Bundling your insurances together saves you more in Louisiana than in Vermont

Having the same insurance provider for your homeowners and auto insurance could save you a few hundred dollars a year.

That number varies depending on where you live, though, according to a study from insuranceQuotes. Like in Vermont, you’ll only save $175. But in Louisiana, residents could save nearly $600.

Of course, the methodology could be limiting (or overestimating) the amount you get back. The study took a hypothetical 45-year-old woman with excellent credit, who pays everything on time, and has a bachelor’s degree. Since not everyone fits this profile, it’s hard to determine how much others will get when they bundle their insurance services, but lets the company make a fair comparison.

Regardless of who you are, though, bundling different insurances does save you money — sometimes more, sometimes less. Typically, bundling home (or condo or renters) with auto insurance will save you the most amount of money, insuranceQuotes says. On average, consumers will save about 16 percent for bundling them. In Mississippi, the percentage is higher than the national average: 23.2 percent, or about $520. And even among home, renters, and condo insurances, there are some that are better deals than others.

“Insurance companies view homeowners as generally less risky than those who rent or own a condo,” insuranceQuotes says. “That means homeowners are also less likely to file a claim and are therefore allowed deeper discounts.”

While there are a few states with higher-than-average discounts, there are some states that have smaller-than-normal discounts — even though they are discounts nonetheless…

  1. Florida — 6.7 percent
  2. Hawaii — 10.6 percent
  3. New York — 11.5 percent
  4. Vermont — 11.6 percent
  5. Connecticut — 12.1 percent

PSA: Check up on your auto insurance rate right now

So many Americans don’t know how car insurance works, like that they can change it anytime. Many put off shopping around because it’s too time-consuming and complicated. Not browsing for other policies could cost you more in the long run, even if you believe you are paying less than you were before.

But car insurance isn’t treated equally among cars, meaning the car you drive can cost you a lot more (or a lot less) than what others are paying right now. Keep in mind even the safest cars aren’t getting the discounts you might think they are due to the bump in technology in vehicles.

While safer cars are joining the market every year and saving thousands of lives, car crashes aren’t dropping like you might think they would (even if fatalities are). In fact, crashes are going up. With the uptick in crashes, insurance rates are climbing, too. Depending on where you live, you could see an increase of up to 60 percent on your bill, even though the national average is about 20 percent less than that.

The rules you’re breaking on the road have a direct impact on how much your insurance rates will go up. Accidents are big, of course, and so is driving under the influence. But even minor infractions, like driving without a seatbelt and speeding less than 10 mph over the speed limit, will cause your premiums to go up.

Be safe on the road, but also be smart about the insurance you have for your car.

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Meet the Author

Dori Zinn

Dori Zinn


Zinn is a freelance journalist based in Fort Lauderdale, Florida.

Budgeting & Saving, Credit & Debt, Family

auto repair, insurance

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Article last modified on November 9, 2017 Published by Debt.com, LLC . Mobile users may also access the AMP Version: Would You Like Auto Insurance with That? - AMP.