Best Homeowners Insurance in South Carolina

Owning a home is more than just occupying a residence and making it yours, it’s also managing a valuable asset that can be passed down through generations. As such, protecting and securing the property, both the structure and the contents inside, should be a primary objective.

An essential step towards achieving this goal is acquiring adequate homeowners insurance. A good policy should not only cover the physical dwelling itself but any attached structures such as sheds, garages, gazebos, or decks.

Preferably, it should also cover your possessions within the home and include liability coverage for any injuries or accidents that may occur on the property.

Having the best homeowners insurance is especially critical if you live in an area where natural disasters have a higher probability of occurring. In South Carolina, the main issues affecting homeowners (apart from usual perils such as fire or theft) come from the sometimes turbulent, inclement weather patterns of the region.

To properly guard against all types of risks, it helps to understand what homeowners insurance includes and what it covers.

Homeowners Insurance Basics

Homeowners insurance can be divided into two broad categories: named peril and open peril.

A named peril policy offers protection against risks defined explicitly in its terms. That is, a policy will have a list of perils and it will only cover damage resulting from those mentioned. The number of listed perils can vary, but it’s generally a much more limited type of policy.

In contrast, an open peril policy works the other way around: it will cover virtually any risk as long as it’s not specifically listed as an exclusion.

From these two broad definitions, we can identify the eight types of homeowners insurance:

• Basic form (HO1) – A named peril policy which offers limited protection and only provides coverage for the dwelling against the listed perils in its policy documents.
• Broad form (HO2) – Another named peril policy, but this one includes additional perils than the ones listed in the previous form, and also covers personal belongings.
• Special form (HO3) – An open peril policy, meaning that it will cover dwelling damage from everything not specifically excluded in writing. However, personal property is still covered on a named peril basis. HO3 is the most common insurance type.
• Comprehensive form (HO5) – Similar to HO3 policies, though more expensive. Their biggest difference is that it acts as an open peril policy for dwelling as well as personal property.
• Older home form (HO8) – Basically an HO3 policy customized for older home specifications, mainly historic structures or homes destined for preservation.   

Other types of homeowners insurance are available for specific conditions:

• Tenant’s form (HO4) - A policy for renters which only covers personal belongings.
• Condo form (HO6) – Policy type for condo owners which covers personal property and liability.
• Mobile home form (HO7) - Basically an HO3 policy but designed for owners of mobile homes.

What Does Homeowners Insurance Cover?

The basic coverage options chosen will tend to cover these perils:

• fire
• lightning 
• sudden and accidental smoke damage 
• explosion
• theft
• vandalism 
• riot
• aircraft or vehicle damage 
• sudden and accidental water damage

Of course, as we’ve already mentioned, this can vary by policy. Major natural disasters such as earthquakes, flooding, and hurricanes are listed as exclusions in the majority of policies. 

To help cover these exclusions, most insurers offer add-ons or riders. These extra coverage options bridge the gap between the covered perils and the ones excluded. 

What Should You Look For In Homeowners Insurance For South Carolina?

Tornadoes, hurricanes, and flooding are all fairly common problems in the state, and the increased risk forces homeowners to pay higher than average insurance premiums. Preparing for this sort of emergency is a way of life in South Carolina. 

Three of the most expensive hurricanes ever to hit the U.S. (Hugo in 1989, as well as Charley and Frances in 2004) caused a significant amount of damage in South Carolina. Historic storms and floods in 2015 emphasized how important insurance can be, and in 2016, Hermine provoked a massive power outage for more than 250,000 people and caused over $500 million in damages. Most recently, in September 2018, Hurricane Florence deposited over 30 inches of rain and triggered the formation of tornadoes in the area.

Taking into account the possible perils that afflict homes in South Carolina, homeowners should make sure that their insurance policies cover losses or damages to the dwelling and its contents, including those resulting from common risks like fire, lightning, and theft as well as the typically excluded natural phenomena we’ve mentioned.

Best South Carolina Homeowners Insurance Companies

Allstate

Allstate specializes in providing high-quality homeowners insurance coverage, with policies that offer you more options and flexibility when you're choosing the limits, deductible, and types of coverage you need for your South Carolina home.

Standard plans include coverage for the dwelling itself, other structures like sheds or garages, personal property, liability protection, and guest medical protection. Many types of optional coverage can also be added on, such as water backup, sports equipment, green equipment reimbursement, and electronic data recovery, among others. Flood insurance is sold as a separate policy, just as is personal umbrella insurance.

Progressive

Progressive offers home insurance policies for South Carolina residents that cover the dwelling, personal property, liability, medical payments, and loss of use if the damage is so severe that the home can't be lived in during repairs. Though their basic policies don't include hazards such as earthquakes or flood, separate riders can be purchased to provide coverage.

Other optional coverages are guaranteed replacement cost, inflation guard endorsement, increased limits on money and securities, theft and forgery, and finally, watercraft and secondary residence endorsements. In order to obtain all the coverage necessary for your home, whether you own or rent, be sure to discuss the fine print with your Progressive agent before finalizing any purchase.

Esurance

Esurance makes shopping for a home insurance policy an easy, worry-free process. After filling out a simple questionnaire on their website, you can receive a free quote within minutes and obtain the necessary coverage to protect your house, valuables, and more. The company offers multiple discounts, and their claims are easy to file through one of their dedicated claims representatives.

Depending on the type of policy you choose, coverage can extend to virtually every kind of natural disaster affecting South Carolina, as well as riots, falling objects, and the freezing of plumbing, heating, air conditioning, or other household systems. A standard policy, however, won't cover any flood or earthquake damage. Other exclusions can include water damage, mold, fungus, vermin, or regular wear and tear.

Liberty Mutual

For almost a hundred years, Liberty Mutual home insurance has understood the unique needs of South Carolina homeowners and renters, and thereby offers customized coverage for each one's specific situation.

No matter in which part of the state you live, Liberty Mutual rewards responsible choices with home insurance discounts, as well as exclusive savings for members of various college alumni groups, employers, and associations across the state, including the University of South Carolina and the South Carolina State Employees Association. Insuring your car in addition to your home can also help you qualify for a multi-policy discount.

Allied

Iowa-based Allied Insurance company offers property insurance that covers damages to the dwelling caused by fire, lightning, windstorms, hail, smoke damage, freezing damage, and theft. It also offers liability insurance for medical expenses and defense costs related to injuries sustained on your property.

Since Allied relies on their vast network of authorized, local agents, they are uniquely qualified to understand the specific needs of South Carolina residents. Allied also provides an ample selection of discounts for things such as having multiple policies with them, living in a gated community, purchasing your first home, renovating, or installing protective devices (smoke detectors, fire alarms, and security systems).