Expert-Reviewed: The Best Auto and Home Insurance Bundles companies for Optimal Savings and Coverage.
Save money and enhance your coverage by bundling auto and home insurance. Our experts have reviewed and selected the top-rated bundles, ensuring you make the most of your insurance investment.
Best home and auto insurance bundle companies
What you should know
American Family stands out with its impressive bundling discount for home and auto insurance. While its auto insurance premiums may be slightly higher, the offsetting effect of the discount makes it an attractive option. Customers also report low complaint levels for both coverage types.
Pros and cons
Homeowners insurance rates are lower than what you’ll find with other insurers.
Extended and guaranteed replacement cost coverage are available to homeowners.
Gap insurance available if you finance or lease your vehicle.
Customer complaint levels for home and auto insurance are very low.
Rideshare insurance available if you drive for companies like Lyft and Uber.
Cons
Car insurance rates for good drivers are slightly above the national average.
May not cover certain dogs, depending on breed and behavior history.
American Family insurance is only available in 19 states.
What you should know
State Farm features the largest bundling discount of the companies included in our analysis, on top of offering some of the most competitive rates for home and auto insurance. The insurer also scores well for customer satisfaction, with a low level of consumer complaints.
Pros and cons
Average bundling discount of 23%, the highest of all the companies we analyzed.
A 14% renewal discount when you maintain your auto policy for at least three consecutive years.
Affordable rates for adding a teen driver to a parent’s policy.
Low level of consumer complaints for both homeowners and auto insurance.
Extended replacement cost coverage available for homeowners policies.
Cons
Some of the highest rates for drivers with poor credit, according to our analysis.
Accident forgiveness, vanishing deductibles or new car replacement not available to auto customers.
Bundling quotes are not always available online.
USAA
What you should know
USAA’s home and auto bundling discount isn’t quite as high as other insurers. However, the company offers some of the lowest rates overall for both home and auto coverage, which can add up to significant savings. USAA is only available to the military community and eligible family members.
Pros and cons
Home and auto insurance rates are among the lowest of the companies we analyzed.
Extended replacement cost of 25% or 50% is available for dwelling coverage.
Homeowners insurance does not have a banned dog list.
Affordable rates for harder-to-insure drivers, including seniors, young drivers and thosewith an accident, ticket or DUI on their driving record.
Usage-based auto insurance, accident forgiveness and new car replacement available.
Rideshare insurance available if you drive for companies like Uber and Lyft.
Cons
Only available to USAA members, which is limited to military members, veterans and
their immediate families.
Bundling discount not as high as other insurers we analyzed.
Guaranteed replacement cost coverage is not an option for homeowners.
Gap insurance not available to drivers.
Nationwide
What you should know
Nationwide offers a competitive bundling discount and low homeowners insurance rates. And though its car insurance rates are average, its homeowners rates and bundling discount make it worth considering. It also has a very low number of complaints from both homeowners and car insurance customers.
Pros and cons
Affordable home insurance rates and a 15% bundling discount.
Homeowners customers are not subject to a banned dog list.
Dwelling replacement cost plus options provide extended homeowners coverage.
Decent average car insurance rates for good drivers, teen drivers on a parent’s policy and drivers with poor credit.
Accident forgiveness, new car replacement and vanishing deductible available.
Very low number of customer complaints to state insurance departments.
Cons
Higher than average rates for drivers with an injury-causing accident or DUI on their record.
Homeowners insurance not available in Alaska, Florida, Hawaii, Louisiana, New Jersey, New Mexico or Massachusetts.
Auto insurance not available in Alaska, Hawaii, Louisiana or Massachusetts.
See also: Best Car Insurance Companies in 2023: Rankings & Expert Analysis
Progressive
What you should know
Progressive offers some of the lowest rates overall for home insurance, along with a decent bundling discount. Complaint levels are low and drivers who have DUIs or tickets on their driving record may find more affordable coverage here.
Pros and cons
Exceptionally low home insurance rates compared to the other companies analyzed.
Great pricing for drivers with less than perfect driving history, second only to USAA.
Gap insurance and SR22 insurance are available.
Additional discounts for home security systems, burglar alarms and fire sprinkler systems.
Optional coverage available for water backups and personal injury.
Cons
Good drivers may find cheaper rates for auto insurance elsewhere.
New car replacement isn’t available.
Does not underwrite its own homeowners policies which means claims are managed through a partner company.
