Liberty Mutual
4.3
Monthly Cost:$201
- Average annual premium: $1,950
- National Association of Insurance Commissioners (NAIC) complaint level: High
- Endorsem*nts for natural disasters: Yes
- Standard coverage: Actual cash value
Our Thoughts on Liberty Mutual Homeowners Insurance
Liberty Mutual is worth considering for homeowners looking to benefit from low rates and multiple discounts. The company charges lower rates than other insurers we’ve reviewed and offers unique discounts such as having newly purchased a home, installing wind mitigation features and being an early shopper, which can help you lower costs even further.
Discounts and endorsem*nts, such as ones for wind, hail and hurricane damage, can benefit those living in areas with a high risk of natural disasters. Plus, Liberty Mutual delivers property replacement cost coverage, which can help if you live in an area with a high crime rate.
However, Liberty Mutual requires a lot of information to complete its online quote process, including your Social Security number.
Pros and Cons
Pros
Affordable premiums compared to other companies we’ve reviewed
Many available endorsem*nts to enhance coverage
Provides several valuable discounts
Cons
Below-average J.D. Power and Associates customer satisfaction score
Requires a Social Security number to obtain a quote online
How Liberty Mutual Scored in Our Methodology
Liberty Mutual earned 4.3 out of 5 stars based on our in-depth methodology. We found Liberty Mutual is more affordable than other homeowners insurance providers we’ve reviewed. However, since the company received a below-average score in the latest J.D. Power customer satisfaction survey, policyholders might face issues with customer service. The company ranks beneath other major installers with a score of 789 out of 1,000.
Flip Card Liberty Mutual Home Insurance Rating
MarketWatch Rating 4.3 / out of 5 stars
Rating is based off of MarketWatch Methodology Guidelines
Your information is secure
Rating breakdown
Cost Liberty Mutual earned points for offering industry-average rates and a variety of discount options to its customers. 4.27 / 5
Availability and Ease of Use Liberty Mutual earned a near perfect score in this category, but lost points because it only offers 24/7 support for claims, not all customer service issues. 4.57 / 5
Brand Trust Liberty Mutual scored points for its high financial strength rating with AM Best and J.D. Power customer satisfaction score. 4.47 / 5
Coverage Liberty Mutual scored points for offering basic coverage and standard riders. However, the company does not offer a rider for guaranteed dwelling replacement cost coverage. 3.9 / 5
Liberty Mutual State Availability
Liberty Mutual provides homeowners insurance in 50 states and the District of Columbia. However, the insurer only has physical offices in some locations.
Liberty Mutual Home Insurance Cost
On average, Liberty Mutual charges an annual premium of around $1,950, which is lower than the national average of $2,417. The amount you pay will vary based on several factors, including your chosen dwelling coverage limit, property location, home features and age, credit score, claims history and other relevant information.
We obtained cost data for this review from Quadrant Information Services, an agency that provides property insurance solutions.
Discounts
Liberty Mutual has several discount options to lower your policy costs.
- Claims-free: You might qualify for a discount if you have not filed a claim for the past five years.
- Early shopper: Purchasing a policy from Liberty Mutual before your current one expires can help you earn a discount.
- Insured to value: Homeowners who insure up to 100% of the cost to replace their property can get a discount.
- Multi-policy: You can earn a discount if you purchase more than one type of policy from Liberty Mutual, such as home and auto insurance.
- Newly purchased home: You can get a discount for insuring a recently purchased property.
- New or renovated home: The insurer will lower your premium if your home was recently built or renovated.
- New roof: You can get a discount by installing a new roof on your property.
- Paperless policy: The insurer will offer a discount if you receive your billing and documents electronically.
- Preferred payment: You can qualify for a discount by setting up automatic payments.
- Safe homeowner: The insurer might lower your premium if you do not file a claim for three years after buying the policy.
- Wind mitigation: The insurer might lower your premium if your property has features that protect against wind damage.
