The Best Companies For Home and Auto Insurance Bundles
Although the term “homeowner” can sometimes seem to suggest a responsibility to the property itself, the family with whom you share it and their needs are most important.
That being said, protecting the former is often intertwined with looking out for the well-being of the latter.
Taking out a homeowners insurance policy is one of the most direct and comprehensive ways to put a sturdy safety net on your home.
The plan should feature a strong set of standard protections (dwelling, personal property, liability, additional living expenses, detached structures) as well as any riders you may wish to add, like flood or earthquake coverage.
And don’t forget to make sure that the coverage limit for each of those categories is commensurate with your house’s likelihood of experiencing specific hazards.
6 of the Best Companies in 2021 for Home & Auto Insurance Bundles
Our team took the time to research some of the best home and auto insurance bundles and the providers that offer them.
While the final decision on a matter this important is yours alone, any one of these six companies (and bundles) could ultimately be perfect for you and your family’s unique needs.
Plenty of people who have never purchased an insurance policy in their lives have heard of Progressive due to the provider’s pervasive advertising campaign: the long-running series of TV commercials featuring Flo and her ceaseless efforts to keep people informed about the advantages of Progressive’s insurance offerings.
In fact, some of the most recent ads have been focused on the savings that policyholders can realize by bundling (you guessed it) home and auto coverage.
But if the company was no more than an industry-average insurer with a well-known commercial campaign, it wouldn’t have made this list. Progressive made a name for itself on the strength of its automotive coverage products and currently offers more than 25 other types of insurance alongside those auto plans.
As such, it should be no surprise that the company accounted for the fifth-highest market share of the U.S. insurance sector in 2017 with 4.31%, according to the annual Market Share Report from the National Association of Insurance Commissioners.
It should be noted that not all of these policies are directly underwritten by Progressive the way auto insurance is; for those products the company matches individual customers with partners it deems most suitable for them based on situational information they offer.
Progressive states on its website that its members saved an average of $1,029 a year by bundling homeowners and auto insurance policies. The company attributes this stat to “a survey of new policyholders who saved on home and auto insurance through Progressive,” located all over the U.S.
Your individual claims history, property value, and the Kelley Blue Book on your car will all affect that figure for better or worse, but it’s reasonable to assume the average the site gives is reliable. Getting an online quote takes just a few minutes and requires submitting a relatively small amount of personal info; for example, a Social Security number isn’t required.
2. State Farm
The NAIC’s aforementioned report had State Farm in the top spot, with a 10.05% share of the U.S. insurance market, almost twice that of second-place Berkshire Hathaway’s 5.95%. (No wonder the company has been able to foot the bill for starring appearances by NBA superstars like James Harden and actors like Terry Crews in its TV commercials!)
But in all seriousness, State Farm established its place as one of the biggest insurers in the U.S. due to the broad availability of its coverage (all 50 states) as well as the scope of its independent agent network (almost 20,000 strong).
Unlike some of the other big-name coverage providers, State Farm directly underwrites its insurance, and only its direct agents can sell State Farm products.
Home and auto policies are State Farm’s bread and butter. Thus it makes sense that the company offers a savings opportunity for customers who purchase those products together. If you bundle home and auto insurance policies together, State Farm claims on its website that you can save up to 17% on your regular premium costs.
You’ll also pay less if two or more vehicles in your household owned by your family members are insured by State Farm.
Obtaining an online quote requires some personal information, including your Social Security number. But if you don’t want to share that info via the internet, you can find an agent in your area to call, and after that conversation is over, you’ll receive a quote emailed to you in about 30 minutes.
3. Farmers Insurance Group
While not quite on the level of some of the industry’s other giants in terms of market share (3.08% in 2017, ninth-largest in the U.S. per the NAIC’s 2017 report), Farmers Insurance has a strong reputation for the quality of its customer service.
The company’s bona fides in that area date back to just after its founding, during the Great Depression, when it was one of the only insurers in America that could pay out claims to customers in cash. Today it has a below-average NAIC complaint ratio of 0.54 and saw just 76 complaints during 2018.
Farmers offer discounts for customers who bundle multiple insurance lines into the same policy, including a combination of home and auto, though it doesn’t specify a percentage or other figure quantifying that discount.
