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How much does home insurance cost in Australia?

The average home insurance cost in Australia is $143 but it can vary massively from home to home. That’s why it’s so important to compare policies.

There are many things that will affect home insurance costs like the location of your house, when your home was built, and the value of your contents.

This being said, here are some ballpark figures to give you a better understanding of what's involved and how much it can differ.

Check out the average home insurance cost across Australia

We gathered over 200 quotes from 16 different Australian insurers to work out the average home insurance costs from state to state with a building worth $500,000 and contents valued at $100,000. If you live in NSW, you can expect to pay a little bit more than other places. South Australia got lucky with the cheapest average cost for a home and contents policy.

Based on this research, our average home insurance cost is $142.92 a month. You can use this as a guide when you're comparing policies for your home, but remember costs will change based on your circumstances.

Average home insurance costs

Australian statesBuilding & contents insuranceContents only insuranceBuilding only insurance
NSW$160.75$46.22$138.64
VIC$160.28$63.95$140.67
QLD$160.63$40.15$143.86
SA$126.39$41.67$101.79
WA$159.78$44.02$140.43
ACT$113.80$36.38$93.91
TAS$118.80$36.88$97.59
Average costs$142.92$44.18$122.41

*This table was last updated in August 2022.
It's worth mentioning that these quotes are based on a 3 bedroom, home unit. If you live in North Queensland (anywhere above Rockhampton), you might notice that the average cost of your policy is higher due to the risk of cyclones.

Are the costs of home insurance going up?

Long story short – yes.

Recently, we've heard a lot about homes getting hit with massive increases in their yearly premiums, with some people paying as much as 104% more for a policy. There are 2 main reasons for this: inflation and global warming.

In the last few years alone, Australia has been hit by some of the worst floods and bushfires on record, causing millions of dollars worth of damage and leaving many homeowners out of pocket. As a result, insurers have had to raise prices.

We've pulled our historical pricing data to see how much prices have changed over time. Check out our stats.

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Between January 2021 to August 2022, the average home insurance policy in Australia has increased by $72 a year. This doesn't sound like much so it's important to understand the context behind this stat:

  • This average does not include North Queensland which has seen a significant increase.
  • City areas which are more populated but have less risk, pull the average down.
  • If your house type or location is deemed riskier, then you can expect to pay a lot more than $72 extra a year.

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Our data shows that some homes in North Queensland could be paying around $1,444 more annually. This is 24% more than the previous year and is the highest average of all the areas we researched.

Why North Queensland? The area is notorious for destructive cyclones and storms, and it's not likely to get better. Simply put, the higher the risk, the higher the premium.

See how pricing has changed on average across Australia since January 2021. This research was collected using a $500,000 building sum insured amount and $100,000 for contents.


Examples of home insurance costs

To give you an idea, we got quotes from 16 different home insurers for a 3 bedroom house in New South Wales. You can see how the costs change depending on the insurer, this is because benefits also differ between policies.

Keep in mind that the cost of your policy is going to be based on your home and the value of your stuff, so remember to get a quote and compare your options before making a choice.

We found a huge price difference of $1,039.38 when you compared the cheapest annual policy and the most expensive for buildings worth $1 million. How much can you save by comparing home insurance?

Brand$500,000 Building - Monthly price$500,000 Building - Annual price$1,000,000 Building - Monthly price$1,000,000 Building - Annual priceGet quote
Budget Direct Logo$181.43$1,839.84$247.25$2,526.89Get quote
Virginmoney logo$182.99$1,858.27$249.46$2,552.16More info
St. george logo$145.27$1,742.99$229.31$2,751.35More info
Picture not described$145.27$1,742.99$229.31$2,751.35More info
Everyday Insurance$175.59$1,881.29$259.46$2,779.84Get quote
Picture not described$171.30$1,696.35$255.66$2,540.01More info
Real insurance logo$167.26$1,791.98$247.21$2,648.62More info
Coles Insurance$122.37$1,325.41$181.99$2,023.62More info
GIO Logo$160.44$1,604.43$236.98$2,369.87More info
Picture not described$152.46 $1,829.54$152.46 $1,829.54More info
Picture not describedING Home Insurance Logo$182.99$1,858.26$249.46$2,552.17More info
NRMA logo$141.45$1,639.46$172.43 $2,011.25 More info
Huddle home insurance$151.00$1,614.00$221.00$2,359.00More info
Qantas Life Insurance Logo$205.17$2,088.87$280.77$2,868.92Get quote
Australian seniors$146.36$1,567.98$216.32$2,317.54Get quote
Picture not described$140.61$1,518.65$189.68 $2,048.53Get quote
Learn more about our methodology
  • Quotes were obtained for the same 3 bedroom NSW home in Baulkham Hills owned by a family of 2.
  • Building replacement costs for all quotes were $500,000 and $1,000,000, with an excess of $500.
  • Contents were valued at $100,000.
  • Quotes were obtained in August 2022 and were for a combined home and contents insurance policy.
  • Homeowning family-of-2 who moved into their property in 2019.
  • 3 bedroom, 1 storey freestanding house on flat ground with brick veneer walls, terracotta tiled roof, no verandas and built in 1980.
  • Windows and doors secured by deadlocks, with no security devices.

How home insurance is calculated

Woman working at home
The cost of a home insurance policy can be calculated with the following things in mind.

  • The type of cover you want. Home and contents, building-only or contents insurance.
  • If you add on extra cover. Like portable contents insurance or accidental damage.
  • The location of your house. If you live in a bushfire, flood or cyclone-prone area, you might have to pay more.
  • The features of your house. The type of tiles on your roof and if you have an alarm system installed can impact the cost of your policy.
  • Your claims history. You can avoid an increased premium if you have a good claims history.

