Introduction
Owning a home over 50 years old comes with unique charm—original hardwood floors, vintage architectural details, and a sense of history. However, insuring these older properties can be more expensive and complex than modern homes due to outdated systems, rare materials, and higher rebuilding costs.
Standard home insurance often falls short for older houses, leaving owners needing specialized coverage. This guide will help you find the best insurance options for homes built before 1974, including:
- Why Older Homes Cost More to Insure
- Key Features to Look for in Older Home Insurance
- Top 6 Insurance Providers for 50+ Year-Old Homes
- How to Save Money on Older Home Insurance
- Common Mistakes to Avoid
By the end, you’ll know exactly which insurers offer the best coverage and how to protect your vintage home without overpaying.
1. Why Homes Over 50 Years Old Cost More to Insure
A. Higher Rebuilding Costs
- Custom features (plaster walls, stained glass, solid wood doors) are expensive to replicate.
- Many insurers require “replacement cost” coverage instead of actual cash value (ACV).
B. Outdated Systems Increase Risk
- Knob-and-tube wiring (fire hazard)
- Galvanized steel pipes (prone to leaks)
- Older roofs & foundations (may not meet modern codes)
C. Building Code Upgrades Required
- After damage, older homes often need electrical, plumbing, or structural upgrades to meet current laws.
- Standard policies may not cover these extra costs.
D. Specialized Labor & Materials
- Finding craftsmen skilled in historic restoration can be difficult and costly.
- Some original materials (e.g., heart pine flooring) are no longer available, requiring pricier alternatives.
E. Higher Claim Frequency
Data shows homes built before 1970 file 27% more claims than newer homes, mainly for:
✔ Water damage
✔ Fire damage
✔ Structural issues
2. Key Features to Look for in Older Home Insurance
When comparing policies, ensure yours includes:
Guaranteed Replacement Cost – Covers full rebuilding expenses, even if they exceed policy limits.
Ordinance or Law Coverage – Pays for mandatory code upgrades after damage.
Specialized Repair Clauses – Ensures repairs use historically accurate materials.
Water Backup Coverage – Older plumbing is prone to sewer backups.
Flexible Deductibles – Lets you balance premiums vs. out-of-pocket costs.
3. Top 6 Insurance Providers for 50+ Year-Old Homes
We compared insurers based on coverage options, affordability, and customer satisfaction to find the best options for older homes.
1. Foremost Insurance (Best for Affordable Basic Coverage)
- Best for: Modestly priced older homes (50+ years).
- Pros:
- Specializes in older and historic homes.
- Covers unique architectural features.
- More lenient underwriting than standard insurers.
- Cons:
- Not available in all states.
- Avg. Annual Premium: 1,200–1,200–2,000
2. State Farm (Best for Bundling Discounts)
- Best for: Owners who want a well-known insurer with flexible policies.
- Pros:
- 10–20% discount when bundling home + auto.
- Strong financial stability (A++ rating).
- Cons:
- May need add-ons for full historic coverage.
- Avg. Annual Premium: 1,500–1,500–2,500
3. Chubb (Best for High-Value Historic Homes)
- Best for: Luxury older homes needing elite coverage.
- Pros:
- Cash settlement option for antique restorations.
- Covers artisan labor and rare materials.
- Cons:
- Higher premiums.
- Avg. Annual Premium: 2,500–2,500–5,000+
4. Liberty Mutual (Best for Safety Discounts)
- Best for: Older homes with modern safety upgrades.
- Pros:
- Discounts for alarm systems, storm shutters, updated wiring.
- Good claims satisfaction.
- Cons:
- Not ideal for severely outdated homes.
- Avg. Annual Premium: 1,400–1,400–2,300
5. American Modern (Best for Unique Older Homes)
- Best for: Quirky properties like farmhouses, log cabins, or mid-century homes.
- Pros:
- Covers non-standard architecture.
- Includes outbuildings (barns, sheds).
- Cons:
- Limited in urban historic districts.
- Avg. Annual Premium: 1,300–1,300–2,200
6. Nationwide (Best for Historic Home Endorsements)
- Best for: Officially designated historic homes.
- Pros:
- “Heritage Home” endorsement for extra protection.
- Covers code compliance upgrades.
- Cons:
- Slightly higher premiums.
- Avg. Annual Premium: 1,600–1,600–2,800
4. How to Save Money on Older Home Insurance
✔ Upgrade High-Risk Systems (Save 10–25%)
- Replace knob-and-tube wiring (3,000–3,000–8,000).
- Update galvanized plumbing (2,000–2,000–5,000).
- Install a new roof (impact-resistant materials may qualify for discounts).
Increase Your Deductible (Save 10–30%)
- Raising your deductible from 500to500to2,500 can lower premiums.
Bundle Home + Auto Insurance (Save 15–25%)
- Companies like State Farm and Liberty Mutual offer big discounts for bundling.
Install Protective Devices (Save 5–20%)
- Burglar alarms
- Smoke detectors
- Water leak sensors
Seek Historic Home Discounts
- Some insurers offer discounts for:
- Homes on the National Register of Historic Places.
- Properties in local historic districts.
5. Common Mistakes to Avoid
Insuring for Market Value Instead of Replacement Cost
- Older homes often cost more to rebuild than their market value.
Skipping Ordinance or Law Coverage
- Without it, you’ll pay thousands extra for mandatory code upgrades.
Not Comparing Multiple Quotes
- Rates vary widely—always check at least 3 insurers.
Ignoring Maintenance Issues
- Insurers may deny claims if damage results from long-term neglect (e.g., unrepaired leaks).
Final Verdict: Best Insurance for Older Homes
| Provider | Best For | Avg. Annual Cost |
|---|---|---|
| Foremost | Budget-friendly basic coverage | 1,200–1,200–2,000 |
| State Farm | Bundling discounts | 1,500–1,500–2,500 |
| Chubb | High-value historic homes | 2,500–2,500–5,000+ |
| Liberty Mutual | Safety upgrades | 1,400–1,400–2,300 |
| American Modern | Unique/quirky homes | 1,300–1,300–2,200 |
| Nationwide | Historic home endorsements | 1,600–1,600–2,800 |
Best Overall Value:
- Foremost (most affordable)
- State Farm (best for bundling)
Next Steps
- Get a home inspection to identify risks.
- Compare quotes from specialized insurers.
- Ask about older home discounts.
With the right policy, you can protect your vintage home without overspending.
