One of the biggest concerns consumers have about insurance is the cost. Insurance is seen as a necessary evil to most consumers, and they want to be sure they are not over paying. It is important to remember that you should never sacrifice proper coverage limits in return for saving premium dollars. Of course you also want to have a very competitive rate.
One of the easiest ways to save premium is to bundle your auto and home insurance with the same insurance company. Insurance companies offer what is called a “multi-line or multi-policy” discount. This is a discount that is applied to both the home insurance and auto insurance premiums. This percentage of savings can be between 10% up to 25% depending on the insurance carrier. It is important to compare your insurance package with many insurance carriers since the difference in savings percentages vary from one company to another. This is where an insurance broker can save you time and money because you can have one agent shop your insurance with multiple insurers. Almost all personal lines insurance companies in California prevent brokers from charging you fees, so this service comes free to the consumer.
Another advantage to having your policies together with one insurance company is the clout you gain with multiple policies. If you were to have a claim most companies would not want to loose multiple policies, so they would be less likely to cancel your insurance. If you have just one policy, you are more likely to be cancelled.