Pennsylvania Homeowners Pay Some of the Lowest Insurance Costs In The Country, Even Though Neighbors Pay The Highest

Pennsylvania homeowners pay some of the lowest home insurance premiums in the country, even as costs continue to climb in many parts of the U.S.

While coastal and climate-exposed states grapple with steep increases, new data from the U.S. Census Bureau and the 2025 Climate Risk Report show that Pennsylvania households remain largely shielded from the affordability crisis.

Pennsylvania’s Insurance Costs Stay Affordable

According to the American Community Survey (ACS) data from the U.S. Census Bureau, Pennsylvania homeowners with a mortgage typically pay $1,000–$1,499 annually for homeowners insurance, while those without a mortgage average just $800–$999. Overall statewide costs fall into the $800–$999 range.

Pennsylvania has 3,713,956 insured homeowner households in total—2,106,687 with a mortgage and 1,607,269 without. Among mortgaged owners, 188,610 pay less than $100 annually and 69,529 pay $4,000 or more. Among those without a mortgage, 252,840 pay less than $100 and 37,955 pay $4,000 or more.

Compared with nearby states, Pennsylvania is among the most affordable. New York and New Jersey homeowners with a mortgage typically pay $1,000–$1,499, aligning closely with Pennsylvania. Delaware is even cheaper for non-mortgaged households, averaging $800–$999. By contrast, Connecticut and Massachusetts are higher, averaging $1,500–$1,999 for mortgaged households. Maryland also averages $1,000–$1,499, making Pennsylvania part of a low-cost Mid-Atlantic cluster.

Climate Risks Across the Region

The Climate Risk Report highlights how the steepest insurance burdens are concentrated in the South. Miami homeowners pay the most in the nation, with average annual premiums of $22,718, or 3.7% of median home value. Florida metros such as Cape Coral, Sarasota, and Tampa also rank among the highest.

Pennsylvania does not appear in the report’s rankings of metros with the steepest insurance burdens, nor is it highlighted for flood, hurricane, or wildfire risks. While parts of the state face localized flooding and severe storms, these hazards have not driven premiums significantly higher.

However, the nearby New York–Newark–Jersey City metro, which includes northern New Jersey that borders Pennsylvania, ranks among the top U.S. markets for hidden flood exposure. The region shows a $95.3B gap in home values at severe or extreme flood risk that fall outside FEMA flood zones. That means many homeowners may underestimate their true exposure, leaving them without flood insurance.

A National Affordability Challenge

Even though Pennsylvania homeowners enjoy relatively low premiums, affordability is an increasing concern across the country. 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 challenges renewing or obtaining coverage.

These pressures are already shaping homebuying behavior. Nearly 30% of buyers said they had completely changed their search areas because of insurance concerns, while another quarter reported overhauling their strategies altogether. A recent analysis of migration patterns shows that some buyers are actively relocating to markets with the lowest home insurance premiums, shifting demand across state lines.

Even more troubling, 58% of homeowners nationwide said they would consider dropping insurance altogether if premiums rose too high, with younger buyers the most likely to take that risk.

Pennsylvania’s Outlook

For Pennsylvania households, relatively low homeowners insurance costs provide stability compared with national hot spots. Still, with climate risks intensifying across the U.S., residents may want to use a home insurance comparison tool to evaluate coverage options. While Pennsylvania currently enjoys an affordability advantage, pressures from rising risks could make insurance more costly in the years ahead.

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