Auto-Owners
What you should know
Auto-Owners Insurance offers a 10% bundling discount, and though its average homeowners insurance rates are slightly above average, it has highly competitive car insurance rates that make it worth considering. It also has a low level of complaints among homeowners and car insurance customers against it, which is a plus if you’re looking for good customer service.
Pros and cons
Highly competitive car insurance rates for most drivers, including drivers who have caused an accident.
Accident forgiveness, diminishing deductible, gap insurance and new car replacement coverage available.
Homeowners can customize policy with guaranteed replacement cost coverage.
Optional home insurance coverage is available for water backup of sewers or drains.
Homeowner Plus package can cover additional issues, such as appliance leaks and food spoilage from power outages.
Cons
Drivers with a DUI or poor credit history may find cheaper auto coverage elsewhere.
Homeowners insurance rates are slightly higher than average compared to other top companies.
Some homeowners may be subject to a banned dog breed list or limited liability coverage if they own a dog breed defined as “aggressive.”
Compare companies with the best home and auto insurance bundles
Company Average bundling discount Auto insurance complaint level Home insurance complaint level Our rating
American Family 18% Very low Very low 5.0 stars
State Farm 23% Low Very low 5.0 stars
USAA 6% Average Very low 5.0 stars
Nationwide 15% Very low Very low 4.5 stars
Progressive 7% Low Low 4.5 stars
Auto-Owners 10% Low Very low 4.0 stars
Erie 15% High Very low 3.5 stars
Travelers 11% Very low Very low 3.5 stars
Allstate 15% Low Very low 3.0 stars
Farmers 18% Low Very low 2.0 stars
Who has the best home and auto bundling discount?
State Farm offers the biggest home and insurance bundling discount with an average savings of 23% per year, according to our analysis. USAA, meanwhile, offers the lowest bundling discount, saving its customers 6% per year on average.
For perspective, our research indicates that the average auto and home insurance bundling discount is 14%. And policyholders that bundle their home and auto coverage typically save $466 a year on average.
Average home and auto bundling discounts
- Company Average annual savings for bundling home and auto insurance Average % savings for bundling home and auto insurance
- State Farm $787 23%
- Farmers $732 18%
- Erie $535 15%
- Nationwide $516 15%
- Allstate $497 15%
- American Family $486 18%
- Travelers $484 11%
- Progressive $226 7%
- Auto-Owners $214 10%
- USAA $185 6%
- Average $466 14%
Who has the cheapest home and auto insurance bundle?
Auto-Owners has the cheapest option to bundle homeowners insurance and auto insurance. According to our analysis, the average annual cost for a home and auto insurance bundle through Auto-Owners is $1,878. That’s 31% less than the national average of $2,730.
When shopping around for home and auto insurance bundles, it’s important to do the math on the actual savings amount, versus focusing simply on the bundling discount percentage. The biggest bundling discount may not always mean the lowest overall rates.
For instance, with Auto-Owners, the average bundling discount is 10%, much less than the 23% offered by State Farm. However, the final price for combined coverage is the lowest among the companies we compared.
Shopping around can help you find the best homeowners insurance and auto insurance bundle for you based on not only multi-policy or bundling discounts but also on other factors, like the price of your home, where you live, the car you drive, and your credit and driving history.
ZIP Code:
- Age: 35-44
- Current Insurer: Other
- I own my home
Multiple Vehicles?
- Good Credit
- Compare Rates
Cheapest home and auto bundle quotes
Company Monthly cost for home and auto bundle Annual cost for home and auto bundle
- Auto-Owners $157 $1,878
- American Family $182 $2,178
- State Farm $216 $2,587
- USAA $219 $2,630
- Erie $220 $2,645
- Nationwide $221 $2,652
- Progressive $231 $2,777
- Allstate $248 $2,978
- Farmers $288 $3,458
- Travelers $338 $4,052
Pros and cons of bundling home and auto insurance
To bundle home and auto insurance or not to bundle? There are advantages and disadvantages to doing so.
You might consider bundling if you:
Want to save money on home and auto insurance.
Would like to simplify your insurance billing and combine policies with a single company.
Are hoping to take advantage of other discounts or incentives with a new insurance company.
On the other hand, it’s important to do your research to make sure bundling is a good option.
Bundling your home and car insurance doesn’t guarantee that you’ll save a substantial amount of money. That’s especially true if your current insurance company doesn’t offer the most competitive rates or if you’re switching to one that charges higher rates despite a competitive bundling offer. As our analysis shows, bigger discounts don’t necessarily translate to more savings.