Liberty Mutual Home Insurance Coverage Options
Liberty Mutual provides basic coverages under its standard policy and lets you add several endorsem*nts to extend your benefits. Since the insurer requires a Social Security number to obtain a quote online, our team was unable to gather sample pricing information. However, to help you to find the right coverage, we included recommendations from the Insurance Information Institute (Triple-I) in the table below.
| Coverage Area | Recommended Amount |
| Dwelling | You must carry dwelling coverage equal to your home’s replacement value for sufficient protection. It’s the amount needed to replace or rebuild it fully. |
| Other structures | 10% of dwelling coverage |
| Personal property | 50% of dwelling coverage |
| Loss of use | 10% of dwelling coverage |
| Liability | $100,000–$500,000 |
| Medical payments | Most providers offer low limits such as $1,000 to $5,000 |
Endorsem*nt Options
Liberty Mutual provides several endorsem*nt options to policyholders looking to extend their coverage, including:
- Blanket jewelry: This coverage helps you replace your jewelry if lost or stolen. Using coverage does not require an upfront appraisal or deductible.
- Hurricane damage: A rider that covers damage caused by hurricanes.
- Inflation protection: This coverage adjusts your limits at each policy renewal according to current inflation rates.
- Personal property replacement cost: An add-on that pays the actual cash value of your damaged items in case of a covered loss, which considers depreciation over time.
- Wind and hail damage: This covers your property against damage caused by wind or hail.
- Water backup: A rider that protects you against water damage due to sump pump failure or sewer backup from a municipal system.
Liberty Mutual Quote Process
To start the quote process, you can visit Liberty Mutual’s website and enter your ZIP code and preferred policy type. The company will ask for your address and whether you live at the property. You will also provide personal information, including your name, date of birth and email address. Liberty Mutual will also ask several questions about your property, including the age of the roof, date of construction, date of purchase and other details.
The insurer will ask about your claims history, if other people live with you and if you are already a Liberty Mutual customer. In some cases, the company will also ask for your Social Security number. The process might take longer than the online quote process of other providers.
Finally, the site will provide you with an estimate of your insurance expenses.
Liberty Mutual Claims Process
Based on our research and data we collected in a survey of 1,000 homeowners with insurance nationwide, Liberty Mutual takes 10 days to approve a claim, which is less time than the industry average. It approves 95% of claims and pays benefits directly to the policyholder.
A significant number of claims payments cover property repair or replacement costs. The primary reason for most denials was the company considered the reported damage as normal wear and tear.
What Customers Think of Liberty Mutual
We read Liberty Mutual reviews on Trustpilot and summarized what policyholders had to say to help you learn more about the company’s quality of customer support.
What Customers Like
- Customer support: Many customers appreciated how professional and friendly Liberty Mutual’s agents were when handling questions or issues. Customers also mentioned how the company provided solid support when handling a claim.
- Fast claims approval: Most customers seem to like Liberty Mutual’s fast claims approval and payout processes.
- Affordable rates: Policyholders praised the insurer's affordable prices.
What Customers Don’t Like
- Claims handling: Many customers complained about unfair handling of their claims.
- Increasing rates: Some policyholders said the company hikes its rates too often.
- Unreliable service: Some reviewers said Liberty Mutual’s service is sometimes unreliable.
We reached out to Liberty Mutual for comment on its negative customer reviews but did not receive a response.
Our Pick For:
Discounts
4.3/5
Explore PlansSave 12% or more when you purchase online
Liberty Mutual vs. the Market
To make it easy for you to decide on homeowners insurance, we compared Liberty Mutual to other major companies based on premiums, NAIC complaint records and coverage in the table below.
| Provider | Average annual premium* | NAIC complaint score | Endorsem*nts for natural disasters | Standard coverage | Learn More |
|---|---|---|---|---|---|
| $1,950 | High | Yes | Actual cash value | EXPLORE PLANS |
| $2,231 | High | No | Actual cash value | EXPLORE PLANS |
| $2,215 | High | Yes | Actual cash value | EXPLORE PLANS |
| Provider | Average annual premium* | NAIC complaint score | Endorsem*nts for natural disasters | Standard coverage | Learn More |
|---|---|---|---|---|---|
| $1,950 | High | Yes | Actual cash value | EXPLORE PLANS |
| $2,231 | High | No | Actual cash value | EXPLORE PLANS |
| $2,215 | High | Yes | Actual cash value | EXPLORE PLANS |
No results were found.
