How to Change Homeowners Insurance in 7 Simple Steps
Here's everything you need to know about switching your homeowners insurance.
If your home insurance is costing you too much, leaving you underprotected, or your insurer just isn’t showing up when it counts, finding something better is a smart move. The good news? Changing your homeowners insurance is easier than you think, and you can do it at any time. Here’s exactly how.
TL;DR
- You can switch homeowners insurance at any time, no need to wait for renewal.
- Review your current policy, figure out what coverage you actually need, compare quotes, and buy your new policy before canceling the old one.
- Never let coverage lapse. If you have a mortgage, notify your lender once the switch is done.
Step 1. Do your homework
Before anything else, pull out your current policy and read it.
Some policies have complicated language, so go through it carefully – especially the parts about what’s not covered (called exclusions). Note your coverage limits, your deductible, and any cancellation terms. You’ll need all of this when comparing new quotes.
Step 2. Check the calendar
Look for the effective date on your policy’s declarations page, that’s the page that summarizes your coverage, deductible, who’s insured, and more.
About three months before your annual renewal is a good time to start shopping. But you’re not locked in, you can change homeowners insurance anytime; no need to wait for your current policy to expire. Just be aware that some insurers may charge a cancellation fee if you end your policy early.
Step 3. Give yourself a refresher
Before you start getting quotes, take a step back and think about how much coverage you actually need. Things change – maybe you’ve renovated, bought expensive new gear, or your neighborhood’s property values have shifted.
Your home insurance is split into six coverage categories:
- Dwelling coverage: Protects your home’s structure against open perils
- Other structures: Covers things like your fence, driveway, or tool shed
- Personal property: Covers your stuff, from bikes to furniture
- Loss of use: Helps cover hotel bills or extra costs if your home becomes uninhabitable due to a specific named peril like a fire or windstorm
- Liability coverage or Personal Liability insurance: Helps out if there’s bodily injury or property damage to other people (or their stuff) as a result of your own actions-at your home, or anywhere else
- Medical payments: Covers medical bills (usually under $5,000) if a guest gets hurt at your home
Home insurance coverage isn’t one-size-fits-all. The amount of coverage you need will depend on the type of home you live in, and how much your stuff is worth.
One thing worth checking: liability coverage. Some insurers keep it low to lower your premiu, but if your home is worth $500,000 and you only carry $100,000 in liability coverage, you’re likely underinsured. If someone takes you to court, your assets could be at risk.
Also think about add-ons for high-value items (at Lemonade, we call this Extra Coverage), and if you’re in an area prone to wildfires, floods, or earthquakes, look into whether you need separate coverage for those.
And now’s a good time to remember that homeowners insurance won’t kick in for every single mishap or disaster; there are a bunch of things your home insurance policy won’t cover.
Step 4. Play the field
Now that you know what you need, it’s time to compare.
As you compare homeowners insurance rates from different insurers, make sure you get quotes with matching coverages, limits, and deductibles. This is the only way to do a real apples-to-apples comparison.
With Lemonade, you can get a quote in minutes without leaving your couch – just share some info about your home’s structure, roof, and materials. But definitely get a few quotes from different insurers before deciding.
Is switching actually worth it?
Right now, a lot of homeowners are in the same boat you might be. According to the JD Power in 2025, almost half (47%) of homeowners insurance customers in the United States experienced a premium increase in the past year – the highest rate of insurer-initiated rate raises in more than a decade. So if your rate has gone up, you’re far from alone, and shopping around is the right call.
That said, most insurance professionals recommend carefully comparing quotes before you switch carriers. Another carrier’s lower quote may be due to lower coverage limits or reduced coverage types. A lower premium only makes sense if the coverage still meets your needs.
One thing to check: bundling. For instance, bundling a Lemonade homeowners policy and a Lemonade Car policy could unlock a discount. It’s worth factoring that in.
Step 5. Do a background check
Numbers aren’t the whole story. How does the insurer actually treat customers?
Check out reviews on Trustpilot, Consumer Affairs, or Clearsurance. Look for patterns in how they handle claims, communicate, and respond to problems. You’ll also want to confirm they’re financially stable — a company that can’t pay out claims isn’t much of an insurer.
Price isn’t the only thing that matters. Remember to consider other important factors like the insurance carrier’s reputation and customer service availability. All of these can be great factors to add additional layers to your initial assessment.
Step 6. Cut ties with your ex
Found a policy you like? Time to make the switch.
Important rule: always buy your new policy before canceling your old one. You never want a gap in coverage.
