Home insurance costs across the United States are increasing sharply, even in regions that rarely face hurricanes or wildfires. States in the central part of the country, particularly in the Great Plains, are experiencing some of the fastest-growing premiums due to the increasing frequency of hail and wind damage.
Local Storms Causing Major Financial Impact
In June 2024, a severe storm struck the small town of Cozad, Nebraska, causing widespread damage to homes, vehicles, and community infrastructure. While such events often go unnoticed nationally, climate researchers warn that intense hailstorms are becoming more common.
Atmospheric conditions that generate large hailstones are appearing more frequently across the central and eastern U.S. Experts link this trend to global warming, noting that the resulting damage is driving significant insurance losses.
Climate Change and the Surge in Insurance Rates
As climate change contributes to more extreme weather, the cost of rebuilding and repair continues to rise. Between 2018 and 2022, home insurance premiums grew approximately 8% faster than inflation.
In the Northern and Southern Plains, insurance rates are between 20% and 45% higher than the national average. In Nebraska, the average annual cost of homeowners insurance is around $6,400 — the highest in the country.
A Growing Challenge for Homeowners
The surge in insurance prices is no longer limited to coastal or fire-prone areas. Agricultural and suburban communities in the interior of the country are also being affected. With increasingly unpredictable weather patterns, homeowners nationwide face mounting costs to protect their properties.