Bundling could also work against you if you’re giving up certain coverages or benefits by moving to a new insurer. For example, you might be in for a surprise if you switch homeowners insurance policies only to find out that your new company has a banned dog list or doesn’t offer guaranteed replacement coverage.
Taking time to compare all of the options can help you decide whether it makes sense to bundle home and auto insurance and which company is the best choice for you.
How to save money when bundling home and auto insurance
To save money when bundling home and auto insurance, start by evaluating your current coverage, including:
How much you’re paying for home and auto insurance now.
The level of coverage you have with each policy.
What discounts you’re currently enjoying.
How your driving and credit history may affect your insurance rates with a new company.
Your answers can serve as a framework for shopping around and comparing bundling discounts. Getting multiple quotes can give you a general idea of how much you’ll pay and some numbers to work with so you have an idea of how much you’re likely to save.
Also, don’t forget to look beyond bundling discounts for other opportunities to save. Insurers can offer a variety of discounts for home and auto insurance, including new home discounts, first-time customer discounts and safe driver discounts. All of which could help to reduce your overall costs.
Methodology
Our insurance experts evaluated top home and auto insurance companies to determine which offer the best home and auto bundles. We evaluated each insurer based on its average bundling discount, home and auto coverage rates and level of consumer complaints. All discount and rate data used in our analysis are from Quadrant Information Services.
Each insurance company was eligible for up to 100 points for each of the following factors:
Bundling discount (20 points): The primary benefit of bundling your home and auto insurance is the multi-policy savings many insurers extend when you purchase more than one insurance product. We examined bundling discounts for each insurer to determine which offered the highest percentage of savings to customers who purchase both a home and auto insurance policy through the same insurer.
Auto insurance rates (30 points): Discounts alone aren’t enough to determine which company offers the best auto and home bundling deal. We collected and compared average rates from insurers to provide a better picture of which home and auto insurance bundles are the best.
Rates are based on a 40-year-old female classified as a good driver — one without speeding tickets or traffic accidents on her record. Coverage rates reflect those for a Toyota RAV4 with the following:
- $100,000 for injuries to one person, $300,000 for injuries per accident and $100,000 of property damage (known as 100/300/100).
- Uninsured motorist coverage of 100/300.
- Collision and comprehensive insurance with a $500 deductible.
Home insurance rates (30 points): Like auto insurance rates, a company’s home insurance rates play an important role in determining which insurance companies offer the best overall bundling offer. We collected and analyzed average rates offered by top insurers for a standard homeowners insurance policy that includes $350,000 in dwelling coverage.
Auto insurance complaints (10 points): We used complaint data from the National Association of Insurance Commissioners. Complaints against companies are logged and monitored by each state’s department of insurance. Most auto insurance complaints center on claims, including unsatisfactory settlements, delays and denials.
Home insurance complaints (10 points): We used complaint data from the National Association of Insurance Commissioners. Each state’s department of insurance is in charge of logging and monitoring complaints against the companies that operate in their states. Most home insurance complaints center on claims, including unsatisfactory settlements, delays and handling of the claim.
Why you can trust us
Our insurance experts follow strict editorial guidelines to ensure fairness and unbiased reviews. We compared bundling discounts, average home and auto insurance premiums and consumer complaints to find the top home and auto bundling options for 2023.
Frequently asked questions
What does it mean to bundle home and auto insurance?
Bundling home insurance and auto insurance means buying both types of coverage from the same insurance company. Many insurers reward customers who buy both policies from them with a multi-policy or “bundling” discount, which can lower your insurance costs. Bundling can also make it easier to manage your policies.
Bundling discounts aren’t limited to homeowners and auto insurance, however. Insurers often extend bundling discounts to other types of coverage, including renters insurance, boat insurance and motorcycle insurance.
Is it cheaper to combine car and home insurance?
It can be cheaper to bundle home and auto insurance if you’re moving to an insurance company that charges lower premiums or offers a sizable discount. In addition to bundling discounts, you may qualify for other discounts for safe driving or going a set period of time without a claim.
Why do insurance companies want you to bundle?
Insurance companies use bundling as a way to attract new customers. For example, if you see that you might be able to save 20% on your home and auto insurance with Company B, that could be a good reason to move your policy from Company A. You can save money while Company B gets to collect premiums from you each month.
How much do you save with insurance bundling?
The average annual savings for bundling is 14%, but some insurers we reviewed offered up to 23%. Your actual savings will depend on what’s included in your home and auto insurance coverage, how much you pay for premiums and which company you’re bundling your policies with.
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