Renters And Auto Insurance: Bundle And Save

Yes, you can bundle renters and auto insurance. Many insurers, including State Farm, Geico, Progressive, Allstate, and Farmers, offer bundling options. This means you can insure your car and rented home with the same company, which can save you money and streamline your policy management.

Discounts and savings

Bundling renters and auto insurance can lead to modest savings. While the exact savings depend on the insurance company and the details of the policies being bundled, bundling renters and auto insurance can save you an average of 2.6% off your total premiums.

State Farm offers the best auto-renters bundling discount at 4.7%, which could save you $112 per year. Geico offers the cheapest car and renters insurance bundle at an average rate of $91 per month.

Progressive offers a multi-policy discount for bundling auto and renters insurance, allowing you to lower your already inexpensive renters insurance cost. They also offer multi-policy discounts for bundling other policies, such as RV, boat, and motorcycle insurance.

Liberty Mutual also offers bundling savings when you combine your auto insurance with renters insurance, as well as other products like condo, motorcycle, and more. New customers who switch and bundle their home and auto insurance with Liberty Mutual save over $950 per year.

Additionally, some companies offer a combined deductible, which means you pay one deductible for a combined auto and renters claim. This can further increase your savings and convenience.

It is important to note that while bundling can provide savings, it may also make it more challenging to compare policies or switch companies later. It is recommended to compare insurance bundle quotes from several companies, ensuring you select the same coverage and input the same details for an accurate comparison.

Convenience

Streamlined Policy Management

Bundling your renters and auto insurance can simplify your policy management. Instead of juggling multiple insurers, you only need to deal with one company, making it easier to keep track of your coverage and handle any necessary changes. This can save you time and reduce the hassle of managing multiple policies.

Consolidated Bills and Payments

With bundling, you'll receive and pay one bill for both your renters and auto insurance, rather than managing separate payments. This can streamline your finances and make it faster and more efficient to pay your premiums. No more worrying about missing a payment because you have multiple due dates to keep track of.

Single Point of Contact for Claims

In the event that you need to file a claim, having a single insurer for both your renters and auto insurance means you only need to deal with one company. This can make the claims process more straightforward and less stressful, especially if you need to file claims for both policies simultaneously.

Combined Deductibles

Some insurance companies offer combined deductibles when you bundle your policies. This means that if you need to file a claim on both your renters and auto insurance, you may only need to pay one deductible instead of two. This can save you money and simplify the claims process.

Easy Transition Between Renter and Homeowner

If you're a renter now but plan to buy a home in the future, bundling can make the transition easier. Some insurance companies allow you to switch from a renters policy to a homeowners policy while retaining your multi-policy discount. This means you won't have to start from scratch with a new insurer when your housing situation changes.

Access to a Range of Insurance Products

Many insurance companies offer a variety of insurance products beyond just renters and auto. By bundling, you can take advantage of having multiple policies with one company and may be able to bundle other types of insurance, such as motorcycle, boat, or life insurance. This can further simplify your insurance management.

Pros and cons

Pros of bundling renters and auto insurance:

• You may qualify for a multi-policy discount if you have both renters and auto insurance from the same company.
• Bundling is convenient as you only have to deal with one insurance company.
• There's only one set of login information to manage all of your policies online.
• Your agent gets to know your insurance needs and can see any gaps in coverage.
• You may be able to combine billing, so you get one monthly statement.

Cons of bundling renters and auto insurance:

• The savings might not be worth switching insurers as renters insurance is generally pretty cheap.
• It could stop you from shopping around for better deals.
• Bundling your insurance may be time-consuming as your eligibility for bundling discounts depends on many factors.
• A company that offers auto and renters insurance bundles may not have the lowest rates for your circumstances.
• It could be more work to change companies since you have more than one policy to switch.

Comparison with other companies

Most major insurance companies offer bundling options for renters and auto insurance. Here is a list of companies that offer bundling for these two types of insurance:

• State Farm
• Geico
• Progressive
• Allstate
• Farmers
• Amica
• Auto-Owners
• Lemonade
• American Family
• Erie Insurance
• Liberty Mutual
• Nationwide

When comparing these companies, it is important to consider not only the cost of the bundle but also the level of customer service, the range of coverage options, and the availability of additional discounts.

State Farm, for example, offers a good bundling discount of around 4.7%, but it is not the cheapest option for bundling, with Geico offering a lower average monthly rate. Amica and Auto-Owners are also highly rated for their bundling options, with excellent customer satisfaction and low consumer complaints.

Progressive stands out for its flexibility, catering to customers' changing insurance needs as they transition from renter to homeowner or from a single driver to a multi-car family.

USAA also offers excellent bundling options, but it is important to note that their insurance is only available to military members, veterans, and their families.

When deciding which company to choose for bundling renters and auto insurance, it is recommended to compare quotes from multiple insurers and consider both the cost and the specific coverage and benefits offered by each company.

Customer service

USAA, for example, is rated as the best company offering an auto and renters insurance discount by ValuePenguin's rating system, which takes into account price, policy offerings, and customer service. However, USAA is only available to military members, veterans, and their families.

GEICO, on the other hand, boasts a 97% customer satisfaction rating and has been in the industry for 85 years. They offer 24/7 support and are available through their app, online, or via chat for immediate assistance.

When it comes to convenience, bundling your insurance policies can provide a streamlined experience. With a single insurer, you'll have one point of contact, one bill to manage, and one app to handle all your insurance needs. This can save you time and effort in managing multiple policies and interacting with different companies.

Additionally, some companies, like Liberty Mutual, offer the convenience of managing your insurance policies through an easy-to-use app. This allows you to view and download policy documents, securely pay and manage bills, file and track claims, and review coverages and make policy changes at any time, without the need to call an agent or visit an office.

It's important to remember that bundling insurance policies may have its drawbacks. Some experts caution that insurance companies promote bundling because it benefits them by consolidating your business in one place, making it harder for you to comparison shop or switch to another provider. Therefore, it's essential to weigh the pros and cons of bundling and ensure that you're getting the best value and service for your needs.

Frequently asked questions