Insurance review of the homeowners of Liberty Mutual (2022)

Founded in 1912, Liberty Mutual Insurance has grown over the past 100 years to include a wide variety of investment and insurance products. The company offers policies for home, auto, fire, workers' compensation, and liability coverage for both homes and businesses.

Liberty Mutual Homeowners Insurance Review (2022)

Headquartered in Boston, Liberty Mutual Insurance has more than 50,000 employees working in 900 offices in 29 countries around the world. It stands as one of the few homeowners insurance companies in our rating that offers service in all 50 states.

Giving back a total of over $64 million in 2020, Liberty Mutual’s philanthropic efforts include helping the homeless, supporting education in underserved communities, and promoting accessibility for those with disabilities.

Pros:

• One of the least expensive insurance providers in our ratings
• Multiple discounts available, including 10% off for purchasing online in most states
• Optional coverage for damage from water that backs up into your home

Cons:

• May deny coverage if you own certain dog breeds

Liberty Mutual is No. 9 in our rating of the Best Homeowners Insurance Companies of 2022. That said, it's almost at the top for Cheapest Homeowners Insurance rating, at No. 2.

If you are looking for a good deal, Liberty Mutual has lots of discounts that can help drive down the price. Plus, in many states, you get 10% off your base policy when you buy it online. (This discount is not available in California).

Liberty Mutual also offers standard discounts, including multipolicy, claims-free, protective devices (for items such as home security systems), and new-home discounts, as well as some discounts that are out of the ordinary. These include a new roof discount and an Insured to Value discount that saves you money when you insure up to 100% of the cost to replace your home. However, Liberty Mutual may increase the price of your policy or decline to insure you if you own certain dog breeds.

For those who like to use digital tools to purchase and manage your homeowners insurance policy, Liberty Mutual has a lot of good options, including a comprehensive website where you can view policy options, manage billing, and file and manage claims. You can do all of this from its mobile app. If you prefer, you can call Liberty Mutual directly or use its online agent locator tool to talk to an agent near you.

Bottom Line:

If you’re looking for a good homeowners insurance policy at an affordable price, Liberty Mutual may be a good choice for you. The insurance company offers a selection of standard and less common discounts to help you save even more.

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Liberty Mutual

What Homeowners Insurance Coverage Options Are Available From Liberty Mutual?

A standard homeowners policy with Liberty Mutual includes coverage for your home and attached structures such as a deck, breezeway, or garage. Your policy also includes coverage of other structures on your property like a tool shed, outbuilding, or detached garage. Standard coverage includes the following:

Dwelling coverage: 

Your Liberty Mutual homeowner policy covers property damage to your home, including damage to fences and driveways. Your coverage offers protection from fire, water, theft, vandalism, and weather (including wind and hail damage).

Personal property coverage: 

Liberty Mutual will pay you the actual cash value of a damaged or lost item to help pay for the cost of replacing it. These include personal items like furniture, clothing, electronics, and even personal property you use outside your home. 

Personal liability and medical payment to others: 

This coverage helps pay for expenses incurred if someone suffers accidental injury or damage to personal property while in your home. Liberty Mutual can help pay for legal expenses if you are sued for damages in most situations. It will also help pay the medical bills of the injured party.

  

Additional living expenses/Loss of rent: 

Liberty Mutual will help you with living expenses resulting from a covered loss. This can include if you were displaced as a result of a fire or hurricane or if local authorities restrict you from entering your neighborhood because of a hazard.

Liberty Mutual offers coverage similar to a conventional homeowners policy for landlords, condo owners, and owners of mobile or manufactured homes, as well as renters insurance.

Where Is Coverage Available From Liberty Mutual Homeowners Insurance?

Available in:

1. Alabama
2. Alaska
3. Arizona
4. Arkansas
5. California
6. Colorado
7. Connecticut
8. Delaware
9. District Of Columbia
10. Florida
11. Georgia
12. HawaiiIdaho
13. Illinois
14. Indiana
15. IowaKansas
16. Kentucky
17. Louisiana
18. Maine
19. Maryland
20. Massachusetts
21. Michigan
22. Minnesota
23. Mississippi
24. Missouri
25. Montana
26. Nebraska
27. Nevada
28. New Hampshire
29. New Jersey
30. New Mexico
31. New York
32. North Carolina
33. North Dakota
34. Ohio
35. Oklahoma
36. Oregon
37. Pennsylvania
38. Rhode Island
39. South Carolina
40. South Dakota
41. Tennessee
42. Texas
43. Utah
44. Vermont
45. Virginia
46. Washington
47. West Virginia
48. Wisconsin

What Homeowners Insurance Discounts Are Offered by Liberty Mutual?

