September 2, 2025
Missouri homeowners face high premiums due to severe storms, hail, and rising costs. Learn how to manage coverage and navigate the state’s evolving risks.
Missouri homeowners face a challenging insurance landscape in 2025, with premiums significantly above the national average due to the state's exposure to severe weather events and rising construction costs. Understanding the unique risks and coverage needs specific to the Show-Me State is essential for helping reduce potential financial exposure related to property damage and loss.
According to MoneyGeek's 2025 analysis, Missouri's average home insurance premium is $2,835 yearly, more than the national rate of $2,423, representing a 17% premium above the national average. However, rates vary considerably across different sources and coverage levels. NerdWallet's analysis places the average annual cost at $3,290, while Insure.com's data reports costs as high as $3,528 per year or $294 monthly.
The wide variation in reported averages reflects differences in coverage levels, deductibles, and the individual risk factors that significantly impact pricing in Missouri. According to MoneyGeek's 2025 data, premiums can vary by up to $3,483 depending on credit scores, highlighting how credit ratings dramatically affect insurance costs in the state.
Missouri's insurance costs become more apparent when compared to neighboring states. Here's how the Show-Me State stacks up against its neighbors:
*Range reflects different methodologies across sources
**Estimated based on regional data
According to ValuePenguin's analysis, Missouri's home insurance rates are significantly higher than some other states. In nearby Iowa, for example, home insurance costs $2,108 per year for the same level of coverage. And in Illinois, a policy costs $2,132 per year, on average. This comparison shows Missouri falls in the middle range among its neighbors, with significantly lower costs than the tornado-prone states to the west but higher costs than states to the east.
Missouri's insurance premiums reflect the state's substantial weather-related risks. According to industry data, from 1980 to 2024, Missouri experienced 120 severe weather events with losses exceeding $1 billion. The number of catastrophic events has increased from 2.7 to 8.2 per year in Missouri alone.
While tornadoes can obliterate communities, hailstorms cause damage across much larger areas, making hail damage a primary concern for insurers. According to Insurify's analysis, thunderstorms can roll through Missouri any time of the year, but most occur between May and August. Hailstorms cause an estimated $49.7 million in financial losses per year in Missouri.
The impact can be immediate and substantial. According to recent reporting, State Farm spokesperson Dave Phillips said there have been around 1,700 claims in Missouri this week. Nationally, he said State Farm has received more than 12,000 claims this week. Most have been for wind or hail damage following recent severe weather events.
Missouri's position relative to Tornado Alley creates ongoing exposure to tornado damage. According to WaterStreet Company's analysis, the most expensive tornado of all time occurred on May 22, 2011 in Joplin, Missouri, costing $2.8 billion dollars in insurance claims and a total cost of damages around $3.18 billion. Recent tornado outbreaks continue to impact the state, with multiple forecast models indicating ongoing all-hazards threats (of wind, hail, and tornadoes) for Missouri during severe weather events.
Many areas near Missouri's major rivers face significant flood risk. Standard homeowners insurance policies exclude flood damage, making separate flood insurance important to consider even for properties outside designated high-risk zones. The state's varied topography creates both riverine and flash flood risks that homeowners may want to address through additional coverage.
Given Missouri's severe weather exposure, many homeowners opt for policies that include dedicated wind and hail coverage. Some carriers apply separate wind/hail deductibles, which may be percentage-based rather than fixed dollar amounts. Review your policy carefully to understand how these deductibles work, as they can significantly impact out-of-pocket costs during severe weather events.
Southern Missouri sits within the New Madrid Seismic Zone, creating earthquake risk that may warrant specific attention. According to Bankrate's analysis, although large earthquakes aren't very common in Missouri, if you live in the southern part of the state, you might be interested in this coverage type. Standard homeowners policies exclude earthquake damage, so this coverage must be added through endorsement.
Both rural and urban Missouri properties may benefit from water backup coverage due to common sewer and drainage issues. This endorsement covers damage from water that backs up through sewers, drains, or sump pumps, which standard policies typically exclude.
Missouri's older housing stock, particularly in cities like St. Louis and Kansas City, may make ordinance or law coverage valuable. This coverage may offset some costs related to code-required upgrades during rebuilds when repairing or rebuilding after a covered loss.
According to Policygenius data, home insurance premiums in Missouri increased 21% from May 2022 to May 2023. This trend is attributed to a mix of sustained inflation, labor shortages, rising construction costs, and severe natural disasters.
