Is Auto-Owners Homeowners Insurance Legit? A Look At Its Products, Cost, Benefits, Drawbacks, Reviews

Is Auto-Owners Homeowners Insurance Legit? A Complete Guide

Homeowners insurance is a type of property insurance that protects your home and personal belongings from various risks, such as fire, theft, vandalism, and natural disasters.

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Auto-Owners homeowners insurance claims to offer flexible and comprehensive coverage, high-quality customer service, and multiple discounts and savings. But is it worth it? Read this honest and detailed guide to find out/PHOTO COURTESY: Freepik

It also covers your liability if someone gets injured on your property or you cause damage to someone else’s property.

However, not all homeowners insurance companies are the same.

Some may offer better coverage, customer service, and prices than others.

This article will review one of the most reputable homeowners insurance companies, Auto-Owners.

What is Auto-Owners Homeowners Insurance?

Auto-Owners is a homeowners insurance company that has been in business since 1916.

It is the 12th largest home insurance company in the nation, with over 3 million policyholders.

Auto-Owners operates in 26 states and has more than 6,300 independent agents who sell and service its policies.

It has an A++ rating from AM Best, which indicates superior financial strength and stability.

It also has a low complaint ratio from the National Association of Insurance Commissioners, which means that it receives fewer complaints than the average home insurance company.

Auto-Owners homeowners insurance Products

It offers standard coverage options, such as:

  1. Dwelling coverage, which pays to repair or rebuild your home if it is damaged by a covered peril, such as fire, wind, hail, or lightning.
  2. Other structures coverage, which pays to repair or replace detached structures on your property, such as a fence, shed, or garage.
  3. Personal property coverage, which pays to repair or replace your personal belongings, such as furniture, clothing, or electronics, if they are stolen or damaged by a covered peril.
  4. Loss of use coverage, which pays for your additional living expenses, such as hotel bills, restaurant meals, or pet boarding, if you have to live elsewhere while your home is being repaired or rebuilt.
  5. Personal liability coverage, which pays for your legal expenses and damages if you are sued for causing bodily injury or property damage to someone else.
  6. Medical payments coverage, which pays for the medical bills of someone who is injured on your property, regardless of who is at fault.

Endorsements and Add-ons

In addition to the standard coverage options, Auto-Owners also offers optional endorsements and add-ons that can enhance your policy, such as:

  • Guaranteed home replacement cost, which pays the full cost to rebuild your home, even if it exceeds your policy limit, as long as you meet certain requirements.
  • Homeowners Plus provides extra coverage for water damage, food spoilage, lock replacement, and more.
  • Equipment breakdown, which covers the repair or replacement of your home appliances and systems, such as your furnace, air conditioner, refrigerator, or water heater, if they break down due to mechanical or electrical failure.
  • Identity theft, which pays for the expenses and services related to restoring your identity if it is stolen or compromised.
  • Service line, which covers the repair or replacement of your underground utility lines, such as water, sewer, gas, or electric, if they are damaged by a covered peril.
  • Ordinance or law, which pays for the increased costs of complying with the current building codes and regulations when repairing or rebuilding your home after a covered loss.
  • Special personal property, which provides broader coverage for your personal belongings, such as jewellery, furs, firearms, or collectables, and covers more perils, such as accidental loss or damage.

How Much Does Auto-Owners Homeowners Insurance Cost?

The cost of Auto-Owners homeowners insurance depends on various factors, such as:

  • The location, size, age, and condition of your home.
  • The amount and type of coverage you choose.
  • The deductible you select is the amount you have to pay out of pocket before the insurance kicks in.
  • The discounts you qualify for, such as bundling, loyalty, paid-in-full, protective devices, and more.

According to Forbes Advisor, the average home insurance cost for a dwelling coverage of $350,000 from auto owners is $1,645 per year.

This is higher than the national average of $1,582 per year and higher than some of its competitors, such as Progressive, USAA, and State Farm.

However, your actual premium may vary depending on your circumstances and preferences.

What Are the Benefits of Auto-Owners Homeowners Insurance?

Auto-Owners homeowners insurance has several benefits, such as:

  • High-quality customer service: Auto-Owners has a reputation for providing excellent customer service and satisfaction. It has a low complaint ratio from the NAIC, which indicates that it handles claims and inquiries efficiently and fairly. It also has a network of independent agents who can offer personalized advice and assistance to its customers.
  • Flexible and comprehensive coverage: Auto-Owners offers a wide range of coverage options and endorsements that can suit different needs and budgets. You can customize your policy to get the level of protection you want for your home and belongings. You can also benefit from the guaranteed home replacement cost feature, which ensures that you can rebuild your home without worrying about the policy limit.
  • Multiple discounts and savings: Auto-Owners offers various discounts and savings opportunities that can lower your premium. For example, you can save money by bundling your home and auto insurance, paying your premium in full, having a good payment history, installing protective devices, and more.

What Are the Drawbacks of Auto-Owners Homeowners Insurance?

Auto-Owners homeowners insurance also has some drawbacks, such as:

  • High cost: Auto-Owners homeowners insurance is more expensive than the average home insurance company, and more expensive than some of its competitors. You may be able to find cheaper rates from other providers, especially if you have a low-risk profile or a newer home.
  • Limited availability: Auto-Owners homeowners insurance is not available in every state. You can only get it in 26 states, mostly in the Midwest and Southeast regions. If you live in a state where auto owners do not operate, you will have to look for another home insurance company.

What Do Customers Say About Auto-Owners Homeowners Insurance?

Auto-Owners homeowners insurance has received many reviews from its customers, and most of them are positive.

Customers praise Auto-Owners for its customer service, coverage, and claims process.

For example, here are some of the reviews from NerdWallet2:

  • “Auto-Owners has been great to work with. They have always been prompt and fair with any claims we have had. They also have great customer service and are easy to reach.”
  • “I have had Auto-Owners for over 20 years and have never had a problem. They are always quick to respond and pay claims. They also have very competitive rates and good coverage options.”
  • “Auto-Owners is the best insurance company I have ever dealt with. They are always courteous, helpful, and professional. They have paid every claim I have ever filed without any hassle or delay.”

However, some reviews are negative, complaining about the cost, coverage, or communication.

For example, here are some of the reviews from Kelley Blue Book:

  • “Auto-Owners is way too expensive for the coverage they offer. They keep raising my rates every year, even though I have never filed a claim. I am switching to another company that offers better rates and coverage.”

Conclusion

Auto-Owners Homeowners Insurance is a legit and reliable homeowners insurance company that offers flexible and comprehensive coverage options, high-quality customer service, and multiple discounts and savings.

However, Auto-Owner’s homeowners insurance is also more expensive than the average home insurance company and is not available in every state.

You also cannot get online quotes or claims from auto owners, and you have to rely on an agent for everything.

Auto-owner homeowners insurance may not be the best choice for everyone, but it may be a good option for some people who value customer satisfaction, protection, and stability.

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