What is the best rated home and auto insurance company

Most major insurance companies offer discounts for bundling home and auto insurance that can help drivers save hundreds of dollars every year. Progressive has the cheapest rate to bundle your home and auto insurance, at $1,308 per year, while Allstate offered the biggest discount for car and home insurance bundling, at 24%.

ValuePenguin collected quotes from five of the largest insurers in the country for one auto insurance policy, one home insurance policy and a bundled policy for the same vehicle and house.

The rates were for a 30-year-old with a $220,000 home and a 2015 Honda Civic. Full methodology

Progressive has the cheapest overall rate for bundling home and auto insurance, at $1,308 per year. Drivers could save more than 20% by bundling policies, depending on the insurer and their driver profile.

Some companies, including State Farm, only provide bundled quotes through an agent. Rates change depending on where you live. For example, homeowners insurance in Florida tends to be expensive in most parts of the state, but car insurance tends to be cheaper in inland areas around Gainesville.

Discounts vary by state. Rates are for a 30-year-old man with a $220,000 home.

Finding the best home and auto insurance quotes

The best auto insurance and home insurance bundle is the one that gets you a great discount on top of a fair price for both policies.

Just because one company offers cheap car insurance does not mean they will also offer affordable rates for homeowners insurance, and vice versa.

You can compare car and home insurance quotes for your area by entering your ZIP code above.

These aren't the only companies you can bundle with — they’re just a small sample of the largest ones. Every major insurance company has bundling policies and discounts.

The following auto and home insurance companies allow you to bundle the two policies:

• Geico
• State Farm
• Progressive
• Allstate
• Farmers
• USAA

• Esurance
• Nationwide
• Liberty Mutual
• Erie
• American Family
• MetLife

• The Hartford/AARP
• Travelers
• Amica
• Mercury
• Auto-Owners
• State Auto

Should you bundle your home and car insurance?

You should bundle your homeowners and auto policies if you:

• Find the combination of policies cheaper than what you currently pay.
• Cannot find cheaper rates at separate companies.
• Are trying to insure a risky home.
• Want a stronger relationship with your insurance company.

You may not want to bundle if the price of the two policies is more expensive than separate policies at two companies.

If bundling with State Farm costs you $1,000 for auto and $1,000 for home, for a total of $1,800 after the discount, but you can find a home policy for $700 at Progressive, you should go with State Farm for auto and Progressive for home if your goal is to save on insurance costs.

There are a few reasons beyond price, however, that may make bundling beneficial.

1. It may be a good idea to pay a higher price for the bundle if you are having trouble finding a company to insure your high-risk home.
2. Having an auto policy with a company that also sells homeowners insurance may give that company more incentive to insure your home — despite the risks.
3. Having multiple policies with one insurer may make them less likely to drop you.
4. There is also a convenience factor by being able to pay for both policies to the same company.
5. Lastly, according to J.D. Power, customers with bundled policies traditionally tend to be more satisfied with their insurer than those without bundled policies.

With all that being said, there are still a few factors you should be mindful of that may end up making a bundle more expensive in the long run.

If your bundle requires you to move to another company, we recommend you watch out for cancellation fees and potential coverage lapses.

The majority of big insurance companies do not charge cancellation fees, but we've found that some, like Esurance and Mercury, charge a fee for canceling before your policy is up.

A lapse in your car insurance is another thing to be wary of, as it may be quite costly. We've discovered that your rates can be 8% more expensive when you go to buy a policy again, even if the lapse was for less than 30 days. And rates can be 35% more expensive if the lapse has exceeded 30 days.

How to bundle your auto insurance and home insurance

You can bundle the two policies when you get a quote for either type of insurance.

For example, usually at the end of the auto insurance quote process, your insurer will ask if you wish to add a homeowners policy as well.

Many people likely already have a policy for their car with one company and their home with another.

• This is the trickiest part when it comes to bundling.
• Taking the proper steps to transition from your old to new insurance policy ensures you won't have a lapse in coverage.

How to properly cancel your insurance and bundle with another company

We recommend you give your car or homeowners insurance company at least 30 days’ written notice of your intention to cancel their service.

By giving your company a heads up, you ensure they stop billing you by the time the 30 days is up. You also eliminate any confusion as to when you should have another insurance policy in place.

Haphazardly canceling an insurance policy can leave you with a gap, which, as we found with car insurance, can be quite costly — even if it's for less than 30 days.

When you tell your insurance company your intention to cancel, you should already have another company in place with which you want to bundle your policies.

You can set the start date for the new (or both) policies the day your insurance ends with the old company.

Frequently Asked Questions

What type of insurance policies can I bundle?

Insurers offer bundle discounts for a wide range of policies, including home, auto, motorcycle, life and renters insurance. That being said, the most common bundle offered by insurers includes home and auto insurance.

What are the best home and auto insurance bundles?

In terms of cost, Progressive offered the best home and auto insurance bundle in our survey, at an average annual rate of $1,308. Allstate offered the highest discount for bundling home and auto insurance, at 24%.

Should I bundle my home and auto insurance?

Since most insurers offer discounts for bundling home and auto insurance, there is a good chance you can save money by bundling the two. Additionally, going through the same insurer for both home and auto can make communication easier. That being said, it’s possible that your cheapest option is to have home and auto insurance through different companies. The key is to compare rates to ensure you are getting the best deal available.

Methodology

We looked at five of the nation's largest insurers to see which offers the best overall discount for bundled home and auto insurance policies. All rates are sample quotes for a single male 31-year-old who lives near Indianapolis. He has a full coverage insurance policy on his 2016 Honda Civic, with no recent accidents or traffic infractions.

He carries $230,000 of dwelling coverage on his home, which has a roof that was last replaced in 2010.