Liberty Mutual charges lower rates than State Farm and Allstate but also has a high complaint score, indicating potential issues with customer support. Allstate does not offer endorsem*nts for natural disasters, making it less suitable for homeowners in areas with a high risk of severe weather events.
Frequently Asked Questions About Liberty Mutual
One of the most significant downsides of Liberty Mutual is you might find it challenging to deal with its customer support. The company ranked below average in the latest customer satisfaction study, published by J.D. Power. We recommend reading customer reviews on trusted platforms such as the Better Business Bureau (BBB) and Trustpilot to learn more about policyholders’ experiences with support.
Liberty Mutual Insurance is not as expensive as other providers. It charges an annual average cost of $1,950, lower than the national average of $2,417. You can also lower your costs through discounts.
AM Best assigned an A rating to Liberty Mutual, meaning the insurer has a strong ability to meet its ongoing financial obligations.
The ideal homeowners insurance plan should offer the best deal based on your coverage requirements and budget. After assessing the cost to totally rebuild your home, you can determine how much coverage you need. We recommend speaking with an insurance agent or financial advisor for further guidance.
Methodology: Our System for Ranking the Best Home Insurance Companies
Our team surveyed dozens of home insurance providers and created a scoring system to assess and compare each company’s quality and service. Here are the factors that account for our provider scores according to our home insurance rating methodology:
- Cost (27%): We compare cost data for homes nationwide to assess how competitively priced each provider is. We also consider each company’s available discounts when determining its overall cost of coverage.
- Coverage (28%): We analyze the comprehensiveness of each provider’s standard home insurance policy and compare optional policy endorsem*nts to determine the quality of coverage.
- Availability and ease of use (15%): We evaluate each company’s customer service options, such as live chat, a customer support phone line, and multiple channels for filing claims and generating quotes. Similarly, we score providers based on their digital resources, such as a mobile app or online customer portal.
- Brand trust (15%): We gauge reputation by evaluating consumer reviews and third-party financial strength and customer experience ratings, including from J.D. Power, AM Best and customer review aggregators.
Companies with the best customer service exhibit 24/7 availability, useful digital tools and a quick claims-filing process. Providers that offer extensive discount options, endorsem*nts, customizable coverage options and unique features score significantly higher than those that don’t, putting them toward the top of our recommendations to readers.
AM Best Disclaimer
How We Gather Cost Data
We at the Marketwatch Guides Team gathered home insurance quotes for the providers in this article using data from Quadrant Information Services. Quadrant is a leading source of property and casualty insurance solutions and data.
Our sample homeowner is a 40-year-old single male with good credit and no prior claims history. Our sample policies featured a $1,000 deductible and the following coverage and limits:
- Dwelling: $350,000
- Other Structures: $25,000
- Personal Property: $150,000
- Loss of Use: $50,000
- Liability: $300,000
- Medical Payments: $1,000
For each provider, we gathered a quote for 50% of the ZIP codes in every state it is licensed in. We used the most populous ZIP codes for our study. We took the average of these individual quotes to calculate a national average premium per provider. Our sample rates are for informational purposes only. Actual premiums will vary.
If you have feedback or questions about this article, please email the MarketWatch Guides team ateditors@marketwatchguides.com.
Saad ImranAuthor
Saad Imran is a personal finance writer with expertise in insurance, loans, credit cards and mortgages. When not writing, he’s a cat enthusiast who loves playtime with his furry companion.
Tori AddisonEditor
Tori Addison is an editor who has worked in the digital marketing industry for over five years. Her experience includes communications and marketing work in the nonprofit, governmental and academic sectors. A journalist by trade, she started her career covering politics and news in New York’s Hudson Valley. Her work included coverage of local and state budgets, federal financial regulations and health care legislation.
