Introduction
If you own an older home, finding the right home insurance can be tricky. Standard policies may not fully cover historic homes, vintage properties, or houses with outdated wiring and plumbing. This guide explores the best home insurance for older homes, including specialized coverage options, top providers, and money-saving tips.
Why Older Homes Need Special Insurance
Older homes (typically 50+ years old) have unique risks:
✔ Outdated electrical systems (knob-and-tube wiring)
✔ Aging plumbing (lead pipes, galvanized steel)
✔ Vintage materials (hard-to-replace plaster walls, original hardwood)
✔ Higher rebuild costs (custom craftsmanship, historic codes)
Standard insurers may undervalue your home or deny claims due to pre-existing wear and tear. That’s why specialized older home insurance is crucial.
Best Home Insurance Companies for Older Homes (2024)
1. State Farm – Best for Customizable Coverage
- Offers functional replacement cost (pays to rebuild with modern materials).
- Covers code upgrades (required by law during repairs).
- Discounts for bundling policies.
- May require a home inspection for older properties.
Best for: Owners who want flexible coverage adjustments.
2. Chubb – Best for High-Value Historic Homes
- Guaranteed replacement cost (no depreciation deductions).
- Covers antique fixtures and custom restoration.
- Risk consulting services (helps prevent claims).
- Higher premiums (best for luxury or historic homes).
Best for: Owners of century homes or registered historic properties.
3. Farmers – Best for Older Homes with Renovations
- Renovation insurance (covers upgrades mid-project).
- Equipment breakdown coverage (for old HVAC systems).
- Limited availability in some states.
Best for: Those updating an older home.
4. Nationwide – Best for Fair Premiums
- Ordinance or law coverage (pays for code compliance).
- Brand-new belongings replacement (no depreciation).
Strict underwriting for homes with knob-and-tube wiring.
Best for: Budget-conscious owners who need solid basic coverage.
5. American Modern – Best for Mobile/Older Manufactured Homes
- Specializes in pre-1976 mobile homes.
- Covers detached structures (sheds, garages).
- Limited add-on options.
Best for: Owners of older mobile or modular homes.
Types of Coverage Older Homes Need
1. Guaranteed Replacement Cost vs. Actual Cash Value
- Guaranteed Replacement Cost (best for older homes) → Pays full rebuild cost, even if it exceeds policy limits.
- Actual Cash Value (riskier) → Pays only depreciated value (bad for vintage homes).
2. Ordinance or Law Coverage
Covers mandatory upgrades during repairs (e.g., bringing wiring up to code).
3. Historic Home Insurance
- For homes on historic registries.
- Covers specialized restoration (period-accurate materials).
4. Vacant Home Insurance (If Unoccupied)
Standard insurers may drop coverage if the home is vacant for 30+ days.
How to Save on Older Home Insurance
1. Bundle Policies (Auto + Home)
Save up to 20% by combining policies.
2. Upgrade Electrical & Plumbing
Reducing risks can lower premiums (e.g., replacing knob-and-tube wiring).
3. Install Safety Devices
- Burglar alarms → 5% discount.
- Storm shutters → 10% discount in hurricane zones.
4. Choose a Higher Deductible
A $1,000+ deductible can reduce monthly costs.
Common Exclusions in Older Home Insurance
⚠ Wear and tear (maintenance is your responsibility).
⚠ Flooding (requires separate flood insurance).
⚠ Earthquakes (needs an add-on policy).
⚠ Neglect-related damage (e.g., untreated termite infestations).
Final Verdict: Best Insurance for Older Homes
| Provider | Best For | Avg. Annual Cost |
|---|---|---|
| State Farm | Customizable coverage | 1,200−1,200−2,500 |
| Chubb | High-value historic homes | 2,500−2,500−5,000+ |
| Farmers | Homes under renovation | 1,500−1,500−3,000 |
| Nationwide | Budget-friendly coverage | 1,000−1,000−2,200 |
| American Modern | Older mobile/manufactured homes | 800−800−1,800 |
FAQs About Older Home Insurance
1. Is home insurance more expensive for older homes?
Yes, due to higher rebuild costs and increased risks.
2. Will insurers cover knob-and-tube wiring?
Some do (with inspections), but many require upgrades.
3. Can I get insurance for a vacant older home?
Yes, but you’ll need a vacant home insurance policy.
4. Does home insurance cover foundation issues in old homes?
Only if caused by a covered peril (e.g., burst pipes). Normal settling is excluded.
Conclusion
Older homes need specialized insurance to cover unique risks and rebuild costs. Compare quotes from State Farm, Chubb, and Nationwide to find the best policy. Upgrading wiring, plumbing, and security can also lower premiums.
