Insurance can be a major investment, so it’s important to consider all your options. Some insurance customers find that bundling different policies within one plan makes things easier. Others don’t find it beneficial and prefer to keep their policies separate. If you’re not sure where you fall, read on to learn about the pros and cons of home and auto insurance bundles.
The Pros
Save Money
The primary reason for bundling home and auto insurance is to save money. With many major insurance companies, customers can save 20% or more. The discount is generally more variable depending on your needs. Whether you save this much depends on a few factors, so you will want to shop separate and bundled rates to make sure you get the best deal.
Consolidate Bills
When you bundle multiple types of insurance, it means having one less bill. It also means one less company to navigate, as well as one less account to log into, in most cases. This benefit alone may outweigh the possibility of increasing rates over time.
Single Deductible
Bundling home and auto insurance can be beneficial in the case of a disaster. You may find that your home and car sustain damage in a storm. With a bundled policy, one deductible will cover both. If you have separate policies, you have to navigate paying deductibles for two separate companies.
More Stability
Some people make a lot of claims. Having insurance is much more beneficial if this is the case. However, it can often mean getting dropped by your insurance company. Having multiple policies with one insurer may make it less likely that you’ll get dropped when these things happen.
