Homeowners Insurance in Mercer Island, WA

Experts break down home insurance costs, coverages, and more for property owners on Washington's Mercer Island, WA.

Written by Meg Stefanac
Written by Meg Stefanac

Financial blogger and business owner, Meg Stefanac, has more than 15 years experience working in the financial services industry and enjoys helping individuals make solid financial decisions. Meg has extensive experience writing about insurance and finances and is a key contributor to TrustedChoice.com.

Reviewer: Jeffrey Green Reviewed by Jeffrey Green
Reviewer: Jeffrey Green
Reviewed by Jeffrey Green

Jeff Green has held a variety of sales and management roles at life insurance companies, Wall street firms, and distribution organizations over his 40-year career.  He was previously Finra 7,24,66 registered and held life insurance licenses in multiple states. He is a graduate of Stony Brook University.

Luxurious new construction home. How to Find the Best Homeowners Insurance in Mercer Island, Washington.

Mercer Island, WA is home to more than 25,000 people. Whether you are a lifelong resident or recently moved to this affluent Seattle suburb, if you own a house on Mercer Island, you can benefit from the protections offered by a solid homeowners insurance policy.

When you are looking for the best coverage for your Mercer Island home, a local independent agent can help. These agents work with various highly rated insurance companies to find you suitable coverage at a competitive price. Contact an independent insurance agent near you to learn more.

What Is Homeowners Insurance, and Is It Required in Mercer Island, WA?

Homeowners insurance is designed to cover loss or damage to the structure of your home and your personal property, including things like furniture, clothes, jewelry, and electronics. It can also shield you from large financial losses caused by liability lawsuits.

Although this insurance is not mandated by law, your lender may require it if you are still making mortgage payments or have taken out a home equity loan.

If you own your home outright with no liens against it, homeowners insurance coverage is optional but highly recommended, considering how valuable an asset your house is.

How Much Does Homeowners Insurance Cost in Mercer Island, WA?

Overall, home insurance rates in Washington are lower than the national average.

  • National average yearly premium: $1,211
  • Washington average yearly premium: $854

On Mercer Island, however, property values are very high, so you can expect your cost for coverage to be significantly higher than the state's average rate. Homeowners insurance companies base their premiums on several factors, such as: 

  • Your home's age, size, and rebuild value
  • The estimated value of your personal property
  • The crime rate and weather risks in your neighborhood
  • Your insurance claims history 
  • Whether you are bundling your home coverage with other policies like car insurance, boat insurance, or life insurance

Every insurance company has a specific way of assessing risk and calculating rates. Reviewing a selection of customized homeowners insurance quotes lets you choose the policy that offers the coverage you want at the most affordable price. Independent agents make comparison shopping easy.

What Does Homeowners Insurance Cover in Mercer Island, WA?

Homeowners insurance protects you in three crucial ways:

  • By covering loss or damage to your property
  • By paying for your extra living expenses if you are displaced from your home
  • By shielding you from financial losses if you are sued

Each of these types of coverage is explained in great detail below.

How Does Homeowners Insurance Cover Property in Mercer Island, WA?

Your home insurance policy includes three categories of property coverage:

  • Coverage A: This is called dwelling insurance. It covers damage to the structure of your house.
  • Coverage B: This is called other structures insurance. It covers damage to your property's other structures, like fences and sheds.
  • Coverage C: This is called contents insurance. It covers loss or damage to your personal property.

Each of these coverage types is designed to compensate you for loss or damage caused by many of the risks you are likely to face as a homeowner on Mercer Island. Covered events include:

  • Property crimes like burglary, vandalism, and arson
  • Fires, including accidental fires, wildfires, and fires sparked by hazards like earthquakes and lightning strikes
  • Severe weather events like thunderstorms, windstorms, hailstorms, and bomb cyclones

Learn more by talking to a local independent insurance agent.

How Does Homeowners Insurance Cover Mercer Island Residents against Displacement?

Sometimes, disasters like structure fires can cause significant damage to homes. If the damage is extensive, it can leave your house unsafe for habitation until repairs are made. That is why your homeowners insurance includes:

  • Coverage D: This is called loss of use insurance. It covers your extra living expenses if damage from a covered event displaces you from your home.

