Connecticut homeowners insurance rate increases have slowed considerably from their 2024 peak. But slower is not lower. Rates climbed steeply from 2022 through 2025, and nothing on the horizon rolls back those increases. For most families, their house is the largest asset they own, which makes the more pertinent question at renewal whether your homeowners insurance in Connecticut has kept pace with what it now costs to rebuild.
As your local agents and fellow homeowners, we face the same pressures. Brooks, Todd & McNeil works to find you competitive pricing without letting your coverage fall behind inflation and rebuilding costs.
How Much Have Connecticut Homeowners Rates Really Climbed Since 2022?
The steep climb began in 2022. Connecticut Insurance Department (CID) reports show that the average homeowners rate increases allowed by the department were 5.1% in 2022, 9.6% in 2023, 13.5% in 2024, and 8.7% in 2025.
Recently, the pace has slowed. Carriers requested an average 9.1% in 2025, down from 14.4% the year before, and CID allowed 8.7% against 13.5% in 2024. But a smaller increase is still an increase, stacked on top of everything already approved since 2022.
These numbers are also statewide averages that often skew actual results because they combine carriers that filed 0% with carriers that filed well into the double digits in a single year. As a result, many individual households, particularly with standard-market carriers, have seen cumulative increases well above the blended average. In our agency’s experience, we have seen our carriers raise rates by 40% to 60% from 2022 through 2025.
Why Slower Growth Doesn’t Mean Rates Are Coming Back Down
Home insurance rates are likely to remain high because the underlying costs have not reversed. Rebuilding a Connecticut home still costs far more than it did in 2022. Building material prices are up 5% from a year ago, the largest annual increase since December 2022, with softwood lumber alone up more than 17%.
Carriers file their rates with the CID, which reviews them for actuarial support and pushes back on filings it finds unjustified. That review trimmed $10.34 million from requested homeowners increases in 2025. But review shapes the size of the next increase. It does not roll back increases already in effect.
If I Haven’t Filed a Claim, Why Is My Rate Still Going Up?
Insurers price your policy against the expected losses for groups of similar homes in similar areas, not just your own record. Your claims history matters, but it is one input among many. Your home’s location, construction type, age, replacement cost, wind and storm exposure, and other features also affect your premium, even if you have never filed a claim.
Does Your Coverage Match Today’s Rebuilding Costs for Your Largest Asset?
When premiums rise, many homeowners look to save. But with reconstruction costs still rising, your dwelling limit (Coverage A) needs to reflect what it would cost to rebuild your home today, which is a completely different number from what your home might sell for. That figure has to absorb labor, materials, permits, and debris removal.
Most replacement-cost policies also condition full settlement on insuring to at least 80% of replacement cost, so an outdated limit can reduce what you collect even on a partial loss. Ask us whether extended or guaranteed replacement cost coverage is available on your policy, which adds a cushion above your stated limit.
An outdated dwelling limit also limits your additional living expenses (ALE) coverage, which reimburses the increase in your living costs when a covered loss leaves your home unfit to live in. ALE is commonly written at 20% to 30% of Coverage A and is usually capped by a time limit as well as a dollar limit, often 12 or 24 months. So if your Coverage A hasn’t moved since 2021, neither has the amount available for a hotel or a rental, right as those costs have climbed, too.
A Word on Flood Coverage
Our post about flood safety explains why homeowners cannot assume they are safe from flooding, if not in proximity to water. In August 2024, storms dropped more than a foot of rain on parts of southwestern Connecticut. The flooding caused an estimated $300 million in damage to roughly 2,000 Connecticut homes and businesses, and a federal emergency declaration followed for Fairfield, Litchfield, and New Haven counties.
Many of those owners had only a standard homeowners policy, which excludes flood damage. Connecticut law now addresses that gap. Under Public Act 25-33, homeowners and renters policies effective on or after July 1, 2026, must carry a clear notice that flood losses are not covered and that separate flood insurance is available. Your agent is also required to give you that notice in writing when you apply and to document your decision if you decline flood coverage.
Smart-Home Upgrades Can Prevent Losses and May Reduce Your Costs
When looking for lower premiums, don’t overlook loss-prevention technology. Depending on your carrier and policy, you may qualify for credits or programs that provide smart-home devices such as:
- Water-leak sensors that identify a plumbing leak before it damages several rooms or floors.
- Water flow automatic shut off valves
- Low-temperature sensors that alert you before frozen pipes cause major water loss
- Electrical monitoring sensors that identify electrical risks before they develop into a fire
Carrier programs vary. Some offer premium credits. Others provide the device and monitoring service at no charge for a set period. For example, some insurers cover both the sensor and the first two years of monitoring service.
The main benefit is preventing or limiting a claim. If you catch a leaking pipe early, you may only need to dry a small area rather than replace flooring, drywall, cabinets, and personal property. An electrical sensor can identify a hazard behind a wall before it causes a fire. We will help you review what your carrier offers and how to implement it. You cannot assume a credit or program on someone else’s policy is available on yours.
What To Do Before Your Next Renewal
Connecticut homeowners have seen the pace of increases slow since 2024, but the data show it’s unrealistic to expect premiums to return to 2022 levels. Your best bet is to stay informed and take every available action to lower your rate without compromising adequate protection.
Use your renewal to check that Coverage A matches current rebuilding costs, confirm your additional living expenses coverage, review your flood risk, and see what smart-home credits or loss-prevention programs your carrier offers.
Contact Brooks, Todd & McNeil for a detailed review of these numbers before renewal, and we’ll explain where your policy may need adjustment. We look for savings while confirming your limits are set to respond if your home suffers a serious loss.
FAQ About CT Home Insurance
Will Connecticut home insurance rates go down in 2026?
No. Increases have slowed, but a slower increase is still an increase. Nothing in CID data points to premiums returning to 2022 levels.
How much have Connecticut homeowners insurance rates increased since 2022?
CID reports average allowed homeowners rate increases of 5.1% in 2022, 9.6% in 2023, 13.5% in 2024, and 8.7% in 2025. Individual carrier and policyholder premiums vary, and some homeowners have experienced substantially larger cumulative increases.
What is additional living expenses coverage?
ALE, or loss-of-use coverage, can pay eligible additional living costs when a covered loss makes your home unfit to live in. The limit is frequently tied to Coverage A, although the percentage and terms vary by policy.
Can smart-home devices lower my Connecticut homeowners insurance premium?
Possibly. Credits vary by insurer, device, and policy. Some carriers offer discounts for water, temperature, or electrical monitoring, while others provide certain devices or monitoring services at no charge.
What can I do to lower my home insurance premium in Connecticut?
Review mitigation credits, deductibles, discounts, and carrier options with your independent agent. Just as important, make sure a lower premium does not result from cutting dwelling, loss-of-use, or other coverage you may need after a major claim.
About the Author
Stephen G. Todd, CPCU CIC is owner, President and CEO of Brooks, Todd & McNeil, bringing more than three decades of experience across underwriting, claims, and agency leadership. He began his career with Travelers Insurance Company, where he held roles in Home Office Finance, National Account Claims litigation, before serving as a commercial lines underwriter with American States Insurance Company. Since joining Brooks, Todd & McNeil in 1991, Stephen has led key operational areas and helped drive innovation, including the development of the insurance industry’s first real-time personal lines comparative rating system. A recognized industry leader, he has served on numerous carrier advisory councils and remains actively involved in both professional and community organizations.
About Brooks, Todd & McNeil
Since 1839, the independent agents at Brooks, Todd & McNeil have been pleased to offer our community policies from a variety of providers. To learn more about our products and services, contact us today at (800) 448-4567.