Benefits of Bundling your Insurance Policies

Published: March 14, 2018

Updated: May 15, 2018

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There are many items that needs to be protected – a car, a home, vacation homes, recreational vehicles such as dirt bikes and motorcycles, and even your life. It is time-consuming and very difficult to shop around to get separate quotes for each of your items. The insurance payment schedules and paperwork can pile up real fast as there are so many things to protect.

Perhaps it is high time you simplify and think about bundling all of your insurance to one insurer. Having all your insurance under one insurer can save you resources in money and time and it will take some of the guesswork and inconvenience out of insurance coverage.

Having your insurance policies under one insurer will lead to fewer challenges and less expenses for your pocket. To help you secure your business for different policies, insurance firms are willing to seize that opportunity to offer you a discount on your premiums. The discounts on bundled policies usually range from 10 – 15%.

Bundling is helpful for saving money; yet another advantage is the convenience of working with only one company. It simplifies policy management and reduces the amount of paperwork. You do not need to subscribe to different insurance companies and agents and you will have to remember only one renewal date. This also makes it easier to reach your insurance company whenever you need to make a claim for either your car or house.

Again, when your insurer has access to all your policy information, it will be easy for your agent to identify gaps in your coverage and offer the necessary recommendations to give full protection to you and your properties.

Merits and Demerits of Bundling Insurance

Merits:

The greatest benefit of bundling insurance is discounts. This is the way insurance companies reward their loyal customers – with savings off your car insurance policy. The discount will be even more if you bundle more than one driver and vehicle.

Bundling very many insurance policies can greatly reduce the challenges associated with using many insurance companies and agents and will give you peace of mind. You will have one renewal date, one bill, and one insurance professional if you have all your insurance policies with one insurer. This can be helpful when you need to make a claim or have questions to ask. Your agent will know you personally and your policies and can identify potential exposures or risks.

Demerits:

If you do not carry out an intensive search with different insurance companies, you may not obtain the best price or discounts available. It is imperative to speak with your agent every year to ensure that your policy is updated and every new discount is applied.

Changing your commute, getting married, having a new driver or a baby, having an addition to your home, alters your insurance discounts, costs, and needs. It is imperative that you update your insurance on a regular basis even when you bundle your policies, this will make sure you are completely covered.