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Homeowners insurance in Montana costs $3,765 a year on average in 2026 for a $400,000 dwelling policy, according to NerdWallet, or about $314 a month. ValuePenguin puts the same state average at $2,754 a year for a $350,000 dwelling, and Insurify puts it at $2,556 a year for a $300,000 dwelling. The datasets disagree because they price different houses, and Montana is the state in this series where wildfire joins wind and hail as a priced risk. This post lays out what each dataset measures, what Montana homeowners pay by city and carrier, and how the fire risk changes the coverage you need.
Montana had 2,424 wildfires in 2025, which burned around 75,000 acres, according to the Montana Department of Natural Resources and Conservation. The risk is greater in northern and western Montana, but most of the state carries an increased risk of fire damage. A standard home insurance policy covers wildfire damage, but in a high risk area the coverage can be limited, or a separate policy may be needed. That is a sentence worth checking with an agent before fire season, not after.
How much is homeowners insurance in Montana in 2026?
For a $400,000 dwelling with a $1,000 deductible, Montana homeowners pay about $3,765 a year, or $314 a month, according to NerdWallet. That is about 51 percent above the national average of $2,490 a year for the same coverage. Smaller houses cost less. For a $300,000 dwelling, the average runs $2,556 to $3,215 a year depending on the dataset.
| Source | Dwelling coverage | Average per year | Average per month | National average in the same study |
|---|---|---|---|---|
| NerdWallet (May 2026) | $400,000 | $3,765 | $314 | $2,490 |
| Insure.com (2026) | $300,000 | $3,215 | $268 | Not published |
| LendingTree (Feb 2026) | $400,000 | $3,021 | $252 | Not published |
| ValuePenguin (Sept 2026) | $350,000 | $2,754 | $230 | $2,395 |
| Insurify (Nov 2026) | $300,000 | $2,556 | $213 | $2,772 |
One more figure puts the study averages in context. The U.S. Census Bureau American Community Survey reports that Montana homeowners with a mortgage said they paid a median of $1,346 a year in the 2023 five year estimates. That figure counts every policy in force, including older homes with low dwelling limits and longtime customers with loyalty discounts. The study figures above price one sample home at current filed rates. Use the study figures to compare companies and the Census figure as a reminder that your own quote depends on your house.
Montana is more expensive than most of its neighbors. Idaho averages $1,759 a year for the same $350,000 of dwelling coverage, Wyoming $2,101, and North Dakota $2,460, according to ValuePenguin. The only bordering state that costs more is South Dakota at $3,258 a year, about 18 percent above Montana, in part because of the higher risk for severe storm damage.
What Montana homeowners pay by city
Where you live in Montana moves the premium by nearly $1,900 a year. Kalispell, in northwest Montana near Glacier National Park, has the cheapest average rates at $1,800 a year. Baker, a small city on the eastern edge of the state, has the highest at $3,691 a year. Billings, the largest city, averages $3,145 a year.
| City | Average per year | Cheapest company | Cheapest rate per year |
|---|---|---|---|
| Kalispell | $1,800 | Farmers | Not published |
| Bozeman | $2,134 | Farmers | $1,145 |
| Butte | $2,151 | Farmers | $908 |
| Billings | $3,145 | Farmers | $1,843 |
| Broadus | $3,525 | Farmers | $2,020 |
| Baker | $3,691 | Farmers | $2,020 |
Farmers is the cheapest carrier in every city in the table, which is unusual. In most states the cheapest carrier changes by town. In Montana, Farmers prices below the rest across the whole state, and the gap between its rate and the city average is large: $908 a year in Butte against a $2,151 average, and $1,843 in Billings against a $3,145 average. LendingTree puts Kalispell slightly higher at $1,984 a year, still the cheapest in the state, and names Kalispell, Helena Flats, and Evergreen as more or less tied for the lowest average in Montana.
Who has the cheapest homeowners insurance in Montana?
