Maine Home Insurance

Maine is a state with a high number of homeowners. The U.S. Census Bureau reports that 72.7% of Mainers owned homes from 2007 to 2011, compared with the national average of 66.1%. Whether you live along the coast or in one of the rural communities nestled away in Maine’s plentiful forests, you’ll need homeowner’s insurance to protect your property from weather-related catastrophes, as well as fire and theft.

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Stats in Your State

The Simple Dollar has gathered home insurance statistics to help Maine residents understand their options. The below statistics include home and renter’s insurance premiums in Maine compared with surrounding states, as well as the number of homes built and existing homes sold over the years.

Homeowner Insurance Premiums

Since 1999, according to the U.S. Census Bureau, Maine home insurance premiums have increased overall but remained consistently lower, sometimes much lower, than the national average. Maine’s mostly rural environment, mature population, and low crime rates all result in some of the lowest home insurance rates in the country.

Renter Insurance Premiums

According to the U.S. Census Bureau, Maine renters insurance premiums have, since 1999, remained much lower than the national average and have not increased significantly over time. Between 2005 and 2008, the average cost of a renters insurance policy in Maine actually decreased from $147 to $130, and to this day remains one of the most affordable and cost-effective types of insurance coverage.

Existing Home Sales

The U.S. Census Bureau reports an all-time high of 33,600 home sales in 2004, which then plunged to a low of 20,600 in 2008 following the subprime mortgage crisis. The year 2010 saw home sales rise to 22,800. Since 2010, the number of sales of existing homes, including single-family homes, townhomes, condominiums, and co-ops, has increased across the country, but numbers remain low or stagnant due to limited inventory and tight credit.

Flood Insurance in Region

Flooding is not a major concern for Maine homeowners. While storms and snow-melts can produce flooding in Maine, the state’s flood of 1987 being the most dramatic example, Maine typically has fewer days of thunderstorms than any other state east of the Rockies. From October 1, 2011 through September 30, 2012, Maine residents submitted just 55 claims to the National Flood Insurance Program, which made a total of $670,310 in payments.

Homes Built

The number of homes built in Maine has dropped steadily since 1989. The U.S. Census Bureau reports that between 1980 and 1989, 110,911 homes were built. In 2005, the number of homes built totaled just 24,291. The still recovering housing market has contributed to the drop in home building as well as low sales of existing homes.

Rules in Your State

Maine residents with questions about home or renters insurance, including insurance laws and regulations, can contact the Bureau of Insurance. The Bureau provides an online consumer’s guide to homeowner’s insurance as well as many other publications and online resources for homeowners.

Maine law allows insurance companies to cancellation a new homeowner's policy for almost any reason within the first 90 days. However, Maine law does impose some restrictions on insurers during that 90 day period:
  • A company cannot cancel or refuse to issue a property insurance policy based solely on the age of the property without considering its current condition.
  • A company cannot refuse to issue a property insurance policy solely because the previous owner of the property submitted claims for losses on the property.
  • A company cannot refuse to issue a property insurance policy solely on the basis of credit information.

Representatives & Resources in Your State

Maine residents can contact the following resources with questions about home ownership, affordable housing, or filing a complaint about an insurance provider.

Maine Bureau of Insurance
76 Northern Avenue
Gardiner, Maine 04345
Get Directions
Toll Free: (800) 300-5000 (In Maine)
Long Distance: (207) 624-8475
Fax: (207) 624-8599

Maine State Housing Authority
353 Water Street
Augusta Maine 04330
Get Directions
Phone: (207) 626-4600
Toll Free: (800) 452-4668
Fax: (207) 626-4678