Your insurance company has earned your business with fair rates and an agent you trust. They’re as happy as you are with the relationship, and they welcome you to expand your policies at discounted rates.
You already trust them with your homeowners insurance, and now you’re seriously thinking of adding auto insurance coverage through the same company. After all, they’re showing you multiple advantages of adding additional insurance lines through the same provider.
Having multiple policies with the same carrier is called bundling. If you’re wondering if bundling home and auto insurance is a good idea, here’s how it might benefit you.
An Introduction to Bundling Insurance
Insurance companies are no different than most other kinds of companies. Once they’ve established good working relationships with customers, they want to stay in business with them. After all, it costs a company more to find new customers or clients than it does to sell more products or services to existing satisfied customers. That’s why an insurance company offering multiple lines of coverage is highly motivated to make you an attractive offer to extend the relationship.
If you feel you’ve benefited from the relationship so far, it can be a no-brainer to turn to your existing auto insurer when you’re looking for a homeowners insurance policy with multiple (sometimes lesser known) benefits. If your current provider lets you bundle your home and auto coverage, you could save, well, a bundle.
Pros and Cons of Bundling Home and Auto Insurance
Is bundling the right move for you to make? That can depend on various factors. It’s important to see the issue from all perspectives before making your decision.
Advantages of Combining Policies
You already trust a company and an agent with a very important relationship — whether it’s covering your car or your home. They’ve done well for you, and you’d rather engage someone you know and like than start from scratch.
This simple sense of trust and convenience is a good reason to bundle lines of coverage with a familiar face or brand name. It can also be an advantage to have only a single contact number whenever you have an issue tied to either product.
And let’s not forget what’s probably the best reason of all for bundling: You’ll save money. Bundling is one of the top tips for saving money on homeowners coverage.
Potential Drawbacks and Considerations
What if you don’t really have a great working relationship with your auto insurance agent? You see them as basically an order taker, offering little else in the way of guidance or expertise. They’re hard to reach and perpetually slow to respond. Do you really want to double your business relationship with this individual and trust them with even more of your financial security?
What if you don’t feel you’re getting the best possible rates on your auto policy, or you think the coverage itself is substandard? Do you really want to bundle home and auto insurance with the same carrier?
Is it always better to bundle your home and auto insurance than it is to buy the two lines separately? Not necessarily. It might depend on the quality of the relationship you have with your existing agent and company. Maybe you’d rather try for a better connection. Friendly and welcoming agents are ready to help you, so there is no need to continue working with an unsatisfactory company.
Savings and Discounts: Navigating the Financial Benefits
If you’re looking to lower your car insurance rate in Georgia, remember that one of the best reasons for bundling your home and auto coverage is the potential financial benefits. Smart insurers that want to increase their volume of business with you are willing to pay to attract you. That’s because they have the insight to see a potentially long-lasting relationship.
For example, if they get your homeowners coverage, that policy could last for 20 years or longer. If they take on your auto coverage, you could continue to use the same insurer for every vehicle you buy in the future. Then, you might encourage your kids to use the same brand as they buy their first cars.
In return for this extension of the business relationship, your insurer is likely to offer you rate discounts on both lines of coverage that could add up to significant savings. If your insurer doesn’t offer such generous discounts on bundling your auto and home, act. Meet with an independent agent who can help you find a brand that offers both lines and will provide you with the more attractive rates you deserve.
Making an Informed Decision: Is Bundling Right for You?
If you’re pleased with the service, the product, and the rates of your current auto or homeowners coverage provider, the bundling decision might be an easy one to make. On top of a continuation of the great customer service you’ve been receiving, you’re likely to get highly advantageous rate savings on both your auto and home insurance policies if you decide to bundle your coverage.
Your agent might have already won you over with a homeowners policy that can offer financial protection against threats brought by climate change, or with auto coverage that includes roadside assistance.
On the other hand, don’t double up on a bad experience. If you don’t feel that your current insurer is providing you with the rates and service you deserve, take your business elsewhere. Trust an independent insurance agent to connect you with an ideal company for bundling your auto and home coverage.