Home and Auto Insurance Quotes: How to Bundle Wisely

How bundle discounts work

Insurers reward customers who place more than one policy with them, usually by discounting both home and auto premiums. Some discounts apply only to one policy. The discount amount varies by company and state, and it is calculated on each policy's base price, so a bundle can still cost more than separate policies if one insurer's base price is high.

When separate policies may be better

• One insurer offers excellent home coverage but expensive auto pricing for your drivers.
• Your home is in a high-risk area where few insurers write new homeowners policies.
• You need specialty coverage, such as a high-value home or classic car.
• A bundle requires lower coverage than you want on one policy.

What to compare on the home policy

• Dwelling coverage based on rebuilding cost, and extended replacement cost.
• Roof settlement terms and wind or hail deductibles.
• Water backup, service line, and ordinance or law coverage.
• Personal property at replacement cost.
• Liability limits that work with an umbrella policy.

See our home insurance comparison guide.

What to compare on the auto policy

Limits shown are examples, not recommendations. State minimum requirements differ.

Bundles and umbrella coverage

Many umbrella insurers require home and auto to be with them, or give a better price when they are. If you want an umbrella, compare the full package. See our umbrella insurance page.

What to have ready

• Home address, year built, square footage, roof age and material, and updates.
• Prior home and auto claims.
• Driver licenses, dates of birth, vehicle VINs, and mileage.
• Current home and auto declarations pages.

How insurers set your price

Most insurers price a policy using your driving record, years licensed, age where allowed, the vehicle, where it is garaged, annual mileage, coverage limits, deductibles, prior insurance history, and, where state law permits, a credit-based insurance score. Each insurer weighs these factors differently, which is why quotes for the same driver can differ by hundreds of dollars. Improving the factors you control, especially your record and continuous coverage, pays off over several renewals. Homeowners pricing also depends on rebuilding cost, location, roof age, construction, and claims history.

Other ways to save

• Compare at least three quotes with identical coverage every year or two, and whenever your premium jumps at renewal.
• Raise collision and comprehensive deductibles to an amount you could pay tomorrow without strain.
• Drop collision and comprehensive on an older car only when the car's value is low enough that you could replace it yourself.
• Ask about every discount: multi-policy, multi-vehicle, good student, defensive driving, paperless, paid-in-full, and safety equipment.
• Try a driving-data program if you drive carefully and are comfortable sharing driving data. See usage-based insurance.
• Keep continuous coverage. Even a short lapse can raise future rates.
• Report accurate mileage. Lower annual mileage can mean a lower premium.
• Bundle auto with renters or homeowners insurance where the combined price is lower.

Discounts to ask about

Discount names, amounts, and availability vary by insurer and state.

Payment plans and escrow

How you pay can change your total cost. Many insurers charge installment fees for monthly payments, and some offer discounts for paying the full term upfront, enrolling in automatic payments, or going paperless. If paying in full is not possible, ask which payment plan has the lowest fees. Missing a payment can cancel your policy and create a lapse, which raises future rates, so set up reminders or autopay.

If your mortgage lender pays homeowners insurance from escrow, tell your new insurer and lender when you switch.

Switching without a gap

If a new quote is lower, switch carefully so you are never uninsured:

1. Confirm the final price after the insurer verifies your information.
2. Set the new policy to start on or before the date the old one ends.
3. Give the new insurer your lender or lessor information if the vehicle is financed.
4. Save your new ID cards and declarations page.
5. Cancel the old policy effective the same day, and ask about any refund of unused premium.
6. If you have an SR-22, confirm the new insurer files it before the old filing ends.

For homeowners insurance, notify your mortgage lender of the new policy and request a refund of any unused premium from the old insurer.

Three coverage levels compared

Examples only, not recommendations. Add UM/UIM at matching limits where possible.

Moving from the minimum to a middle level often costs less than people expect, because liability premiums do not rise in proportion to limits. Ask for both prices before deciding.

Coverage you should think twice about cutting

Some coverage cuts save very little and expose you to large losses. Be cautious about:

• Buying only the state minimum liability. Minimum limits can be exhausted by a single serious injury, leaving you personally responsible for the rest.
• Rejecting uninsured motorist coverage. It protects you when the at-fault driver has no insurance or too little. See uninsured and underinsured motorist coverage.
• Dropping collision on a financed car. Lenders and lessors usually require it.
• Letting the policy lapse between vehicles or during a move.

When an agent may help

Online tools work well for simple situations. A conversation with a licensed agent may be more useful when:

• You have a teen driver, several vehicles, or drivers with recent accidents or violations.
• You need an SR-22 or other state filing. See our SR-22 insurance page.
• You use a vehicle for rideshare, delivery, or other business purposes.
• You own a home, rental property, or significant savings and want liability limits that work with an umbrella policy.
• You have had a claim denied or a policy nonrenewed and need help understanding your options.

An agent can also explain differences in policy wording that are hard to see on a results page.

Renters and condo bundles

If you rent or own a condo, the same logic applies: renters or condo insurance bundled with auto can lower the total. Renters coverage is often inexpensive, and the auto discount may offset much of it. See our renters insurance comparison guide.

High-risk drivers and bundles

If a household driver has violations, the auto price may outweigh the bundle discount. Compare the bundle with a separate nonstandard auto policy plus your home policy.

Life changes that call for a new quote

Compare bundle quotes again when you buy a home, add a teen driver, renovate, buy a new car, or see a large renewal increase.

Bundle quote checklist

Have these ready before requesting quotes.

1. Home details. Address, year built, roof age, and updates.
2. Current declarations pages. Home and auto.
3. Driver details. Licenses and dates of birth.
4. Vehicle VINs. And mileage.
5. Claims history. Home and auto claims in the past five years.

Home and auto insurance quotes FAQs

Related guides

• Home insurance comparison
• Get a quote
• Umbrella insurance

Your next step

Request home and auto quotes, and a licensed agent will compare bundled and separate options available to us.