Liberty Mutual offers several discounts. The amount of savings and availability will vary by state.

Multipolicy discount: 

Combining homeowners insurance with an auto policy, business insurance, life insurance, or any other insurance policy through Liberty Mutual can help you save money.

Claims-free discount: 

If you’ve gone without a homeowners claim for five years or more with another insurer, you may be eligible for a discount if you switch to Liberty Mutual.

Protective devices discount: 

Adding protective devices such as smoke alarms, deadbolts, fire extinguishers, fire alarms, burglar alarms, water leak detection, and shutoff devices, or sprinklers can get you a discount on homeowners insurance with Liberty Mutual.

Newly purchased home: 

If you just bought a new home, you could qualify for lower rates with Liberty Mutual.

Safe Homeowner Program: 

Liberty Mutual policyholders who go three or more years without making a claim may be able to save on premiums.

Early shopper discount: 

Homeowners insured by another company may get a discount if they request a quote from Liberty Mutual before their current policy runs out.

Insured to value discount:

Insuring your home at replacement cost rather than market value may make you eligible for a discount.

New/renovated home discount: 

New or newly renovated homes may qualify for savings.

Preferred payment discount: 

Paying premiums through an automatic monthly transfer from your bank qualifies you for another discount.

Military discount: 

Liberty Mutual offers discount rates to active members of the military and veterans.

New roof discount: 

Replacing your roof makes you eligible for this discount, which can also be applied to new homes.

Paperless policy discount:

Going digital can save you money on your insurance.

What Additional Homeowners Coverages Are Offered by Liberty Mutual?

A variety of additional coverages are available from Liberty Mutual. Coverage availability may vary by state. The company's online estimating tool can give you an idea of cost, but it is best to talk to an agent or company representative to help determine the right coverage for your needs.

Scheduled items: 

For valuables like jewelry and art, this provides more coverage than what is included in a standard homeowners policy.

Flood insurance:

Minor damage from a burst pipe or leak is typically covered under a standard homeowners policy, but additional coverage for flooding may be required if your home is located in a flood plain or near another potential source of a flood. Flood insurance may be a good idea regardless of where you live, but you can check your flood zone using the National Flood Insurance Program’s flood maps. The Federal Emergency Management Agency (FEMA) estimates that about 25% of all flood claims come from areas with low to moderate flood risk.

Earthquake coverage:

Like other insurers, Liberty Mutual does not provide earthquake insurance as part of a standard policy. Coverage is optional and availability varies by state. Rates also vary widely depending on risk. To better understand your earthquake insurance needs, use the fault line map provided by the Department of Interiors U.S. Geological Survey to determine your proximity to a fault line and risk of experiencing an earthquake.

Hurricane coverage: 

This coverage option is specifically designed to cover damages from a hurricane and not other destructive weather. Keep in mind that your state may require a separate deductible for this coverage.

Personal property coverage: 

Standard personal property protection with Liberty Mutual includes limited coverage. Optional coverage raises that limit to help cover the cost of pricier valuables or collectibles.

Replacement cost for belongings: 

Rather than issuing you the replacement cost if a damaged or lost item, this coverage option will pay you the actual cash value of the items at the time of loss and then up to the full amount of the cost in the current market.

Blanket jewelry coverage: 

This coverage option simply replaces lost or stolen jewelry, with no deductible or need for an up-front appraisal.

Umbrella coverage: 

This optional coverage adds liability protection beyond what is included in a standard Liberty Mutual car insurance or home policy. An umbrella policy includes $1 million in coverage with higher limits available and covers those in your household. Coverage is worldwide and includes rental properties and defense costs, attorney fees, and other legal expenses associated with a lawsuit.

