does bundling insurance save you money

Does Bundling Insurance Save You Money?

You have probably heard that bundling insurance can save you money. And while this can be true in some cases, it is not that black and white. Let's take a look at why and some ways you can continue to save money on your insurance. 


When it comes to insurance policies, pricing is up to the state and company. Some insurance companies will offer you an initial discount when you sign up with them by bundling home and auto, but then at renewal will have a rate increase that can make up for the discount you got last year. Usually, you will see this discount on a homeowner's insurance policy and it can range from 5-25%. Auto insurance may contain a discount but it is usually less than a homeowner's policy. Pricing and discounts will vary with each insurance company, and keep in mind that where you live will factor in as well.


Often when you decide to bundle your policies, you don't want to switch insurance companies again. Renewing your policies is usually automatic and you will likely see rate increases. Over time, the discount you received initially will start to seem like it is less. If you aren't comparing rates with other insurance companies, you may be leaving money on the table.

Keep Rates Low

There are some things you can do to make sure you are still paying a fair insurance premium.

  • Work with a trusted agent like Rumbaugh that has your best interests at heart and will check pricing for you and review your policies annually

  • If you have any violations on your record pay attention to the timing because they fall off your record after 3 years, and you want to make sure your auto insurance premium reflects that

  • Check quotes for both bundling and keeping them separate so you can determine which will benefit you most when it comes to price and coverage

Rumbaugh Insurance represents a variety of insurance carriers. For additional information on auto, home, or business insurance, contact us at 717-632-6001.