Why Bundling Auto and Home Insurance Can Save You Thousands

Why Bundling Auto and Home Insurance Can Save You Thousands

Saving money is something we all care about, especially when it comes to recurring expenses like insurance.

One of the most effective ways to lower your insurance costs is by bundling your auto and home insurance policies.

This strategy, also known as a "multi-policy discount," is offered by most major insurance companies in the United States.

But how much can you really save, and what should you watch out for?

Let’s break it all down so you can make the smartest choice for your wallet.

➤ Why Bundling Insurance Makes Sense

➤ How Much You Can Actually Save

➤ Best Insurance Companies for Bundling

➤ Important Things to Watch Out For

➤ Final Thoughts


Why Bundling Insurance Makes Sense

Bundling means purchasing both your auto and home insurance policies from the same provider.

Insurance companies love it when you bundle because it keeps you loyal to them longer.

In return, they offer significant discounts—often between 10% to 25% off your premiums.

This isn’t just about savings, though.

Bundling also simplifies your life.

You deal with one company, one bill, and one renewal date.

That convenience alone is worth considering, especially for busy households.

How Much You Can Actually Save

According to a recent report by Policygenius, the average bundling discount in the U.S. is about 17%.

If your current annual home insurance premium is $1,200 and your auto insurance is $1,000, bundling could save you over $370 a year.

Over a decade, that's $3,700 in your pocket—enough for a vacation or a significant emergency fund boost.

Some companies, like Allstate and State Farm, offer even higher discounts if you also include life or renters insurance in the bundle.

Best Insurance Companies for Bundling

Not all insurance providers are created equal when it comes to bundling.

Here are a few top-rated companies known for their bundling benefits:

Important Things to Watch Out For

While bundling can save you money, it’s not always the best choice in every situation.

Some providers may raise rates over time or offer limited customization.

It’s crucial to review both the auto and home policies carefully before bundling.

Compare bundled prices against individual policies using tools like Policygenius or The Zebra.

You should also ask if bundling affects your ability to make claims separately for home or auto coverage.

Final Thoughts

Bundling your auto and home insurance is a smart move for many Americans looking to cut costs and simplify their financial lives.

With potential savings of hundreds—sometimes thousands—per year, it’s worth taking a closer look at your current coverage and comparing options.

Just remember to review the fine print and shop around before committing to a bundle.

The money you save could go a long way toward your financial goals or family needs.

Important Keywords: auto insurance, home insurance, bundling discount, save on insurance, insurance companies