Inflation protection: 

When you opt for this coverage, Liberty Mutual will automatically adjust your coverage limits when it's time to renew your policy to keep pace with inflation. You’ll also get a discount on your premium.

Water backup and sump pump overflow coverage: 

This helps cover water damage to your home and belongings in the event of a sewer or drain backup or sump pump failure, something that isn't covered by a standard policy.

Identity fraud expense coverage: 

This provides coverage for attorney fees, reimbursement for certain expenses, and other costs associated with fraud and identity theft.

How Do I Buy Liberty Mutual Homeowners Insurance?

To purchase a policy from Liberty Mutual, follow these steps:

Estimate the coverage you’ll need. 

A home inventory can help with this, and Liberty Mutual has a Home Insurance Coverage Calculator tool you can use. Decide whether you will need additional coverages such as earthquake, flood insurance, or coverages your mortgage provider requires. 

Call Liberty Mutual or visit its website. 

For most locations you can get a homeowners insurance quote online, but in some cases you will need to call for a quote. 

Have details on hand for the property you want to insure, 

including address, age of the home, age of the roof, and any protective devices installed such as alarm systems and smoke detectors.

Provide information about your insurance history, 

including any claims you’ve made and your current insurance details, as this can help you get additional discounts.

Get your quote. Once you’ve provided all the information, 

you will either receive an online quote and directions for the next steps to purchase the policy, or be prompted to call Liberty Mutual to provide more information.

How Do I File a Homeowners Insurance Claim with Liberty Mutual?

To file a claim, make sure you have the details of what happened and the approximate date, and then follow these steps:

Contact the police.

If your claim involves a crime like theft or vandalism, first call the police and file a report.

Contact Liberty Mutual. 

There are multiple ways to file a homeowners insurance claim with Liberty Mutual. The company recommends doing so online, saying it typically only takes five to 10 minutes. You can also file through the Liberty Mutual app, by calling Liberty Mutual agent near me, or in person with your local agent.

Review the damage.

Document any damage with photos and/or video. If you have security cameras, download any relevant footage.

Make temporary repairs.

Make sure to fix any damage that could cause further harm. Keep the receipts for any materials or work you pay for.

Connect with a claim handler. 

Liberty Mutual will assign a claim handler to you and may send an adjuster to view the damage.

Update your claim. 

Follow up with photos, receipts, and repair quotes. Track your claim’s status either online or by calling your claims handler.

Liberty Mutual vs. the Competition

State Farm

Liberty Mutual vs. State Farm

State Farm is higher in our ratings, at No. 4, whereas Liberty Mutual is No. 9. State Farm also has a better financial rating with AM Best, receiving the highest A++ compared to Liberty Mutual’s A rating. That said, both have strong financial ratings. State Farm has a much wider range of optional add-on coverages but fewer discounts than Liberty Mutual. If you’ve recently bought a home or made significant upgrades, Liberty Mutual may be the best choice because of the many discounts available. Additionally, its premiums are among the cheapest of all companies in our ratings. However, State Farm may be a better choice if you are upgrading your roof, as it doesn’t require a larger deductible for roof losses, as some companies do, and offers a roofing material discount in several states.

Progressive

Liberty Mutual vs. Progressive

Progressive is a new entry in our Best Homeowners Insurance Companies of 2022 ratings, tying for last place with a score of 3.4 out of 5. Liberty Mutual is one spot ahead in ninth place with a score of 3.5. For the cost-conscious homeowner, Liberty Mutual has some of the lowest pricing in our ratings, plus plenty of additional discounts. Progressive has lots of discounts, although its pricing and coverage vary significantly based on where you live.

Liberty Mutual FAQ

What Does Liberty Mutual Homeowners Insurance Cover?

A standard Liberty Mutual homeowners policy includes:

• Dwelling coverage – Dwelling coverage is designed to cover your home if it is damaged by a covered event.
• Other structures coverage – This coverage typically covers structures that are on your property, but are not part of your home, like a garage or fence.
• Loss of use coverage – Loss of use, or additional living expenses insurance, is used when you are forced to move from your home. This will help cover moving costs, transportation fees, parking fees, and more, to a certain extent.
• Personal property coverage – This covers the actual cash value of your personal property if it has to be replaced because of a covered loss.
• Personal liability coverage – Personal liability can help if you face a lawsuit when an accident happens on your property.
• Guest medical coverage – Guest medical coverage is meant to help cover medical expenses for someone who doesn’t live with you, but is injured on your property.

