How much is homeowners insurance in Arizona? Recent studies put the statewide average at roughly $2,200 to $2,400 a year. Insurance.com's 2026 data shows $2,397 for a standard policy with $300,000 of dwelling coverage, up $53 from 2025, while LendingTree's latest analysis lands at $2,225.
Is it expensive here? It's rising faster than almost anywhere. A Newrez study of about 1.2 million escrowed mortgages found Arizona had the largest premium increase of any state from 2021 to 2025, up 94%, and the Phoenix metro posted the largest jump among the 20 biggest metros. For Scottsdale buyers, insurance now deserves the same attention as the rate and the taxes.
Data note: Averages differ because each study prices a different sample policy. Insurance.com (Aug. 2026) uses $300,000 dwelling/$300,000 liability/$1,000 deductible; LendingTree figures are as reported by the Arizona Daily Star (Sept. 21, 2026); Newrez (Apr. 30, 2026) measured premiums paid from borrower escrow accounts. None is a quote for your home.
Arizona Home Insurance by the Numbers
- $2,397: Arizona average annual premium in 2026, up from $2,344 in 2025 (Insurance.com)
- $2,225: Arizona average annual premium per LendingTree, versus $1,950 in average property taxes
- 71%: how much Arizona premiums rose over five years in LendingTree's analysis, No. 6 nationally
- 3.6%: Arizona's increase in 2025, below the 6% U.S. average (LendingTree)
- 94%: Arizona's 2021-2025 increase in Newrez's escrow data, the largest of any state
- Phoenix metro: also +94%, the largest increase among the 20 most populous metros Newrez reviewed
The good news, if you can call it that: Arizona's climb slowed in the most recent data. The pressure hasn't reversed.
Why Arizona Premiums Rose So Fast
Rebuilding Costs
"Insurance companies have to repair more homes, and it's more expensive to rebuild each one than it might have been just five years ago," LendingTree insurance analyst Rob Bhatt told the Arizona Daily Star. When claims cost more, rates follow.
Weather Losses
- Nine extreme weather events with losses over $1 billion hit Arizona from 2020 to 2024 (NOAA, via the Arizona Daily Star)
- Wildfire risk led some insurers to cancel policies in northern Arizona, prompting a state task force
- Floods and severe storms add to the claims picture
Limited Regulatory Brakes
The Arizona Department of Insurance and Financial Institutions regulates insurers but can't cap what they charge and doesn't track average premiums. Its 2025 council recommended more fire mitigation by homeowners and state grants to help pay for it.
What Drives Your Quote in Scottsdale
There's no reliable public average for Scottsdale alone, and a statewide figure won't match a $1.5 million home. Your quote turns on:
- Dwelling coverage: the cost to rebuild, which rises with square footage and finishes
- Deductible: a higher deductible usually lowers the premium
- Claims history: both yours and the home's
- Home systems: roof, plumbing and electrical age and type, all questions on Arizona's seller disclosure form (SPDS)
Buyers: Get Quotes Inside the Inspection Period
Under the Arizona REALTORS® sample resale contract, the seller provides a five-year insurance claims history within five days of acceptance, and the default inspection period is 10 days. Use that window to get real quotes, not estimates. A surprise premium can change your monthly payment as much as a rate move. If you're financing near the top of the conforming range, see Arizona's 2026 jumbo loan limit.
“Insurance has quietly become one of the biggest swing factors in a Scottsdale budget. I've seen two similar homes on the same street quote very differently because of roof age and claims history. When my buyers go under contract, the insurance call happens the same week as the inspection, not the week before closing.”
— Elizabeth Vijan, Tackett Team, eXp Realty
FAQ: Arizona Homeowners Insurance
What is the average cost of homeowners insurance in Arizona?
About $2,225 to $2,397 a year, depending on the study's sample policy.
Why is homeowners insurance so expensive in Arizona?
Rebuilding costs and weather losses, including wildfires, floods and severe storms. Arizona's 2021-2025 increase was the largest in Newrez's data.
Is homeowners insurance more than property taxes in Arizona?
On average, yes: $2,225 versus $1,950 a year (LendingTree).
Can the State of Arizona cap homeowners insurance rates?
No. The state regulator can't limit what insurers charge.
Know Your True Monthly Cost Before You Offer
I'll help you line up insurance quotes, tax estimates and loan numbers on any Scottsdale or Phoenix home you're considering, so the payment you plan for is the payment you get.
Elizabeth Vijan | Tackett Team, eXp Realty
Scottsdale & Phoenix Real Estate
Get My Full Monthly Cost Estimate · Call or text 602-885-7752
Sources: Insurance.com: States where home insurance got cheaper in 2026 (Aug. 24, 2026) · Arizona Daily Star: Arizona's home insurance rates soar 71% (Sept. 21, 2026) · Newrez homeowners insurance premium study (Apr. 30, 2026) · Arizona REALTORS® sample resale purchase contract, Nov. 2025 (PDF)
Disclaimer: General information, not insurance advice. Premiums vary by insurer, coverage, property and claims history; consult a licensed insurance agent for quotes. Contract terms can be negotiated, and your signed contract controls. Information deemed reliable but not guaranteed. Equal Housing Opportunity.
Tackett Team, eXp Realty · Get in touch