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Kristine Lee

Insurance Analyst

Credentials
  • Licensed Insurance Agent — Property and Casualty
  • 4+ years of Experience in the Insurance Industry

Kristine is a licensed insurance agent who joined The Zebra in 2019 as an in-house content researcher and writer. Before joining The Zebra, she was a…

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Mark Friedlander

Director, Corporate Communications, Insurance Information Institute

Mark Friedlander has over 30 years of experience in the insurance industry. He is the Director, Corporate Communications, at the Insurance Informatio…

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Ross Martin

Insurance Writer

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  • 4+ years in the Insurance Industry

Ross joined The Zebra as a writer and researcher in 2019. He specializes in writing insurance content to help shoppers make informed decisions.

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Car and home insurance bundles

When it comes to car and home insurance, it's a good idea to consider bundling. "Bundling" refers to the practice of buying multiple insurance policies from a single company. This is often more convenient and cost-effective with some homeowners saving over 10%. However, this doesn't mean that bundling always results in the highest savings.

Read on to learn more about the pros and cons of bundling as well as factors to consider when comparing car and homeowners insurance quotes.

Q: Is insurance actually cheaper when you bundle?

A: Maybe. Sometimes, the bundled insurance cost can be lower than another company's non-discounted rate for home and car insurance. This is why it's vital you get quotes from multiple insurers every six months: you must ensure you are actually continuing to save money by bundling.

Key takeaways

  • Bundling insurance is when you buy multiple policies, usually home and auto, from the same insurance provider
  • Homeowners pay less for car insurance in general and can save 10%+ on each policy by bundling their home and car insurance.
  • USAA and State Farm are rated as the best insurance companies for bundling and have the cheapest average rates for home and auto insurance
  • Don't just assume your "bundled" price is less than other companies' non-discounted rates, explore bundling options and obtain quotes from multiple insurance providers.

Best insurance companies for bundling auto and home

The Zebra conducted a survey with the intention of reviewing insurance carriers from a customer's perspective. We asked how each major carrier held up in online experience, claims satisfaction, ease of use, customer service, trustworthiness and willingness to recommend. Below are the results of this study on the top insurers for bundling car and homeowners insurance.

top rated bundling
Top rated for auto and home — USAA

Homeowners ranked USAA as the best overall auto insurance company in our survey. The company offers a discount of up to 10% for bundling, but while USAA is widely available and has a great reputation, it's only available to active duty or veteran military members and their families.

state farm
Best for ease of use, customer service and online experience — State Farm

State Farm is widely available and those who prefer a personalized experience can easily access its network of agents. The company offers savings of 17% by bundling car insurance with home, condo, renters or life insurance. The company also has many coverage add-ons available for homeowners insurance, though the average cost can be on the pricey side compared to other insurers.

geico
Best for claim satisfaction — GEICO

GEICO also has wide geographic availability and plentiful discount opportunities, including a multi-policy discount. The company doesn't advertise how much a customer could save by bundling. But in our rate analysis of GEICO, we found that while it typically offers lower rates than many of its competitors, it's pricier than USAA and State Farm.

The Zebra Customer Satisfaction Survey methodology

Findings are based on an online quantitative survey of 4,794 current U.S. auto and home insurance customers, with Census-balanced sampling by age, gender and region. Categories with n=<20 responses are considered insufficient sample size and are not reported. This survey was developed by The Zebra and executed by independent research firm Maru/Blue in 2023.

See the how other insurance companies did in our survey using the table below.

Rank Company Customer Satisfaction Rating (out of 5)
1st USAA 4.6
2nd State Farm 4.4
3rd GEICO 4.3
4th Kemper 4.3
5th Allstate 4.3
6th American Family 4.3
7th Erie 4.3
8th Progressive 4.3
9th AAA 4.3
10th Nationwide 4.3
11th Farmers 4.2
12th Auto-Owners 4.2
13th Travelers 4.2
14th Liberty Mutual 4.2
15th National General 4.1

Is combining home and auto insurance right for me?