If you’re switching to Lemonade, we make this easy. During the quote process, you’ll let us know you’re switching from another carrier. Once you’re signed up, Lemonade will cancel your existing policy at midnight on the day your new Lemonade policy kicks in.
If your previous policy doesn’t get canceled as it should, just send your old carrier the declarations page of your new Lemonade policy plus our cancellation request – they’ll be obligated to backdate the cancellation to your new policy’s start date.
What if you’re switching to someone other than Lemonade?
No hard feelings. You’ll need your new policy’s declarations page and proof of payment. Contact your old insurer and request cancellation effective on the start date of your new policy. If they raise concerns about a coverage lapse, just let them know you already have a new policy in place as of that date.
Also worth knowing: you may receive a refund check from your prior homeowners insurance company if you cancel your policy before it expires, reimbursing you for the coverage you already paid for. If your premiums are paid through an escrow account, you’ll need to forward that refund check to your mortgage lender so they can deposit the funds back into your escrow account.
And if you were bundling with your current insurer, check whether dropping your homeowners policy means losing discounts on your other coverage.
Step 7. Spread the word
The last step: tell your mortgage lender.
Once you’ve confirmed your cancellation, get in touch with your lender right away. You’ll need to send them:
- Your new policy’s declarations page
- Your old policy’s cancellation confirmation
- Your mortgage loan number (if they need it)
- Your old and new policy numbers
Your lender needs to know about your insurance change so they can direct homeowners insurance payments from your escrow account to the correct insurer. Pay attention to the mortgagee clause on your new policy, as it lists important information about your mortgage company. Your mortgage lender likely has a special mailing address for insurance documents, so make sure your new insurance company has it on file.
If you switched to Lemonade, we’ll help handle a good chunk of this legwork for you.
Before we go…
Switching homeowners insurance isn’t as complicated as it sounds. Before you do anything else, read your current policy -coverage limits, deductibles, exclusions, all of it. Then take a few minutes to think about what you actually need, because your situation may have changed since you first signed up.
When you’re ready to shop, make sure you’re comparing quotes with the same coverage limits and deductibles, otherwise you’re not really comparing the same thing. Once you’ve found a better policy, buy it before canceling your old one – you never want a gap in coverage. And if you have a mortgage, don’t forget to loop in your lender. They need to know about the switch. If you’re ready to see what Lemonade can do for you, a quote takes as little as 90 seconds.
Changing your homeowners insurance FAQs
Can I change my homeowners insurance at any time?
Yes. There are no rules as to when you can change home insurance companies. You can switch at any time, not just at renewal – all you have to do is choose a new policy, make sure it’s in place, and then cancel the old one. Just watch out for potential early cancellation fees.
What happens if I switch homeowners insurance mid-policy?
You can switch mid-policy without a problem, as long as your new coverage is active before the old one is canceled. You can also switch home insurance companies after filing a claim with your current insurer. After you switch, your old insurer will still handle the open claim – not your new one. Your claim will remain with your old insurance company until it’s settled or denied.
Will I get a refund if I cancel my homeowners insurance early?
Probably. If you cancel your policy in the middle of your term, you should expect a refund for any unused premiums. The exact amount depends on your insurer’s policy, so confirm directly with them.
Do I need to notify my mortgage lender when I switch?
Yes, this is a required step if you have a mortgage. If you have an escrow account, give your lender a heads up that you’re changing your homeowners insurance and provide the details of your new policy. They’ll check that your new policy satisfies their coverage requirements.
Is switching homeowners insurance worth it?
Often, yes. Switching home insurance companies can help you save money, improve your coverage, or get better customer service. Just make sure you’re comparing policies with equivalent coverage – a lower premium that comes with gaps in protection isn’t a real deal.
A few quick words, because we <3 our lawyers: This post is general in nature, and any statement in it doesn’t alter the terms, conditions, exclusions, or limitations of the policies issued, which differ according to your state of residence. You’re encouraged to discuss your specific circumstances with your own professional advisors. The purpose of this post is merely to provide you with info and insights you can use to make such discussions more productive! Naturally, all comments by, or references to, third parties represent their own views, and Lemonade assumes no responsibility for them. Coverage may not be available in all states. Please note that statements about coverages, policy management, claims processes, Giveback, and customer support apply to policies underwritten by Lemonade Insurance Company or Metromile Insurance Company, a Lemonade company, sold by Lemonade Insurance Agency, LLC. The statements do not apply to policies underwritten by other carriers.
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