The policy also has the option of adding on identity theft protection, valuable possessions coverage, flood insurance, earthquake, water backup, and dwelling/personal property replacement.

What Does Liberty Mutual Homeowners Insurance Not Cover?

A standard policy with Liberty Mutual does not include flood or earthquake coverage, both of which may be required by your lender, depending on where you live. Coverage for water backup from a clogged drain or failed sump pump is also not included in a standard policy but is available at extra cost. Valuable art, jewelry, or collectibles may also require additional coverage.

Like most homeowners insurance companies, Liberty Mutual doesn’t cover any repairs or replacements that are the result of normal wear and tear. However, coverage of appliance issues resulting from normal use is available under a plan liberty home warranty.

How Much Is Liberty Mutual Homeowners Insurance?

We calculated a monthly cost of $112.75 with Liberty Mutual for a $450,000 townhouse in Naperville, Illinois. Your insurance rate will vary depending on various factors, including:

Location: 

Weather and other regional factors play a role in determining the price of your policy.

Age: 

The age and condition of your home are an important piece of information in calculating your insurance rate. Building materials and the age of your roof affect how much you will pay.

Size: 

The overall size of your home can impact the price of your home insurance. In general, it costs more to insure a larger home.

Safety Devices: 

Home security systems, smoke detectors, security cameras, and other safety features can help lower your insurance expenses.

Does Liberty Mutual Homeowners Insurance Cover Mold?

While mold is not covered by Liberty Mutual home insurance, a policy may cover the cause of mold: water damage. Water damage or backup from sewers, drains, and sump pumps are all covered with add-on water backup coverage, referred to as Escape of Water coverage. By addressing water issues early, you can prevent the growth of mold before it starts.

Does Liberty Mutual Homeowners Insurance Cover Water Damage?

A burst pipe or failed washing machine hose may be covered by a standard home insurance policy, but a number of factors come into play. For example, if the cause is deemed to be poor maintenance, you may be out of luck. Flood damage is not covered, nor is water damage from a clogged drain or failed sump pump. Both can be covered with optional homeowners insurance.

Does Liberty Mutual Homeowners Insurance Cover Termites?

In general, damage caused by pests such as birds, vermin, rodents, or insects, or animals owned or kept is not covered.

Does Liberty Mutual Homeowners Insurance Cover Theft?

Loss from theft is included in a standard homeowners policy. The amount covered will depend on the coverage limits of your policy and whether or not you have a policy with replacement cost coverage. Also, valuable jewelry, art, or other collectibles may require optional coverage.

Does Liberty Mutual Homeowners Insurance Cover Roof Leaks?

Yes, if the leak is caused by wind, hail, lightning, or something else covered by your homeowners policy. Liberty Mutual does not cover damage caused by leaks from normal wear and tear or faulty workmanship.

Does Liberty Mutual Homeowners Insurance Cover Tree Damage?

Coverage for tree damage will depend on why it falls. If the tree is healthy and falls due to wind, it may be covered. If the tree is unhealthy when it falls, the cause may be considered to be a lack of maintenance, which isn't covered by your policy.

Regardless of condition, the tree itself probably isn’t covered if it simply falls in your yard without causing damage. Coverage will vary by circumstance, so consult an agent.

Does Liberty Mutual Homeowners Insurance Cover Personal Injury?

A standard policy provides liability coverage for injuries to guests, but you may want to consider additional coverage if you have a trampoline, pool, or other risks on your property. Injury to the policyholder is not covered.

Does Liberty Mutual Homeowners Insurance Cover Fire?

Fire insurance is included with a standard policy from Liberty Mutual. The National Fire Protection Association (NFPA) reports that between 2014 and 2018 more than a quarter of reported fires took place in homes. It estimates that U.S. fire departments responded to an average of 353,100 home structure fires per year. The top causes of these fires were identified as cooking, heating, electrical distribution, and lighting equipment.

Does Liberty Mutual Homeowners Insurance Cover Insect Damage?

Insect damage or insect removal is deemed to be caused by a lack of maintenance and typically is not covered.