Combining homeowners and car insurance is likely right for you if:

  • The price of your insurance with the bundling discount is actually less than another company's non-discounted rate. 
  • You won't lose or limit your insurance coverage

For some, convenience is more important than saving money. If you're one of these people, bundling might still be a good option even if your bundled rate isn't your cheapest rate. See a breakdown of the advantages and disadvantages of bundling below as well as specifics on when not to bundle your car and home insurance.

Pros
  • Potential Cost Savings - Many insurance companies offer cheaper rates to customers who are willing to bundle their home and car insurance policies.

  • Convenience - Bundling often streamlines processes like policy updates, payments, and filing claims, sometimes even eliminating the need for separate billing calendars.

Cons
  • The Discount Might Not Be Worth It - Sometimes, one company's rate with a bundling discount will still be more expensive than another's non-discounted insurance rate.

  • Limited Options - The insurer you bundle with might not offer the coverage or have limitations that might not align with your unique insurance needs.

PROS AND CONS OF BUNDLING HOMEOWNERS AND CAR INSURANCE
Pros Cons
Potential Cost Savings - Many insurance companies offer cheaper rates to customers who are willing to bundle their home and car insurance policies. The Discount Might Not Be Worth It - Sometimes, one company's rate with a bundling discount will still be more expensive than another's non-discounted insurance rate.
Convenience - Bundling often streamlines processes like policy updates, payments, and filing claims, sometimes even eliminating the need for separate billing calendars. Limited Options - The insurer you bundle with might not offer the coverage or have limitations that might not align with your unique insurance needs.

When not to bundle home and auto policies

While bundling home and auto insurance has its benefits, there are also scenarios in which it might not be the best idea. Read on to learn more about when you shouldn't bundle your homeowners and car insurance policies.

If you'll lose or limit your insurance coverage

Because homeowners and car insurance policies are assessed by different underwriters (even if they are within the same company), they view risks differently. For example, your dog is covered under your homeowners (or renters or condo owners) policy, not your car insurance policy. Some homeowners insurance companies will either charge you more — or flat out deny coverage — based on your dog’s breed. Therefore, transferring your home insurance policy to a company with limitations on liability coverage for specific risks like owning a German Shepherd may not be beneficial in the long run, despite a 5% to 10% discount.

Similar scenarios exist around limitations related to ownership of trampolines, pools or other potentially risky belongings.

If the discount isn't worth it

If the amount you save by bundling isn't greater than what another company would offer without a discount, it’s not worth it. Some insurance agents will quote you a bundling discount if you’re trying to leave their company, but there may be cheaper insurance options elsewhere.

Even with a 5% to 10% discount, some insurance companies' rates may be more expensive than other companies' non-discounted premiums. For example, on average, Liberty Mutual and Farmers offer large discounts for bundling, but their average premiums still exceed those of Nationwide, with or without a bundling discount.

house with trees and price tag

Did you know being a homeowner could save you money?

Even if you don't bundle, you can save money based on your status as a homeowner. In fact, a typical homeowner's car insurance rate is $8 less per month compared to renters. Insurance industry analytical data shows homeowners are less likely to file car insurance claims, leading to lower auto rates in many cases.


Tips for finding cheap home and car insurance bundles

pencil marking a checklist
Verify your insurance coverage won't change after you bundle.

Not all policies are equal, and you want to make sure the other insurance company doesn’t carry restrictions (e.g. dog, pool, trampoline-related) that can limit your coverage.

medal with checkmark
Make sure your chosen insurer has good claims management and customer service.

If you’re only dealing with one insurance company, it should be a pleasure to work with. Explore our review of the best homeowners insurers and best car insurers in addition to the best insurers for bundling auto and home insurance above.

bundling cash
Get both "bundled" and "unbundled" quotes from multiple companies.

If you’re only bundling to save money, be sure the discount you receive is worth it. Gather "bundled" and "unbundled" quotes for car and home insurance from several carriers. Let The Zebra do the legwork for you. Simply enter your ZIP code below to get started.

