Maine Homeowners Pay Some of the Lowest Insurance Costs In The Country

Maine homeowners benefit from some of the most affordable insurance costs in the nation.

While insurance premiums are rising rapidly in coastal states along the Gulf and Atlantic, new data from the U.S. Census Bureau and the Realtor.com® 2025 Climate Risk Report show that Maine remains one of the least expensive states for homeowners coverage.

Maine’s Insurance Costs Stay Affordable

According to newly released American Community Survey (ACS) data from the U.S. Census Bureau, Maine 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.

Maine has 451,090 insured homeowner households in total—250,316 with a mortgage and 200,774 without. Among mortgaged owners, 22,458 pay less than $100 annually and 7,049 pay $4,000 or more. Among those without a mortgage, 37,135 pay less than $100 and 3,840 pay $4,000 or more.

When compared with nearby New England states, Maine is clearly on the affordable side. Massachusetts homeowners with a mortgage typically pay $1,500–$1,999, while Rhode Island averages the same. Connecticut is also higher, at $1,500–$1,999 for mortgaged households.

By contrast, New Hampshire averages $1,000–$1,499, closer to Maine’s levels. Vermont is similarly affordable, with mortgaged households also paying $1,000–$1,499. This makes Maine one of the most affordable insurance markets in the Northeast.

Climate Risks and Regional Exposure

The Realtor.com 2025 Climate Risk Report underscores how affordability is linked to climate exposure. Miami homeowners, for instance, pay an average of $22,718 annually, or 3.7% of median home value—the highest in the nation. Florida metros like Cape Coral and Tampa also rank among the costliest for homeowners coverage.

Maine does not appear in the rankings of metros with the steepest insurance burdens or the greatest flood, hurricane, or wildfire risks. While storms and coastal flooding are seasonal concerns, the scale of exposure is much lower than in Southern states.

This helps keep Maine’s costs among the lowest in the country, though climate change and sea-level rise could put more pressure on insurance in the future.

A National Affordability Struggle

Even with Maine’s relatively modest premiums, homeowners nationwide are struggling with affordability. 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 difficulties obtaining or renewing coverage.

These concerns are reshaping homebuying decisions. Nearly 30% of homebuyers said they had completely changed their search areas due to insurance concerns, while another quarter said they had overhauled their strategies altogether. Even more striking, 58% of homeowners nationwide said they would consider dropping coverage entirely if costs became too high, with younger buyers the most likely to take that risk.

For now, Maine homeowners are better positioned than most, with costs among the lowest nationally. But as climate risks grow, especially along the coast, the state’s affordability advantage could face challenges in the future.

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