I have USAA for my homeowners so I'll throw this out there for comparison.
We have a 3,434 sq foot house in Houston that was built in October of 2010. We are the first people to live in the house.
We pay $2,305.20 a year (195 a month) in premiums. The dwelling is covered to $386,000 and personal belonging inside are covered to $193,000. USAA will not let you go less than half of the value of your dwelling on the personal belongings.
I have auto insurance and personal property (jewelery) with them.
I don't think your quote sounds all that high.