Oregon to 33.2 percent in Louisiana, based on RentalRealEstate rent and premium data.

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