Delaware Homeowners Pay Some of the Lowest Insurance Costs In The Country

Delaware homeowners benefit from some of the lowest average insurance costs in the nation, even as premiums soar in coastal and climate-vulnerable markets elsewhere.

Data from the U.S. Census Bureau and the Realtor.com® 2025 Climate Risk Report show that the First State continues to maintain affordability, though some households still face challenges at the high end of the spectrum.

Delaware’s Insurance Costs Stay Affordable

The latest American Community Survey (ACS) data from the U.S. Census Bureau shows that in 2024, Delaware homeowners with a mortgage typically pay $1,000–$1,499 annually for homeowners insurance, while those without a mortgage average $800–$999. Overall statewide costs fall into the $800–$999 range.

Delaware has 304,189 insured homeowner households in total—191,093 with a mortgage and 113,096 without. Among mortgaged owners, 20,560 pay less than $100 annually and 4,252 pay $4,000 or more. Among those without a mortgage, 19,111 pay less than $100 and 2,880 pay $4,000 or more.

Compared with nearby states, Delaware stands out as one of the more affordable markets. Maryland homeowners typically pay $1,000–$1,499 regardless of mortgage status, while Pennsylvania homeowners with a mortgage average $1,000–$1,499 and those without average $800–$999.

New Jersey falls in the $1,000–$1,499 range for both groups, and New York is the same. This puts Delaware at the low end of the Mid-Atlantic, offering a notable advantage in insurance affordability compared with its neighbors.

Climate Risks Across the Region

While costs remain low, climate risks still loom. The Realtor.com 2025 Climate Risk Report highlights that the heaviest insurance burdens fall on coastal markets in the South. Miami homeowners, for instance, pay an average of $22,718 annually, or 3.7% of median home value. Cape Coral, Sarasota, and Tampa also rank among the most expensive, where premiums consume more than 2% of home values.

Delaware does not appear among the metros with the steepest insurance burdens, nor does it feature on the lists of highest flood or wind exposures.

Delaware has dealt with eight major disasters in the past five years, four of which were severe storms. Losses from those disasters were relatively low for Delaware, with nearby states absorbing much of the damage, according to the National Centers for Environmental Information.  Insurify reports that these events have caused $385 million in damages since the beginning of 2020. Only Alaska, New Hampshire, and D.C. have incurred fewer damages during the same time frame.

Still, as a coastal state, Delaware remains vulnerable to storms and flooding along its shoreline. These risks may not yet be reflected in Census averages but could put upward pressure on costs in the years ahead.

A National Affordability Challenge

Even as Delaware homeowners benefit from lower costs, national affordability concerns are growing. The Realtor.com 2025 Insurance Affordability Report found that 75% of Americans believe homeowners insurance could soon become unaffordable, while nearly half said they had already faced difficulties renewing or obtaining coverage.

The rising financial burden is reshaping housing choices. Nearly 30% of homebuyers said they completely changed the geographic area of their search due to insurance concerns, while another quarter said they had overhauled their buying strategy entirely. More than half of homeowners also said they would consider dropping their insurance altogether if costs rose further, with 76% of Gen Z buyers especially likely to do so.

For now, Delaware remains an outlier of affordability, offering some of the lowest costs in the Mid-Atlantic. But as climate risks intensify along the East Coast, even states with relatively low premiums may face pressure in the future.

This article was produced with editorial input from Dina Sartore-Bodo, Gabriella Iannetta, and Allaire Conte.