The trend continues nationwide, with insurance rates rising significantly across multiple states. According to industry reports, home insurance premiums have been rising in the past several years. Between 2021 and 2023, homeowners paid 19.8% more for coverage, jumping from $1,984 to $2,377.
Missouri allows insurers to use credit-based insurance scores in pricing, creating substantial premium variations. According to a 2025 NerdWallet analysis, those with poor credit pay an average of $6,195 per year for homeowners insurance in Missouri. That's 88% more than what those with good credit pay.
Location within Missouri significantly affects premiums. According to NerdWallet's data, the average cost of home insurance in St. Louis and Kansas City is $3,290 per year, while homeowners in Columbia pay $3,020 per year, on average.
For homeowners needing guidance through the complex Missouri market, partnering with an experienced insurance service may provide value. Covered offers warm transfer services designed to streamline the customer support experience and may help reduce operational burden for servicers while supporting customers throughout the insurance selection process, helping them explore appropriate coverage options.
For properties that cannot obtain coverage through traditional markets, Missouri offers the Missouri Residential Property Insurance Association (MRPIA), commonly known as the Missouri FAIR Plan. This program provides limited coverage for homes that cannot obtain insurance through traditional markets. Homeowners should review policy terms carefully, as FAIR Plan coverage typically excludes certain perils or may offer lower limits than standard market options.
Missouri's regulatory framework includes specific consumer protections. After a policy has been in force for 60 days, insurers must provide 30 days' notice for non-renewal. For non-payment cancellations, only 10 days' notice is required. Understanding these timeframes may help homeowners manage policy transitions and avoid coverage gaps.
Installing impact-resistant materials, securing garage doors, and maintaining proper drainage may help reduce premiums and minimize damage. Additional storm preparation measures recommended by the Missouri Department of Commerce and Insurance include installing impact-resistant windows and bracing garage doors for enhanced protection.
Keeping roofs, plumbing, and electrical systems updated not only may reduce claim likelihood but may qualify for discounts with some insurers. According to MoneyGeek's analysis, the type of roof on your home can influence your homeowners insurance premium in Missouri. For example, homes with tile roofs, which are generally more resilient, may see lower insurance costs.
Missouri's insurance market faces continued pressure from climate-related risks and inflation. According to NOAA data, the first half of 2024 marked a costly severe thunderstorm season, with severe thunderstorms in the U.S. resulting in $34 billion in insured losses, the highest for that period.
Industry experts predict continued rate increases may affect most states, with Missouri homeowners needing to prepare for ongoing market volatility. The Midwest's severe weather trends indicate that 2024 was among the most challenging years on record for severe storms causing tornadic activity and related damage (derechos, flooding, hail) in the heartland.
Homeowners should expect continued premium increases and should regularly review their coverage to help ensure adequate protection. Shopping annually with multiple carriers, maintaining good credit, and implementing risk reduction measures remain important strategies for managing costs while maintaining appropriate coverage.
The Missouri insurance market requires careful navigation, but with proper understanding of the risks and available options, homeowners may be able to secure appropriate protection for their properties and financial security. Working with knowledgeable insurance professionals and regularly reviewing coverage may help ensure protection keeps pace with changing risks and market conditions.
Data sources include industry analyses from MoneyGeek, NerdWallet, ValuePenguin, Bankrate, and government weather data. Premium figures represent averages and individual rates may vary significantly based on property characteristics, location, and personal factors.
This article provides general information about Missouri’s homeowners insurance market based on available industry data as of 2025. Individual circumstances vary significantly, and premium quotes, coverage options, and policy terms differ by insurance company. Consumers should consult with licensed insurance professionals for specific coverage recommendations and current pricing. Information presented should not be considered as guaranteed outcomes or personalized insurance advice.
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*Savings claim based upon averaging actual anonymized savings data for dwelling-only insurance rates paid (from July 2023 - June 2024) by customers of two of Covered’s largest mortgage industry partners across twenty-seven (27) US states. Bundles and non-dwelling insurance coverages were excluded.
† Net Promoter Score (“NPS”)® calculation averages post-purchase customer satisfaction surveys from 9/24/2024 - 2/28/2025. NPS® is a market research metric measuring customer satisfaction with a scoring calculation that incorporates both detractor and promoter customer feedback.
Quotes are presented solely for your convenience. Savings may vary. Rates are subject to change based upon the specific coverage you select and other factors that apply to your situation. CA License #0M81402, doing business as Cubbard Insurance Solutions in California.
