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It is hard to track various insurance policies that may be needed in a busy household. Getting all the insurance policies under one company is the best possible move a person can make in terms of financial management.
Consolidation of homeowners, automobile, and excess liability insurance together under one carrier, known as insurance bundling, comes with tremendous benefits such as discounts up to 25% and simplified billing procedures.
Top multi-policy insurance bundles for homeowners and families depend on what is most important for a customer: discounts, superb customer support, or particular asset insurance.
1. The Industry Giants: Best Overall Multi-Policy Discount & Value
These large corporations are financially stable and offer some of the best multi-policy discounts on the market. Thus, they are perfect for standard suburban families.
State Farm
The Multi-Policy Discount: Up to 25% discount when bundling home and auto policies.
Why It Wins: State Farm is the largest property and casualty insurer in the US, and its “Multi-Policy Discount” is almost impossible to beat. In addition, State Farm is great at tracking a family throughout their lifecycle. If your children grow up and begin driving or you buy another property, State Farm bundling algorithms will easily cope with that.
The Unique Benefit: Access to the nation-wide network of local agents. If you are a busy family who prefers working with one person to track your evolving needs, State Farm offers great in-person customer support services.
Progressive
The Multi-Policy Discount: On average, 12% to 15% off plus additional multi-product credits.
Why It Wins: Progressive is an excellent choice for tech-savvy families who own several types of motorized vehicles. If your family needs to insure two cars, a homeowners policy, a boat, and an RV, Progressive’s multi-product bundling capabilities are amazing.
The Unique Benefit: The Name Your Price feature and Snapshot technology. With Progressive, families can play around with premium variables to create a perfect monthly plan while not giving up on core liability limits.
2. The Best Providers for Families Who Value Service and/or Are Veterans
If you value a superb customer service or streamlined online claims filing process, these carriers will definitely suit your needs. Or if you have served in the military, then these providers are for you.
Amica Mutual
The Multi-Policy Discount: Up to 15% off for auto and up to 30% off for homes when bundling.
Why It Wins: Amica is the absolute winner of J.D. Power rankings for homeowners’ and automobile insurers’ customer service ratings. Because Amica is a mutual insurance company, it answers to the needs of its policyholders directly, thus, sometimes returns its profits back to the customers by issuing dividend checks.
The Unique Benefit: Platinum bundling packages. Unlike other carriers, Amica includes premium extras such as credit card fraud protection, computer coverage, and water backup coverage into its best packages automatically.
USAA
The Multi-Policy Discount: Up to 10% off auto and on average 10% off home insurance.
Why It Wins: Note: USAA is open to active-duty military personnel, veterans, and their family members only. If you qualify, you can get the best insurance ecosystem in America offered by USAA.
The Unique Benefit: Military-specific protections. USAA insurance bundles automatically adapt to military needs, for example, lowering auto storage premium during deployment or offering a full replacement value of your possessions with no deductible for military uniforms and equipment.
3. High-Net-Worth Families: Best Premium Asset Insurance Bundles
High-income families with high-value properties ($1M+) need special care in terms of insurance. Retail carriers like State Farm or Progressive cannot offer them sufficient coverage limits.
Chubb or PURE
The Strategy: These carriers specialize in providing High-Net-Worth Insurance Bundles for affluent families.
Why They Win: Instead of depreciated property payouts, their bundles utilize cash settlement features. In addition, Chubb and PURE offer a seamless integration of massive Umbrella Liability Policies (from $5M to $100M) into a bundle that will protect your family wealth from lawsuits.
Final Strategy: How to Maximize Your Insurance Bundle
Do not forget about two golden rules before applying for a bundle discount:
Run an “Apples-to-Apples” Benchmark: Just because a company offers you a multi-policy discount does not mean that the bundle will be cheaper. It is quite possible that the price of a bundle offered by Carrier A is higher than the unbundled policies offered by Carrier B. Always compare final prices.
Ask for the Single-Deductible Clause: The best thing about insurance bundling is that it gives you the opportunity to save money in case of a disaster. Therefore, ask the carrier if it offers you a Single-Deductible Clause. The best carriers structure a bundle in such a way that you pay only one deductible if a hailstorm damages your roof and breaks the windshield of your car parked in your driveway.
FAQ
Q: What is a companion policy discount?
A: A companion policy discount is another name for a multi-policy bundle discount. This is a discount offered to you automatically once an underwriter verifies that you hold more than one line of insurance (life, auto, umbrella, property, etc.) with the same company.
Q: Can I include life insurance in my home and auto bundle?
A: Yes, almost all large insurance carriers (like State Farm or Amica) offer the possibility to combine your life insurance into your auto and property policies. This usually triggers additional “multi-policies tier discount” that helps to reduce your auto premiums significantly enough to offset the cost of the life insurance.
Q: Is there a risk of a coverage gap when switching to a new insurance carrier?
A: No, as long as you coordinate the effective dates of your policies properly. To avoid any gaps, arrange a perfect alignment of the dates when activating your new bundle with the cancellation dates of your old policies. Once the new bundle is activated, notify your old carriers to cancel your policies and return you your prorated premium payments.