Bundling Auto And Motorcycle Insurance: Is It Worth It?

Yes, you can bundle auto and motorcycle insurance. In fact, you can save money by doing so, as most insurance companies offer a discount for bundling. The discount can be up to 20% off your premiums, although it's usually between 5% and 10%.

Bundling insurance is when you purchase multiple policies through the same company. It's not just auto and motorcycle insurance that can be bundled, either. You can also bundle home, boat, renters, RV, and life insurance policies, depending on the provider.

Some of the best companies for bundling auto and motorcycle insurance include Allstate, Geico, Progressive, Liberty Mutual, Nationwide, and American Family Insurance.

Discounts and savings

Bundling your auto and motorcycle insurance can save you money in a few different ways. Firstly, you can get a multi-policy or bundling discount from your insurance provider. This discount can range from a few percent to 10% or more, depending on the company. For example, Geico offers a discount of up to 5% for bundling auto and motorcycle insurance, while Allstate offers a 10% multipolicy discount on auto insurance when you combine policies. Progressive offers a multi-policy discount for customers who bundle home, auto, motorcycle, and other types of insurance.

Additionally, you may be able to get other discounts on top of the bundling discount. For instance, Geico offers a 10% discount for switching motorcycle insurance companies and an extra 10% for older riders. Progressive provides a range of multipolicy discounts based on your profile and coverage. Liberty Mutual offers an experienced rider discount if you've had your license for more than three years.

Another way bundling can save you money is by having to pay only one company for both your auto and motorcycle policies. This simplifies your payments and makes it easier to manage your policies, as you only need to make one payment and can access all your insurance information in the same place.

However, it's important to note that bundling is not always the best option for savings. In some cases, you may find better rates or coverage by keeping your auto and motorcycle insurance separate, especially if you need specialized coverage for a classic or high-end motorcycle. It's recommended to shop around and compare quotes from multiple companies to find the best deal for your specific needs.

Pros and cons

Pros of bundling auto and motorcycle insurance

• You can save money on insurance premiums. Bundling discounts range from a few percent to 10% or more.
• You only have to pay one company for both your auto and motorcycle policies.
• It's more convenient to manage your insurance policies. For example, you can check your premiums on a single bill, and you only need to learn to use one app.
• Your insurer may be less likely to drop you if you have a series of accidents in quick succession, as they risk losing two policies instead of one.

Cons of bundling auto and motorcycle insurance

• It's not always the best option if you're looking for a specific type of motorcycle insurance. For example, you might want agreed-value coverage instead of market value for a classic bike, or coverage for your transport trailer.
• It may prevent you from shopping around and comparing prices between providers, which could mean you end up paying more.
• Over time, insurers tend to raise premiums, which diminishes the value of the initial discount.
• Some insurers start with a higher premium when offering a discount, so the premium you end up with may not be cheaper.

Best bundles

Bundling auto and motorcycle insurance can save you money on premiums and also make it more convenient to manage your policies. Here are some of the best bundles for auto and motorcycle insurance:

Geico

Geico is our top pick for bundling auto and motorcycle insurance coverage. They offer a discount of up to 5% for bundling, and their auto insurance rates are about 23% cheaper than the national average. They also offer a 10% discount for switching motorcycle insurance companies and an additional 10% discount for older riders. Geico insures a wide range of motorcycles, including cruisers, sport bikes, touring bikes, and custom motorcycles, along with ATVs, scooters, and mopeds. They also offer accessories coverage for things like seats, saddlebags, and electronic equipment.

Progressive

Progressive is our top option for daily motorcycle riders, offering a range of options for car insurance. They do not offer set discounts for bundling but instead offer multipolicy discounts that vary based on your profile and coverage. They offer some excellent motorcycle coverages at no additional charge, such as full replacement cost coverage. They also have a usage-based program called Snapshot that awards discounts for safe driving. Progressive stands out for providing a wide range of motorcycle and auto coverage options.

Liberty Mutual

Liberty Mutual offers "customized insurance" for motorcycles, and bundling will save you money, although they do not specify a maximum discount. They offer an experienced rider discount, lowering your premium if you've had your license for more than three years. They also offer new bike replacement and optional coverage like original parts replacement, roadside assistance, and rental car reimbursement.

Nationwide

Nationwide will provide a discount on motorcycle insurance when bundled with auto insurance, but the discount will not apply to the auto price. They offer several other discount options, including lower premiums for bikes with theft recovery devices and anti-lock brakes. They also offer custom equipment coverage of up to $30,000 to protect your bike's aftermarket add-ons.

American Family Insurance

American Family Insurance offers a good range of coverage options for both bikes and cars, and you can get a discount for bundling policies together. They can cover various types of bikes, including cruisers, sport bikes, touring bikes, and custom motorcycles. Their motorcycle coverage includes up to $1,000 of safety apparel coverage, which pays to replace important safety gear like helmets and jackets after an accident.

When to bundle

There are several reasons why bundling auto and motorcycle insurance is a good idea. Firstly, it can save you money on insurance premiums. Most insurance companies offer a discount for bundling, which can range from 5% to 10% or more. This can add up to a significant amount of money saved each year. Additionally, bundling can make it more convenient to manage your insurance policies. You only need to make payments to a single company, and it is easier to access and review all your policies in one place.

Another advantage of bundling is that you can gain access to both your auto and motorcycle insurance policies with a single call or login. This can be especially useful if you need to file a claim or make changes to your policies. By having all your policies in one place, you can also avoid the hassle of dealing with multiple companies and keeping track of multiple bills.

Bundling can also be beneficial if you have multiple vehicles or properties to insure. For example, if you have a car and a motorcycle, you can bundle your auto and motorcycle insurance. But you can also bundle other types of insurance, such as home, renters, or life insurance, depending on the company. This can further increase your savings and simplify your insurance management.

However, it's important to note that bundling may not always be the best option. In some cases, you may find better rates or more specialized coverage by choosing separate policies from different providers. It's essential to shop around and compare quotes to ensure you're getting the best deal and the right coverage for your needs.

How to bundle

Bundling your auto and motorcycle insurance can be done in a few simple steps. Here is how to do it:

Step 1: Assess your needs

First, determine how much coverage you need, taking into account factors such as your driving and riding habits, your location, and the type of bike and car you own. Consider whether you require specialised motorcycle coverage, such as lay-up insurance, which allows you to put most of your coverage on hold for a period of time while maintaining comprehensive coverage. This can be useful during the winter when riding conditions may be unsafe.

Step 2: Gather information and collect quotes

After determining your needs, gather information about your car and motorcycle, and then obtain quotes from insurance companies. You can do this online or over the phone, although some companies may require you to go through an agent. It is recommended to collect quotes from multiple companies to ensure you get the best rates.

Step 3: Compare quotes and consider features

When comparing quotes, consider not only the price but also the features offered. For example, some companies may offer coverage for custom equipment or your helmet. Once you've found the right balance between price and optional coverages, you can proceed to purchase your bundle.

Additional considerations

When switching to a new insurance provider, be mindful of potential cancellation fees and ensure there is no lapse in coverage. A lapse in coverage may lead to increased insurance rates in the future, potentially negating the savings from bundling.

By following these steps, you can effectively bundle your auto and motorcycle insurance, potentially saving hundreds of dollars a year in insurance premiums while also enjoying the convenience of simplified payments and consolidated policies.

Frequently asked questions