Why You Should Bundle Your Home & Auto Insurance
Are you looking for significant home insurance or auto insurance savings? Consider bundling your home & auto insurance into one and save up to 25% off your total insurance costs. This guide will detail what insurance bundling is, the best deals available, and how much you could save annually.
When you purchase insurance for your home or car, you are investing in the safety and security of you, your loved ones, and your possessions. Insurance provides you with partial or full funds to cover maintenance and repairs before situations turn dangerous or life-threatening, and to cover repairs and replacements in unexpected situations. Although insurance is certainly important, it can be relatively expensive. Since this is the case, it is important to know how you can save money on your insurance. One of the easiest ways to save money is through home and auto insurance bundling. In this article, you will learn what home and auto insurance bundles are, what the best bundles are, in-depth looks at the best bundles, and a side-by-side comparison of costs before bundling and after bundling.
What is a Home and Auto Insurance Bundle?
Home insurance and automobile insurance are some of the most important types of insurance. Home insurance or property insurance may cover losses and damages that may occur in certain unexpected situations or events, such as floods or fires. It also typically covers liability, up to a certain amount, when accidents occur in your home or on your property. Auto insurance is a type of insurance that covers damages in the case of an accident and liability if your car is involved in an accident and harms another person or another person’s property. When you sign up or renew home insurance, your insurance provider may ask if you have an automobile that needs insurance coverage as well. In many cases, they ask this because you may be eligible for a home and auto insurance bundle.
If you purchase your home and auto insurance through two different companies, or have two separate policies through the same company, they may be expensive. However, if you purchase a policy that contains both your home and auto insurance, you may save a significant amount of money. This is what is known as an insurance bundle or a multi-line discount.
Best Home & Auto Insurance Bundles
There are many insurance companies that provide home and auto insurance bundles. Naturally, you may wish to know which companies provide the best ones whether that means providing the highest discount, including the most coverage options, or both. Follow along with our brief, yet thorough, list below to find out more:
State Farm
State Farm offers a home and auto insurance bundle with multiple coverage benefits. They promote that they can save you up to $965 if you switch to a bundle option. With State Form, you can benefit from basic home and auto insurance as well as additional coverage options. For instance, they cover renting cars or purchasing rideshares, paying medical bills, and emergency roadside service. They also offer to provide identity theft protection when you opt for home insurance.
USAA
If you are an active or retired member of the military, or close family to an active or retired military, you may be eligible for an USAA home and auto insurance bundle. USAA promises up to a 10% discount when you bundle or up to $725 off your insurance annually. For car insurance, they provide coverage for renting cars, accidents, roadside assistance, and car replacement. On top of basic home insurance, they also include identity theft protection.
Allstate
Allstate provides up to 25% off when you bundle home and auto policies together. They have multiple additional coverage options for car insurance including reimbursing rental car costs, roadside assistance, and custom equipment. With home insurance, they may also cover the loss of valuable possessions, recovering electronic data from damaged devices, reimbursing green improvements upon your home, and identity protection.
Farmers Insurance
Save up to 20% when you place your home and auto insurance policies together with Farmers Insurance. If you would like additional car insurance coverage, they also offer to cover replacing your car, ridesharing, needing spare parts, replacing windshield and safety glass, towing and roadside assistance, serious accidents, and lawsuits. Since their home insurance works in tiers, you can choose coverage options that work for you. You may even be eligible for many of their other discount options on top of your bundling savings.
Progressive
If you would like to go through Progressive for your home and auto insurance, you could save over 20% by bundling. With car insurance, Progressive provides extra coverage options such as covering roadside assistance, rental cars, rideshares, and custom equipment. They also offer multiple other discounts on top of bundling that you may be eligible for, such as safe driving, paperless billing, or installing protective devices within your home.
Geico
Geico offers a 3% discount when you bundle any type of home insurance with auto insurance. With auto insurance, they provide extra coverage options for serious accidents, lawsuits, emergency roadside assistance, rental reimbursement, and mechanical breakdown.
Comparisons Before and After Insurance Bundling
If you are trying to decide between maintaining two separate policies or bundling home and auto insurance, it may be helpful to see your potential savings in real numbers. Most companies will allow you to create a quote online or over the phone with an agent to see how much you could potentially save in a matter of minutes. Naturally, the two main factors that determine your discount will be your annual insurance price and the company you decide to insure and bundle with.
If your home insurance costs follow the national average in the United States, you are most likely paying around $1393 per year. As for car insurance, you may pay around $1655. Combined, you may be paying around $3048 annually.
On the other hand, if you decide to bundle your policies, you could save a minimum of 3% off this price. If this was the case, you would save $91 which would bring your total to $2957. Yet, if you received a discount of 25%, you would reap savings of $762 and you would only pay $2286. Of course, neither of these calculations considers any other discounts you may receive from your company of choice.
