The large size of the insurance company has made this topic very complicated. There are so many different things you need to learn to completely understand how to get the best auto insurance coverage for your vehicles. Did you know that there are ways to save money on auto insurance based on how you buy the policies?
There are many ways you can buy car insurance policies. You can get it online, from the dealership, and the insurance agent as well. But did you know that if you get two or more policies from the same company, it can get you some benefits?
A question that’s often asked is whether one should buy homeowners insurance from their car insurance company. There are some great benefits to this way of buying insurance policies. But it is not rainbows and sunshine, as there are some cons to this practice as well.
This article will describe in detail whether you should buy your homeowners policy from your car insurance company or vice versa. Let’s get started.
Multiple Policy Discounts:
Insurance companies want to sell more policies to people. More policies sold means more people who pay insurance premiums. This increases their cash pool reserves to help them run their business and payout insurance claims.
An incentivizing way in which insurance companies make people buy multiple policies from one company is by offering multiple policy discounts. Multiple policy discounts, as the name suggests, are the discounts you get when you buy two or more policies from the same insurance company.
The discounts range anywhere from 5% to 25% depending on how many policies you have bought. So if you get your homeowners insurance from your car insurance company, you are eligible for multiple policies discount. This helps you save on both policies.
All the insurance companies usually offer multiple policy discounts. All you need to check is if your car insurance company offers homeowners insurance (and other insurance policies for that matter) to avail of the offer.
Better Management of Policies:
There are many things you need to keep in mind after you have purchased insurance policies. The premium payment time, renewal date, important information, etc. Having homeowners insurance and car insurance from the same company will help you in managing these policies easily.
Since you have the policies from the same company, you can get all the relevant information about different policies on the same dashboard. The process of insurance premium payment also becomes easier as you can pay the premium for both policies with one payment.
Buying homeowners insurance from your car insurance company can have some great benefits. Better policy management is one of the best benefits as there have been many cases where people have forgotten to renew policies because of how difficult it was to manage multiple policies.
Forgetting to renew your policy can lead to policy coverage gaps, which can drastically increase your insurance rates. Getting these two policies from the same company also gets you great discounts, which is a win-win. Or is it?
There are some negative things about getting two policies from the same company as well. We have explained all the benefits, and now it is time for the cons for the same. You can take a look at both sides and decide for yourself if you want to buy homeowners insurance from your car insurance companies.
While it is great to have different policies under the same company, your car insurance company might not even sell a homeowners insurance policy. So if that’s the case, should you switch your car insurance company?
No, if you are getting a good deal from your current car insurance company, stay with them and purchase homeowners insurance from some other company that offers a great policy at affordable prices. Going through a hassle just to have both policies from the same company is not worth it unless you get a great discount.
If you are looking for great car insurance policies at a great price, then keep looking for them on the internet. With so many companies competing for the customer, so many great options pop over here every day, waiting for you to find them.
Let’s say that your car insurance company does offer homeowners insurance and you can get a great 10% multiple policy discount as well. But what if the homeowner’s insurance coverage is very poor and does not fit your requirements?
Getting a great and affordable insurance policy should be your priority. So always compare multiple policies online and see for yourself which one is the best at the best price. It is not always about discounts or low prices, but getting the best policy at the best price.
So if you are getting a poor deal, then you are better off buying homeowners insurance from another company at a lower price than buying it from your car insurance company.
The same applies to your car insurance policies. If you have bought homeowners insurance from one company, you do not need to purchase car insurance policies from the same company just so that you can get multiple policy discounts.
Make sure that the policy any company is selling is great in terms of coverage, claim processing time, customer support, etc. Only then look at the price, discounts, and other miscellaneous factors.
So that was all about getting your homeowners insurance from your car insurance company. We hope that you have a clearer picture and can make a better choice by weighing all the pros and cons of this practice.