Digital Insurance Platform Finds Homeowner’s Insurance Prices are on the Rise

Matic, a leading digital insurtech platform, recently released its mid-year premium trends report, analyzing key developments in the home insurance landscape during the first half of 2025. Drawing from a dataset of Matic-quoted and insured properties, the report highlights the growing challenges faced by homeowners, mortgage entities, and the broader housing market as affordability concerns and coverage limitations persist.

According to Matic’s data, the average home insurance premium for new policies rose 9.3% from 2024 to 1H 2025, reaching $1,966. While this marks a slowdown from the steep increases of recent years, it continues a multi-year trend of elevated cost growth. Since 2022, premiums for new policies have increased by 45%, while coverage itself has grown by less than 12%. As a result, many homeowners are paying significantly more for proportionally less coverage.

The report notes that premium increases are fueling an affordability crisis and making homeownership less attainable, especially in regions experiencing the sharpest rate hikes.
​
“In some cases, homeowners are now spending more than half of their monthly mortgage payment on insurance and taxes,” said Ben Madick, CEO and Co-founder of Matic.