How do I buy home insurance?

One

Compare benefits and get a quote

Think about what's important to you and what you want to protect.

Two

Answer some questions online

The insurer will ask you these questions so they can assess risk and the cost of your policy.

Three

Make a choice, pay, and get covered

Don't forget to read the PDS to make sure you're covered for what you want.

It's easy to forget about home insurance once you've got it, but the cost of not updating it can be high.

Angelo Azar

Angelo Azar
Honey Insurance COO

Compare benefits and get a quote for home and contents insurance

1 - 7 of 24
Name Product Finder Rating
Finder AwardBonus
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
4.5/5★★★★★
Our verdict: The most popular insurer on Finder, Budget Direct prioritises low-cost cover and gives you up to 30% off your first year for new combined policies purchased online. This is a big reason it won this year’s Finder Award for value.
Youi Building and Contents Insurance
4.5/5★★★★★
Best Rated Brand
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
4.5/5★★★★★
Our verdict: Finder’s 2022 Insurer of the Year for Customer Satisfaction and our Top Pick for Fire Damage cover. It’s good if you want a tailored quote over the phone.
QBE Home & Contents Insurance
3.5/5★★★★★
Green CompanyBonus
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
3.5/5★★★★★
Our verdict: Finder's Top Pick for Floods plus cover for other common claims such as fire and theft). Its discount is better than most – 20% off your first year with a combined policy.
Qantas Home and Contents Insurance
4.5/5★★★★★
BonusFinder Award Finalist
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
4.5/5★★★★★
Our verdict: Earn up to 50,000 Qantas Points with every Qantas Home Insurance policy you take out by 5 December. T&Cs and exclusions apply.
Honey Home & Contents Insurance
4.5/5★★★★★
Finder AwardBonus
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
4.5/5★★★★★
Our verdict: Honey gives you $250 smart sensors to reduce accidents and estimates your rebuild costs for you. Honey was a finalist for the comprehensive category in this year’s Finder Awards.
Bonus
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
3/5★★★★★
Our verdict: Get up to 20% off when you buy a combined home and contents policy. Terms, conditions, underwriting criteria and minimum premiums apply, which may reduce discount. Make sure your rebuild costs are accurate though – Australian Seniors don’t do underinsurance cover.
Kogan Home & Contents Insurance
3/5★★★★★
Bonus
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
  • Storm
  • Fire
  • Theft
  • Flood
  • Accidental Damage (e.g TV falls)
  • Impact to home (e.g falling trees)
  • Escaped water (e.g burst pipe)
  • Portable contents (e.g dropped laptop outside of home)
  • + more insured events and other features
3/5★★★★★
Our verdict: Good comprehensive cover (issued by QBE). Also, get 22% off on your first year's premium when you purchase a new combined Home & Contents insurance policy online + $10 monthly credit. T&Cs apply.
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Don't cheap out on these things to keep costs low

Here are some common things that people do to try and make their home insurance policies cheaper.

  • Assuming that cover applies. People often think that buying an insurance policy will automatically cover them for everything. Make sure you read your product disclosure statement (PDS) to make sure you understand what's covered and what's not.
  • Choosing the wrong sum insured. A common mistake homeowners make is under-insuring their home and contents so that they can save on their policy. You risk thousands of dollars just to save a couple hundred on the cost of home insurance. To avoid under-insurance, you can get an evaluator to value your home or use an online calculator.
  • Not comparing your options. Looking at home insurance is not the most enjoyable chore, but if you do it right, it can save you thousands of dollars. Read and understand your PDS, and if you're ever unsure of something contact the insurer directly.

Tips to reduce your house insurance cost

There are several simple things you can do to reduce the cost of home insurance, including:

  • Don't be afraid to switch. Unfortunately, loyalty doesn't get us too far these days. If you're finding that you're paying too much to insure your home, don't be afraid to jump ship to someone who is offering you a better deal.
  • Take out multiple policies. If you hold multiple policies with the same insurer – these could be home insurance, car insurance and other types of cover – you may be entitled to a multi-policy discount.
  • Secure your home. If you introduce measures to deter burglars and thieves – for example, installing security screens on all doors or purchasing a back-to-base security alarm – you can enjoy cheaper premiums.
  • Choose a higher excess. Increasing your excess amount will result in lower premiums.
  • Look for deals and discounts. Some insurers offer premium discounts for buying online or if you're a senior.
  • Combine cover. You can usually reduce the cost of premiums by combining building insurance and contents insurance together into a single home and contents policy.

Compare policies and get a quote

Why you can trust Finder's home insurance experts

free

We're free

You pay the same as buying directly from the home insurer. Better still, we regularly run exclusive deals that you won't find on any other site – plus, our tables make it easy to compare policies.
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We've researched and rated dozens of policies as part of our Finder Awards. We provide unique insights and our in-house experts regularly appear on Sunrise, 7News and SBS News.
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We're independent

Unlike other comparison sites, we're not owned by an insurer. That means our opinions are our own and we work with lots of home insurance brands, making it easier for you to find a good deal.
help

We're here to help

Since 2014, we've helped 150,000+ people find home insurance by explaining your cover options simply and clearly. We'll never ask for your number or email. We're here to help you make a decision.

FAQs about home and contents insurance costs

Read more:

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2 Responses

    Default Gravatar
    GillApril 20, 2023

    Hi May i have an estimate of a $25,000 contents only insurance plus $15,000 jewellery
    Regards Gill

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