Home insurance in Western Australia (WA)

Compare the Market customers in WA received an average premium quote of $1,722 a year for combined home and contents insurance. The average annual premium quotes were $1,432 for home building insurance and $416 for contents insurance.²

But what you pay might look quite different from these averages. Location is an important factor in WA, where exposure to cyclones, floods and bushfires differ considerably across the state. Your home’s rebuild cost, the amount of cover and excess you choose and local crime rates are also key factors that determine your premium.

Because premiums can vary significantly, it’s worth comparing policies before you buy to help find cover at a competitive price. Compare the Market can help you see a range of policies side by side so you can find an option that suits your budget.

Home insurance in WA can help cover the cost of repairing or rebuilding your home, your personal belongings, or both against a range of insured events, such as bushfires, cyclones, storms, and theft. Whether you live in your home, rent or own an investment property, different types of cover are available to suit your situation.

Depending on your policy, cover may include damage to your home building, contents or both resulting from the following insured events:

• storm and rainwater damage
• fire and smoke damage
• theft or attempted theft, vandalism or malicious damage
• escape of liquid causing damage
• lightning damage
• explosion damage
• earthquake or tsunami damage
• breakage of glass causing damage.

Additionally, you may be able to add some or all of the following optional covers to your policy for an extra cost.

Building optional extras

• Flood damage
• Accidental damage
• Motor burnout cover of electrical appliances causing damage

Contents optional extras

• Loss of or damage to portable contents and personal effects like mobile phones
• Damage occurring while your contents are in commercial storage

Many contents insurance policies offer new-for-old replacement, meaning your insurer may repair or replace an insured item with a new equivalent item if it’s damaged or stolen.

Always read the relevant PDS and Key Facts Sheet for any insurance policy you’re considering for full details on inclusions, exclusions and annual limits. The Target Market Determination could also guide you on whether a product is right for you.

The cost of home insurance in WA is driven by a range of factors, including where you live, your type of cover, your excess, claims history and the cost of repairing or rebuilding your home. Different parts of WA face different risks, which can affect the cost of cover. Properties in northern WA, including parts of the Pilbara, Kimberley and Gascoyne regions, face a higher risk of cyclone and severe storm damage, which can increase cover costs.

Average home and contents insurance premiums in WA

Bushfire risk

Over 90% of WA is bushfire prone, with homes located near bushland generally facing a greater risk of bushfire damage. This includes Perth Hills suburbs such as Kalamunda, Mundaring and Lesmurdie. Properties in designated bushfire-prone areas may face additional building requirements, which can increase rebuilding costs and, in turn, insurance premiums.

Cyclone risk

The coastline between Exmouth and Broome is one of the most cyclone-prone regions in the country, with homes in locations such as Broome, Derby and Port Hedland exposed to stronger winds, heavy rainfall and storm surge risks. Properties in the region need to be built to cyclone standards under the National Construction Code, which can increase construction and rebuilding costs. If you live in a cyclone-prone area, this could mean higher home insurance premiums.

Flood risk

While WA generally experiences fewer major flood events than some eastern states, flooding remains a risk in certain areas. Homes in suburbs such as Cannington, Shelley and South Yunderup are at high risk of riverine flooding due to their proximity to the Canning and Murray Rivers. If you live in an area with a higher flood risk, you may face higher home insurance premiums. Before taking out a policy, check whether flood cover is included, optional or excluded.

Crime and security

Across the WA Police Metropolitan Region, there were 5,312 reported dwelling burglaries in 2025–26. Higher rates of property crime have been recorded in northern Perth suburbs, including Balga and Mirrabooka, as well as south-eastern suburbs such as Armadale, Gosnells, and Maddington, while suburbs such as Cottesloe, Nedlands, Claremont, City Beach and Floreat are generally considered lower risk. Homes in areas with higher burglary rates may attract higher premiums, as insurers consider the likelihood of theft and property damage when assessing risk.

Your chosen level of cover, claims and excess

The more cover options you choose and the higher your building and contents sums insured, the more you’re likely to pay for insurance. Optional extras can also increase your premiums. On the other hand, choosing a higher excess will usually lower your premiums, although it means you’ll have more to contribute if you make a claim. Your claims history may also affect how much you pay for cover.

The insured amount you choose

The amount you nominate as your building sum insured should reflect the cost of rebuilding your home, while your contents sum insured should reflect the cost of replacing your belongings. Higher sums insured generally result in higher premiums but can help reduce the risk of being underinsured if you need to make a claim.