Loss of use insurance can pay for things like:

  • Hotel or other temporary accommodation costs
  • Meals and groceries
  • Moving and storage fees
  • Dry cleaning and laundry service costs
  • Mileage reimbursement if you must drive further to get to work
  • Pet boarding, if needed

Your loss of use coverage can continue until your house has been brought back to code and is safe to return to or until you have built or purchased a different primary residence.

Why Do Homeowners in Mercer Island, WA Need Personal Liability Insurance?

Everyone makes mistakes. Accidents and errors in judgment can sometimes cause harm to other people. Fortunately, in addition to covering your house and property, your homeowners insurance provides you with:

  • Coverage E: This is called homeowners liability insurance. It can cover court costs, legal fees, settlements, judgments, and other expenses if you or someone in your household unintentionally cause someone else to experience an injury, property damage, financial loss, or other harm.

Most home insurance policies max out between $250,000 and $500,000 worth of liability protection. If you have a lot to lose, you may want more liability coverage than your home insurance offers.

That is why many residents of Mercer Island also purchase umbrella insurance. This secondary coverage provides an affordable way to significantly boost all of your personal liability protection. A local independent agent can help you secure a suitable policy.  


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What Is Not Covered by Homeowners Insurance in Mercer Island, WA?

One reason homeowners insurance rates are so affordable in Washington State is that these policies do not cover some of the most expensive risks that can cause damage in the area. Specifically, most home insurance policies do not provide coverage against floods or earthquakes.


According to FEMA, just one inch of water in your home can cause as much as $25,000 in damage, but standard homeowners insurance policies do not cover flooding.

Fortunately, only around 175 homes on Mercer Island have a significant risk of sustaining flood damage over the next 30 years. If your house is among them, your insurance agent can supplement your home coverage with an affordable flood insurance policy through the National Flood Insurance Program (NFIP).


The risk of earthquake activity on Mercer Island is very high. According to the US Geological Survey (USGS), there is an 85.95% chance that a major earthquake (5.0 or higher) will occur within 30 miles of Mercer Island in the next 50 years.

A powerful earthquake can damage your home's foundation and structure and destroy your property. Earthquake insurance can protect you against losses related to this hazard. A local independent agent will be familiar with the risk earthquakes pose in this city and can help you find suitable coverage.

Does Mercer Island, WA Have a High Burglary Rate?

The burglary rate in Washington is higher than the national rate, but the rate is lower on Mercer Island. This is not to say the risk does not exist. Residents of this city report around 75 burglaries a year.

  • Number of burglaries per 1,000 people in the US: 3.76
  • Number of burglaries per 1,000 people in Washington: 5.34
  • Number of burglaries per 1,000 people in Mercer Island: 2.42

Home security systems effectively reduce your risk of being targeted by burglars. If you have installed a burglar alarm, surveillance cameras, and other security features in your home, you may even qualify for home insurance discounts.

Unfortunately, nothing is 100% foolproof against a determined burglar. It may therefore give you some comfort to know that your homeowners insurance can reimburse you for your lost property and cover the cost of repairing any associated damage to your house.

Where Can I Find Cheap Homeowners Insurance Near Me?

Buying the cheapest coverage is not always the best way to save money when insuring one of your most valuable assets. Often, the cheapest policies are low in quality. They typically come with:

  • Inadequate coverage
  • Extremely high deductibles
  • A slow and challenging claims process

When comparison shopping for home insurance coverage, it is important to consider the value more than the price. A high-value policy may cost a bit more each month, but it can save you a lot of money if you ever need to file a claim.

Independent agents save you time and money by providing you only with suitable, high-quality policies to review. That way, you can choose the policy that offers the best value for your money.

What Are the Best Homeowners Insurance Companies in Mercer Island?

The insurance companies that stand out above the rest are the ones that have consistently proven themselves with reliable coverage, competitive rates, timely claims processing, and excellent customer service.

Independent insurance agents in Mercer Island have established relationships with some of the best homeowners insurance companies in Washington State. You can be confident that when your agent presents you with policies and quotes to review, they all come from trustworthy insurers.

How Can an Independent Insurance Agent in Mercer Island Help?

Independent insurance agents make it easy to find the right homeowners policy to cover your Mercer Island home. These local agents can save you time and money by comparison shopping on your behalf. That way, you can be confident that you are getting the coverage you want at a competitive price.

Arrange an obligation-free consultation with an independent insurance agent near you to learn more and to start comparing customized quotes from some of the area's most highly rated providers.

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