Find a bundle online today: compare quotes now.

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Best bundling discounts

Homeowners can save at least 10% by bundling car and home insurance, while renters save at least 5%. In order to see which company has the best discount for bundling a homeowners or condo insurance policy with auto insurance, we generated rates from major insurance companies (methodology) for six-month bundled policies.

Average Home Insurance Rate Average Auto Insurance Rate Average Home and Car Insurance Bundle Rate
$752 $765 $675
AUTO AND HOME INSURANCE BUNDLE RATES
Company Homeowners % Savings $ Savings
Allstate $894 8.54% $76
Farmers $659 22.05% $145
GEICO $583 2.97% $17
Liberty Mutual $750 11.71% $88
Nationwide $636 11.9% $76
Progressive $707 10.55% $75
State Farm $549 17.57% $97
USAA $525 3.84% $20

Homeowners pay the least for car insurance for several reasons. Homeowners are seen as more financially responsible and less likely to file an auto insurance claim than are renters. If you're a homeowner looking to bundle your auto and home insurance policies, consider USAA or State Farm.

CONDO AND AUTO INSURANCE BUNDLE RATES
Company Condo owner % Savings $ Savings
Allstate $905 7.2% $65
Farmers $710 13.22% $93
GEICO $583 2.97% $17
Liberty Mutual $750 11.71% $87
Nationwide $664 7.2% $47
Progressive $708 10.35% $73
State Farm $551 17.23% $95
USAA $530 2.94% $15

Other than USAA, State Farm is the cheapest company for auto insurance with a bundled condo insurance policy. On average, State Farm charges $92 a month for a car insurance policy with condo insurance bundled.

Note: Because of the complicated nature of homeowners, condo and renters insurance pricing, we only gathered rates for auto insurance policies.

The Zebra’s auto insurance data methodology

The auto insurance rates published in this guide are based on The Zebra’s annual analysis of average car insurance premiums in every U.S. ZIP code. This data comes to us from Quadrant Information Services, which sources the latest approved rate filings across carriers in each state from S&P Global. Quadrant then uses an internal QA process to validate the information and build reports before the data is queried and analyzed by The Zebra.

Rates are based on a sample driver profile — a 30-year-old single male driver with a Honda Accord and full coverage at these levels:

  • $50,000 per person/$100,000 per incident for bodily injury liability
  • $50,000 per incident for property damage liability
  • $500 deductibles for collision and comprehensive coverage

To provide insight to consumers on how specific personal factors (like age, location and coverage level) can affect your premium, this base profile is then adjusted for different factors commonly used by insurance companies. For more information, see our full data methodology.


See more information on bundling car insurance with our helpful guides:


Frequently asked questions

Insurance companies often provide a multi policy discount if you choose to bundle. Because this discount varies from insurer to insurer, it's important to verify that the bundling savings you're receiving actually makes it cheaper than buying two policies from different providers.

Depending on the insurance provider, the discount can range from 5% to 20%. According to our data, homeowners save an average of 10% and renters save 5%.

According to our survey of popular insurance companies, USAA, State Farm and GEICO were the top rated for car and homeowners insurance.

USAA and State Farm have the cheapest average rates for bundling home and auto insurance and are also rated as some of the best insurance companies.

Get home and auto insurance quotes quickly and easily.

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About The Zebra

The Zebra is not an insurance company. We publish data-backed, expert-reviewed resources to help consumers make more informed insurance decisions.

  • The Zebra’s insurance content is written and reviewed for accuracy by licensed insurance agents.
  • The Zebra’s insurance editorial content is not subject to review or alteration by insurance companies or partners.
  • The Zebra’s editorial team operates independently of the company’s partnerships and commercialization interests, publishing unbiased information for consumer benefit.
  • The auto insurance rates published on The Zebra’s pages are based on a comprehensive analysis of car insurance pricing data, evaluating more than 83 million insurance rates from across the United States.