Farmers has the cheapest homeowners insurance in Montana for most people, with an average rate of $1,309 a year for $350,000 in dwelling coverage, according to ValuePenguin. That is less than half of the state average of $2,754, a gap of $1,445 a year. Chubb is cheaper for homes that would cost $500,000 or more to rebuild, at $1,249 a year for that level, but Chubb only writes high value homes.
| Company | Average per year, $200,000 dwelling | Complaints, NAIC |
|---|---|---|
| Farmers | $734 | Average |
| State Farm | $1,449 | Average |
| Nationwide | $1,947 | High |
| American Modern | $2,015 | Low |
| USAA, military only | $2,307 | Low |
| Allstate | $2,728 | Average |
Those rates are for a $200,000 dwelling, the level where ValuePenguin publishes a full company table. Other datasets name different cheapest carriers because they price different profiles. Insurify names Chubb cheapest in Montana at $71 a month, or $852 a year, for a $300,000 dwelling, with Foremost next at $1,236 a year. Insure.com also names Chubb cheapest at $976 a year. LendingTree, pricing a $400,000 dwelling, names Farmers cheapest at $1,511 a year, with State Farm at $2,144. The ranking depends on the house: Farmers wins for most homes, Chubb wins for high value homes, and the two never compete for the same house.
Chubb is the best rated home insurance company in Montana because of its service and low complaints, but only high value homeowners can buy it. For most people, Farmers is both the cheapest and the best rated option available. American Modern is the carrier LendingTree names for Montana homeowners who are finding it difficult to get covered by other companies, which matters in wildfire prone areas where standard carriers pull back.
Wildfire, wind, and hail: what Montana policies actually cover
Montana had 295 windstorms and 123 hailstorms in 2025, according to the National Weather Service. A standard policy covers damage from both, but a separate wind and hail deductible often applies, usually 1 or 2 percent of the dwelling limit instead of the flat $1,000 deductible. On a $350,000 home, a 1 percent wind and hail deductible means $3,500 out of pocket before the insurer pays on a hail claim. A roof in poor condition may be settled at actual cash value, the depreciated value, rather than full replacement cost.
Wildfire is covered by most home insurance policies, including damage from fire and smoke. The exception is a home in a particularly high risk area, where coverage may be limited or a separate policy may be required. The Montana Department of Natural Resources and Conservation recommends a fire resistant roof, ember resistant window coverings, and a barrier of rock around the home to lower the risk. A new roof that is wind and fire resistant can also earn a discount, and a home in good condition is less likely to be damaged in the first place.
Flood is the coverage gap. Home insurance does not cover flood damage, and a separate flood policy is needed. Since 1980, the National Flood Insurance Program has handled 1,246 flood insurance claims in Montana that caused more than $17.5 million in damage, according to FEMA. True floods happen when an area that is normally dry goes underwater, which in Montana usually follows heavy rain or snowmelt. Even outside a high risk area, a flood quote is worth getting.
Are Montana home insurance rates going up?
Home insurance prices in Montana rose 50.9 percent between 2021 and 2025, according to ValuePenguin and S and P Global RateWatch data drawn from National Association of Insurance Commissioners filings. The biggest increase came in 2024, when rates rose 22.49 percent. In 2025 rates rose only 0.47 percent, the smallest annual increase in the period.
| Year | Average rate increase |
|---|---|
| 2021 | 4.22 percent |
| 2022 | 7.03 percent |
| 2023 | 9.90 percent |
| 2024 | 22.49 percent |
| 2025 | 0.47 percent |
The increases did not hit every carrier the same way. Liberty Mutual raised rates the most, up 79.6 percent between 2021 and 2025. Farmers was close behind, up 72.7 percent in five years, which makes its current position as the cheapest carrier in the state more striking: it raised prices faster than almost anyone and still prices lowest. State Farm had the smallest rate hike, but a State Farm policy still cost 27.4 percent more in 2025 than in 2021.
