Buying homeowners insurance in Arkansas can be overwhelming. That’s why we created this ultimate guide to help you navigate your home insurance policy and make the process easier.
Home Insurance Overview
Homeowner coverage is a type of property insurance that is tailored to cover the physical building along with its contents.
It’s known as a multi-line policy, which means, that any policy premiums that are paid will collectively cover both the liability and property elements of the coverage.
The cost of any homeowner insurance in Arkansas is determined by the value of its content and the replacement cost of the property.
People buy property insurance for one or all of these three reasons:
- To meet the contractual needs of a mortgage provider – The vast majority of lenders will insist you buy homeowners insurance.
- To get personal liability coverage – If a person sustains an injury or their property is damaged while they are on your property, your personal legal liabilities are covered by this.
- To get coverage for the property and its contents – For a range of covered events, you get protection for the building along with your personal contents.

How much coverage do I need for my home?
Having the right amount of coverage for your property is essential.
In terms of a dollar amount, this needs to be enough insurance to cover the below potential outgoings.
- Replacing your contents – personal effects
- Rebuilding your property – extended dwelling insurance
- Reimburse living expenses follow the loss of an insured property – extra living expenses
- Coverage for any damages or injuries occurring on the property – liability
You’ll need to decide how much coverage you need, the policy limits, and pick whether or not you will be prepared to pay a higher price for the full replacement cost value (aka RCV), or the actual cash value (ACV).
ACV takes depreciation into account when deciding on the present-day value of your property and its contents.
RCV is the full replacement cost value, which gives you an exact replacement or the cost of a full rebuild; depreciation is not a factor.

Types of Homeowners Insurance
There are many different types of policies to choose from, these are often referred to as H0-1 through HO-8. Here, we explain what each of these are and what they cover.
HO-1 – Basic Homeowners Policy
This gives you, as the homeowner, protection from ten 10 basic perils, such as smoke, explosions, fire, volcanic eruptions, lightning, and aircraft damage.
HO-2 – Broad Form Policy
With this Broad Form policy, you are covered the same ten perils on a HO-1 policy, and more! Such as an accident caused by an electric current. Your personal belongings, the structure of the building, and your personal liabilities will each be covered.
HO-3 – Special Form Policy
With this Special Form policy, you get all of the coverage included with an HO-2 policy, and more! If you injure a person or damage their property, then this covers you for that too.
HO-4 – Tenant’s Form
This is designed specifically for renters, and it’s also referred to as renter’s insurance. So, if your search for homeowner insurance in Arkansas is actually for contents coverage and personal liability, then this coverage is for you.
HO-5 – Comprehensive Form
As the most comprehensive coverage of all, an HO-5 will give you coverage for more perils than other policies.
HO-6 – Condominium Unit Owners Form
If you own or occupy a condo, this will give you coverage for any personal property, along with your floors, walls, ceilings, and all named perils, and it can extend coverage to include damages or alterations up to pre-set limits.
HO-7 – Mobile Home Form
This is similar to H0-3, but it’s only for mobile homes.
HO-8 – Older Home Form
This homeowner insurance is designed to meet the needs of older homes; and where a rebuild cost is greater than the present-day market value.

Arkansas Homeowner Insurance – What is Covered?
Coverage only applied when a loss is suffered as a result of a ‘covered’ event. For most homeowner insurance policies in Arkansas, the covered perils include:
- Vandalism
- Fire
- Wind
- Smoke
- Lightning
- Falling Objects, inc. trees
- Hail
- Explosions
- Weight of sleet, snow, ice
- Theft
- Water Damage – ruptured pipes
- Damage caused by a vehicle, inc. aircraft
What is Not Covered by homeowner insurance?
Each insurer may offer a slightly different variant to covered and un-covered perils, so you’ll always need to double-check individual policy terms. However, these are the most common exclusions:
- Pollution damage
- Damage caused by rodents, birds, pets, or insects
- Sewers or floors that get backed up
- Any land movements, such as mudflows, earthquakes, and landslides.
- Generic wear and tear
- Intentional damage
What is the average cost of homeowner insurance in Arkansas?
According to the most recent statistics, the average cost of an Arkansas homeowner insurance policy is $1,373. It’s the 13th most expensive state, with annual premiums above the national average, which is $1,211.
Getting a quote for homeowner insurance in Arkansas is quick and easy with M&P Insurance. We’ll need to know a little information about the property. Such as its location, construction, age, square footage, roof type, foundation type, garage type, HVAC system information, size of the property, along with any types of security measures.
Learn how to save money on both your car and home insurance in our recent post.
Stop by or give us a call and let us help you find the best homeowners insurance. Our team is friendly, we’re easy to deal with, and we offer competitive prices for your all your personal insurance needs.