If you own a car and motorcycle, you can save money on insurance by bundling both with the same company. The car and motorcycle insurance bundle is a simple, effective means of saving money on your insurance premiums. Plus, some insurance companies will offer additional discounts that you may use in conjunction with the savings from bundling two different policies.
How does Bundling Work?
The principle behind combined car and motorcycle insurance with one company is based on solid business practices. An insurance company makes considerably more money when taking on an additional policy even at a discount.
So, it is in the best interest of insurers to cover your vehicle, motorcycle, boat, and even the home.
For the consumer, bundling makes sense in terms of the money saved through the discount in addition to only paying a single company to cover the motorcycle and cars or trucks. Because of the convenience, many people choose a single insurer when it comes to their vehicles.
How Much Can You Save with Bundling?
The amount you save with a car and motorcycle insurance bundle will depend on the insurance company that you choose. Many of the major companies offer at least a 5% discount such as GEICO for example. While other companies such as Allstate will offer up to a 30% discount if you add your home and other vehicles as part of what they cover.
In addition, companies such as Liberty Mutual, Progressive, and Nationwide vary in the amount of the savings you can enjoy based on different factors such as the types of policies chosen, your overall credit rating, and the types of vehicles and whether you decide to include your home in the bundling process.
Should You Try Bundling?
There is no question that you will save money with the car and motorcycle insurance combined under one insurer. However, the question is how much money you can save compared to other options that you can take advantage.
Discounts: Consider that it may be more advantageous to separate your auto and motorcycle insurance if separate companies offer deeper discounts.
For example, one insurance company that may specialize in offering cheap motorcycle policies may have considerably higher prices for their auto. So, trying to combine under one insurer may be more expensive that paying two separate insurers.
Convenience: It is true that paying one insurance company is easier than paying two. That might be good enough to combine your auto and motorcycle insurance. Keep in mind that many insurance companies also offer discounts for adding a new policy, such at the 10% discount GEICO offers for new motorcycle insurance.
The Bottom Line:
The choice of whether to bundle your car and motorcycle policies should be based first on price and then on convenience. You should also consider other options such as raising the discount if you must purchase a more expensive policy to get the advantages from bundling. In the end, you should take the time to research all the relevant factors to discover if bundling works best for your needs.