Considering the Cost of Homeowner’s Insurance in Central Oregon

Whether you’re a first-time homebuyer or you haven’t purchased a home in the last few years, making such an important decision regarding homeownership requires careful consideration of the “carrying costs” so that we may reap the benefits of home ownership over the long term.

Beyond the purchase price, there are monthly mortgage payments, and perhaps mortgage insurance if you need a loan, property tax payments and homeowner’s insurance, utilities and maintenance, etc. Most buyers are advised to investigate the costs they can reasonably afford with their preferred lender or other trusted advisor before they start their home search.

But did you know that obtaining affordable homeowner’s insurance now in Central Oregon has perhaps become just as important to investigate upfront? The cost of insurance is rising in some areas as insurers adjust to increases in severe wildfires, climate changes and the costs of rebuilding. For many recent years, property insurance rates have been relatively predictable and stable for residential dwellings in our area. But much has changed in last few years, largely due to elevated wildfire risk. This increase in wildfire risk has resulted in increased regulatory pressure and requirements on insurers that serve high-risk areas, some of which are located here in our area.

In many parts of Central Oregon, premiums have doubled or even quadrupled compared to a few years ago; average policy coverage prices statewide have increased 30% since 2020, and some homeowners are facing non-renewals and cancellations because the insurer considers their property too risky depending upon the location. The insurance market has changed so drastically that the availability of coverage and its cost should be investigated and planned for in advance.

If you are in the market for a home purchase, work with your trusted real estate broker to investigate insurance coverage options. They can help you verify affordability in advance of your offer or as a contingency, just as you would with your lender for mortgage payments and property taxes. Your broker may help you to check if the home is in a high wildfire hazard zone on regulatory and risk assessment maps while considering the purchase. Be prepared to consider (or be required to) invest in mitigation such as creating defensible space around the home with vegetation management and perhaps consider that cost in your offer to purchase and be sure to compare multiple insurance quotes if possible as the cost savings from mitigation can vary widely between carriers.

If you are an existing owner in a high-risk zone, I would encourage you also to stay informed on whether your insurer is considering changes to their risk assessments in your area before your next annual policy renewal. Some topics for consideration include updates on any wildfire hazard maps your carrier may be using, legal protections and your rights, mitigation ideas and potential grants, and the local adoption of building codes such as for defensible space requirements in your area.

This article appears in the Source October 9, 2025.