There are lots of different ways you can bundle your insurance polices. You can bundle up your car and home insurance. You can bundle your car and renter's insurance. You can also bundle up other types of insurance as well, such as motorcycle, boat, and even life insurance. Bundling insurance is when you purchase more than one insurance policy from the same insurance provider instead of going with different insurance providers for each policy. Bundling your insurance can offer you some benefits.
#1 Lower Premiums
One of the biggest benefits of bundling your insurance is that it is a great way to lower your premiums for your insurance policy. Pretty much every insurance company offers you some degree of a discount for having multiple policies with them. It is often referred to as a multi-policy discount and is generally one of the most generous discounts insurance companies offer. They offer such a generous discount because they are getting more of your business, which is beneficial to your insurance company in the long-run.
#2 One Deductible
In addition to lowering the overall cost of your insurance premium for all of your policies, many insurance companies also offer you the opportunity to have one deductible apply to all of your policies instead of different deductibles for your individual policies.
For example, instead of having a $5,000 deductible for your home owner's insurance and a $1,000 deductible for your car insurance, your insurance provider will offer you an overall $2,000 deductible. That means if you need to cash in on your car insurance policy and homeowner's insurance policy during the same coverage period, you will only have to pay the overall $2,000 deductible instead of the $5,000 for your home owner's insurance and the $1,000 for your car insurance.
If you find yourself in a situation where you have to cash in on multiple policies at once, this can be largely beneficial.
#3 Increased Familiarity
Finally, another benefit of using the same insurance provider for your different policies is that it provides you with the opportunity to become more familiar with your insurance provider. You can learn the ins and outs of working with your insurance provider and learn better how to access all of the benefits that are available to you when you only have to work with one insurance company instead of juggling multiple insurance companies.
If you have the need for multiple insurance policies, working with the same company for all of those policy needs will help you save money on your premium and your deductible, and will give the chance to really get to know your insurance agent and company. To learn more, contact an agency like McHugh Insurance.