Bushfires, cyclones, storms and flooding can cause extensive damage to homes in WA, leaving homeowners facing significant repair or rebuilding costs if they don’t have adequate insurance. Home insurance can also provide legal liability cover, helping protect you from financial loss if a visitor is injured or their property is damaged while on your premises.

Many of these risks are covered by standard home insurance policies. Most policies cover you for fire, including bushfire, as well as storm-related damage, such lightning, cyclones, strong winds, rainwater and hail. However, certain types of heat-related damage, such as scorching or melting, or damage caused by smoke, ash and soot from a nearby fire or bushfire may not be included. If you live in a flood-prone area, flood cover may not automatically be included in your policy and could cost extra to add.

Because cover can vary between insurers, it’s important to read the PDS and understand exactly what your policy covers, what’s excluded and whether there are any limits that could affect a claim.

There’s no such thing as a ‘best’ home insurance policy for everyone in WA, because your policy preferences will depend on your individual home and your location’s specific risks. A great home insurance for your WA property covers the risks relevant to where you live and provides enough cover to rebuild your home at current prices. For example, homeowners in Broome and Derby may prioritise cover for cyclones, storms and flooding, while properties in Karratha, Port Hedland and the wider Pilbara region may need protection against both cyclone and bushfire risks.

When comparing home insurance in WA, consider the risks your property faces. Check the insured events, exclusions, excess and sum insured, and read the PDS carefully to understand your cover. A policy that’s suitable for a home in Perth may not offer the level of protection needed for a property in Broome, Derby or Karratha.

You can help reduce your home insurance premium by comparing policies, choosing a higher excess and improving your home’s resilience to local risks. Some steps that could help lower insurance costs or improve the value of your cover include:

• Make your home more bushfire resilient: For properties in bushfire-prone parts of WA, measures such as non-combustible gutter guards, ember guards, sealing roof gaps and using fire-resistant building materials may help protect your home from ember attack and improve its Bushfire Resilience Rating. A higher rating may lead to lower premiums, as participating insurers in the Bushfire Resilience Star Rating program may take the reduced bushfire risk into account when calculating premiums.
• Cyclone-proof your home in northern WA: Under the Cyclone Reinsurance Pool, upgrades such as a new roof, roof tie-downs and window protection are recognised mitigation measures that may help reduce your home’s cyclone risk. These improvements may help lower insurance costs, although any savings will depend on your insurer and how they price your policy. Always check with your insurer before making any upgrade to see whether the improvements could lower your premium.
• Reduce the risk of theft: If you live in a suburb with higher burglary rates, such as Mandurah or Fremantle, installing a monitored security system with audible alarms and door and window sensors may help reduce the risk of theft. Some insurers may offer lower premiums for homes with approved security measures, so it’s worth checking with your insurer before installing a system.
• Review your sum insured and excess: Review your sum insured regularly, especially if you’ve added features such as a new roof, garage or solar panels, or completed renovations. An accurate sum insured can help you avoid paying for unnecessary cover while reducing the risk of underinsurance. You may also be able to reduce your premium by choosing a higher excess but make sure it’s an amount you could afford to pay if you need to make a claim. If you live in an apartment, you may only need contents insurance, as the building itself is often covered by the strata insurance or body corporate insurance.

If you’re underinsured, your payout may not be enough to fully repair or rebuild your home after an insured event, leaving you to cover the shortfall yourself. In Western Australia, this can be particularly important for homes exposed to bushfires, cyclones or severe storms, where a large-scale event can damage many properties at once and drive up rebuilding costs.

The risk of underinsurance can be even greater if you need to rebuild to current construction standards. For example, rebuilding in a designated bushfire-prone area may require your home to meet construction requirements based on its Bushfire Attack Level (BAL) rating. Higher BAL ratings may require additional bushfire-resistant materials and building features. Similarly, homes in cyclone-prone parts of northern WA may need to meet cyclone-resistant construction requirements, which can further increase rebuilding costs.

When estimating the total replacement or rebuild cost of your home, make sure your sum insured reflects what it would cost to rebuild your home today, including demolition costs and professional fees, rather than your property’s market value. Consider choosing a policy with an underinsurance safety net, which can provide extra protection if the cost to rebuild exceeds your sum insured.

If you’re unsure how much cover you need, you can use online home insurance calculators or speak with a builder. If you compare home insurance quotes through Compare the Market, our calculator can help estimate your sum insured amount.