If you choose Farmers, be sure to inquire about other auto discounts for which you might be eligible, some of which are state-specific. Other general discounts are available for remaining claims-free for multiple years; the more the better.
Not unlike State Farm and Progressive, Allstate is best known for its automotive insurance offerings; in fact, those are what got the company started back in 1931 by Sears Roebuck chairman Robert E. Wood.
It also diversified into a variety of other avenues of the insurance business, including renters, business, life, investment and pet health coverage. Auto remains one of Allstate’s most popular products, but its executives understandably want to remain competitive across multiple tiers of the industry. Their efforts seem to have paid off, based on the company’s 4.88% share of the U.S. market.
If you choose to bundle an auto insurance policy from Allstate with one of its homeowners’ coverage plans, the company claims you can save up to 25% on your regular costs, though it doesn’t qualify whether these are cumulative savings over time or annual premiums.
Yet due to the company’s wide range of additional home and auto discounts (adding home safety devices, being claims-free, setting up automatic payments and others) you have a solid chance of paying less than you would without bundling your policies.
Obtaining an online quote takes just a few minutes in most instances and doesn’t require you to submit any overly sensitive financial or personal data. In certain circumstances, such as trying to insure a home in close proximity to one of the country’s coastlines, Allstate won’t offer an online quote but will find the closest agent in your vicinity and provide the necessary info to email or call that vendor.
5. Travelers Insurance
Other providers may have Travelers Insurance Group beaten in terms of market share or scope of available insurance products, but few hold a candle to it as far as industry experience.
Founded in 1853, the company is America’s oldest insurer by a considerable margin. It has had little trouble maintaining a strong presence in the sector over its 150-plus-year history, with the NAIC’s market share report identifying it as the sixth-largest property and casualty coverage firm in the U.S. due to its 3.85% share of the nation’s insurance business.
Travelers offer discounted rates to customers who take out both auto and home coverage, stating that those with existing auto policies from the company will save up to 15% on home insurance coverage by bundling.
It also claims further savings are possible if you add other Travelers products to your complement of insurance, including umbrella liability insurance, boat coverage, and other plans.
Rounding out the top 10 insurance companies in the U.S. for 2017 is Nationwide, with a 2.98% market share. The company’s range of coverage products includes everything from the standard home, auto and life insurance to specialized travel, pet health, wedding, and identity theft plans. You can quickly start the quote process online or find a local agent to assist you.
Nationwide provides a discount to its customers if they choose to bundle their home and auto insurance policies (or other products). It claims the combined home and vehicle policy can save you $710 per year in total insurance costs, based on average annualized savings that its members experienced in 2018.
Because the company also offers a considerable number of other discounts on both halves of the coverage in the bundle, the actual savings you see may be even larger. That said, your claims history, driving record, property values and other factors will determine the ultimate price of your bundled policy.
Bundling Home and Auto Insurance Policies
Your house is just one of the pieces of property central to you and your family’s everyday lives. In many ways, your car(s) are every bit as important. Unless you live in the thick of a major urban area with comprehensive and reliable public transportation, owning at least one automobile is non-negotiable.
Also, somewhere down the line, you may well be picking out cars with your teenage children, most likely trying to compromise by steering them toward the safest non-minivan vehicle available.
Every one of these vehicles will need the safeguards offered by an auto insurance policy, especially those being driven by the rookies in your family. Homeowners insurance isn’t necessarily cheap, especially if you’re seeking out comprehensive coverage, and adding a solid auto plan to the overall bill might seem like a less than favorable prospect.
But don’t panic, because there’s a clear solution. The phrase “putting all of your eggs in one basket” is generally tied to negative connotations, due to the implication of laziness and/or single-mindedness with which it’s associated.
However, when it comes to insurance, sticking with one provider for multiple needs isn’t necessarily bad. Many insurers offer bundles that afford you noteworthy discounts if you pair a homeowner’s policy with another one of their coverage plans.
Auto insurance is the most common product that insurance companies allow their customers to use in bundle discounts. In fact, the Insurance Information Institute cites bundling as one of the best ways to save on auto coverage, so it might be just what you need.