A worked example: Kalispell against Baker
Take a $350,000 dwelling with a $1,000 deductible. In Kalispell the average is $1,800 a year. In Baker the average is $3,691 a year. The same house costs $1,891 a year more to insure on the eastern edge of the state than in the Flathead Valley. The carrier gap is just as large: in Billings, Farmers averages $1,843 a year against a city average of $3,145, a saving of $1,302 a year for the same coverage. The city you live in matters more than the carrier in Montana, and the carrier matters more than the state average.
How to lower your Montana homeowners insurance premium
Get quotes from at least three companies, and start with Farmers, which is cheapest for most Montana homes. If your home would cost $500,000 or more to rebuild, get a Chubb quote too. If a standard carrier declines the home because of wildfire risk, American Modern is the specialist LendingTree names for hard to insure Montana homes.
Ask about discounts for bundling home and auto, a home alarm system, staying with the same company for several years, and not smoking. Replace the roof with a wind and fire resistant one if it is due: it can earn a discount and it keeps a claim from being settled at actual cash value. Your credit score shapes the price too: our guide to how a credit score affects homeowners insurance premiums explains how much a lower score can add. Roof age matters as well: our guide to how roof age affects homeowners insurance rates covers when a carrier switches a roof to actual cash value settlement. For comparison with neighboring states, see our Washington homeowners insurance guide, our Colorado homeowners insurance guide, and our Michigan homeowners insurance guide.
What to remember about Montana homeowners insurance
Montana homeowners pay $3,765 a year on average for a $400,000 dwelling, or $2,754 for a $350,000 dwelling, depending on which house the dataset prices. Rates rose 50.9 percent in five years, almost all of it in 2024, and barely moved in 2025. Farmers is cheapest for most people at $1,309 a year, Kalispell is $1,891 a year cheaper than Baker, and wildfire is covered by a standard policy except in the highest risk areas, where coverage can be limited. Flood needs its own policy.
Frequently asked questions
How much is homeowners insurance in Montana?
Homeowners insurance in Montana costs $2,754 a year on average for a $350,000 dwelling, according to ValuePenguin, or $3,765 a year for a $400,000 dwelling, according to NerdWallet. The two figures price different houses, so the gap is a method difference rather than a disagreement about the market.
How much is home insurance in Billings, MT?
Home insurance in Billings costs an average of $3,145 a year for a $350,000 dwelling, according to ValuePenguin. Farmers is the cheapest carrier in the city at $1,843 a year.
How much is home insurance in Bozeman, MT?
Home insurance in Bozeman costs an average of $2,134 a year for a $350,000 dwelling, according to ValuePenguin. Farmers is the cheapest carrier in the city at $1,145 a year.
Who has the cheapest homeowners insurance in Montana?
Farmers has the cheapest homeowners insurance in Montana for most people, with an average rate of $1,309 a year for $350,000 in dwelling coverage, according to ValuePenguin. Chubb is cheaper for homes that would cost $500,000 or more to rebuild, at $1,249 a year for that level.
Does homeowners insurance in Montana cover wildfire damage?
Yes, most home insurance policies cover damage caused by wildfires, including fire and smoke damage. In a particularly high risk area, coverage may be limited or a separate policy may be needed. Montana had 2,424 wildfires in 2025 that burned around 75,000 acres.
Is homeowners insurance required in Montana?
No, Montana does not require anyone to buy home insurance. A mortgage lender will require a policy, and going without one is only sensible if you can afford to repair or rebuild the home yourself.
NerdWallet publishes its Montana figures in its average homeowners insurance cost guide, updated May 6, 2026. ValuePenguin publishes its Montana figures in its best cheap home insurance in Montana guide, updated September 25, 2026, built from Quadrant Information Services rate data across 373 Montana ZIP codes. Wildfire figures come from the Montana Department of Natural Resources and Conservation. For a wildfire comparison, see our Florida homeowners insurance guide.
