As auto and homeowners insurance premiums have continuously risen over the past decade due to rising costs and increased claims filed, the difficult reality is that protecting homes and cars can be pretty expensive.
Facing increasing premiums, it’s normal for consumers to seek ways to cut insurance expenses.
Unsurprisingly, there are right and wrong ways to reduce insurance costs, which makes insurance bundling offered by many homeowners insurance agencies a great way to reduce overall premiums while protecting your most valuable personal property.
What Is Insurance Bundling?
Bundling is the method of purchasing both auto and home insurance from the same homeowners insurance agency to get a lower premium on one or both of the policies.
By purchasing two or more policies from the same insurance provider, many homeowners are able to get what is called a multi-policy discount on home and auto insurance coverage as well as sometimes other policies like boat, motorcycle, RV, and even life insurance.
The more policies you are willing to bundle with the same provider, the larger the discount may be.
Does Insurance Bundling Save Money?
Although it’s not the only reason why someone would choose to bundle their insurance with the same insurance agency, lower premiums are the main reason this is done.
Insurance providers offer these discounts ranging from 5% to 25% when customers are willing to purchase multiple policies from one insurer rather than going to a different auto insurance agency for vehicle coverage.
The amount you can save on your insurance premiums depends greatly on the property you want to insure, coverage needs, claims history, and many other personal details.
To get an accurate bundling quote on home and auto policies, it’s recommended to discuss it all with an experienced insurance agent.
What Are Some Other Advantages of Insurance Bundling?
While the biggest advantage of bundling your auto and home insurance policies with the same provider is the discount you might be able to get from doing so, it's not the only one.
A less obvious advantage includes the ability to insure your property with the same trusted insurance agency, which is both convenient and effective.
Purchasing multiple policies from the same agency can also provide you with more tailored policies with fewer coverage gaps.
Managing multiple bundled policies online in the same account also enables you to keep premium payments on the same schedule and make account changes easier to accomplish.
Lower Premium Costs With Insurance Bundling
Bundling your homeowners and auto insurance by buying it from the same insurance agency is a very great way to reduce home and auto premiums without risking critical coverage.
Not every insurer offers bundling discounts, so it’s important to find an agency that provide this service, then compare bundled policy premiums with standard policies to confirm that bundling will be beneficial for you.
With the right company and the right bundle, your home and autos will be well-protected at a realistically good price!
