How bundling works
When you insure your home and your car with the same carrier, many carriers give you a multi-policy discount. The discount may apply to one policy or both, and how much you save depends on the carrier, your state and your own profile.
Bundling isn't a separate type of coverage. You still have two policies, each with its own limits, deductibles and terms. What changes is the price, and often how simple it is to manage them.
Benefits beyond the discount
For many households, the convenience matters almost as much as the savings.
- One agency to call with questions or changes
- Policies that can be lined up to renew on the same date
- An easier path to an umbrella policy, since umbrella carriers set minimum liability limits on both your home and auto
- One review each year instead of two
When a bundle may not save
A carrier that prices homes well may price drivers less well, and the reverse. If one policy in the bundle is much more expensive than it would be elsewhere, the discount may not make up the difference.
This is common when a household has a young or newly licensed driver, a recent claim on one policy, or a home with features some carriers avoid, like an older roof. The only way to know is to price it both ways.
How to compare fairly
Compare like with like. Ask for each quote with the same coverage limits and deductibles you have today, or the ones you want. Your declarations pages list your current coverages, limits, deductibles and premiums, which makes this much easier.
Then compare three numbers: the bundled total, the best separate home quote plus the best separate auto quote, and what you pay now.
A bundling example
Hypothetical example: a household pays $1,800 a year for home insurance and $1,600 for auto with two separate carriers, or $3,400 total. A bundled quote from one carrier comes in lower once the discount is applied. Another carrier's separate auto quote is also lower. Laying all the totals side by side shows which option really costs less for the same coverage. Actual savings vary widely, and some households find no savings at all.
What else you can bundle
Many carriers also offer discounts or simpler management when you add other policies.
- Umbrella liability
- Renters or condo coverage instead of homeowners
- Boat, RV or motorcycle coverage
- Landlord coverage on a rental property
How CapCenter can help
CapCenter's in-house insurance agency compares quotes from multiple carriers. You can choose Home & Auto on the quote form to get them quoted together, and we can compare them against separate options. If you're buying a home, we can send proof of insurance to your closing.
