When Insurance.com priced a sample driver and home in 2026, the Travelers bundle came to $4,461 a year and the Amica bundle to $5,571. The cheapest option was neither. Travelers for the car and Amica for the house, two companies and no bundle discount, cost $3,737.
That example sums up bundling. The discount is real and often large: Insurance.com found an average saving of 15%, about $869 a year, and the biggest insurers advertise more. But a discount on an expensive price can still lose to two cheap prices. The only way to know is to price it both ways.
Last reviewed: October 2026 · SmartCoverage Editorial Team · How we research
Enter your real quotes as yearly prices. The numbers below are only an example.
Option 1: one company, bundled
Option 2: best separate quotes
Most quotes already include the bundle discount; leave the extra discount at 0 unless the insurer quoted it separately. Compare quotes with the same limits and deductibles. For guidance only.
How big the discounts are
Two 2026 analyses measured what the largest insurers actually take off when you combine home and auto. They used different customers and methods, so treat the figures as a range rather than an exact number.
| Insurer | Insurance.com avg. discount | ValuePenguin avg. discount | ValuePenguin bundled price |
|---|---|---|---|
| State Farm | 22% | 23% | $272/mo |
| Allstate | 17% | 21% | $420/mo |
| Nationwide | 17% | 19% | $413/mo |
| Farmers | 19% | 15% | $555/mo |
| Travelers | 11% | n/a | n/a |
State Farm stands out in both: the largest discount and, in ValuePenguin’s data, a far lower bundled price than the other three. Some smaller insurers advertise even bigger maximums. NerdWallet lists American Family at up to 40% and Amica and Country Financial at up to 30%, although an “up to” figure is the best case, not the typical one.
Where you live changes the picture. In Insurance.com’s state data, the best discounts reached 43% with Nationwide in North Carolina and 38% with Vermont Mutual in Massachusetts. At the other end, some combinations saved only 4% to 5%, such as Allstate in California and USAA in Colorado, Maryland and Nebraska. A national average hides a lot.
When bundling usually wins
Bundling tends to come out ahead when the same insurer is already competitive on both policies. If one company is among the cheapest for your car and also quotes a reasonable home price, the discount on top makes it hard to beat. That is common with State Farm, and our best homeowners insurance and best car insurance rankings show which other companies tend to be cheap on each side.
It also wins when your home insurance options are thin. In parts of Florida, California or the hail belt, an insurer may only offer a home policy to customers who also insure their cars there. In that case the bundle is less a discount and more the price of getting coverage at all.
Renters get an even easier case. A renters policy might cost $10 to $15 a month, and the multi-policy discount on the car can be worth more than that. Adding renters insurance can make your total bill lower than auto insurance alone. See the best renters insurance companies if you do not have a policy yet.
When two companies beat one
Splitting tends to win when your best price for one policy comes from a specialist. A regional home insurer that is very cheap in your state, or a car insurer that rewards your clean record or low mileage, may beat any bundle. The Travelers and Amica example above is exactly that pattern.
Watch for a quieter problem too. Some bundled prices creep up at renewal because customers rarely check them: the discount stays, but the base rates rise. If you have had the same bundle for years, quote both policies separately at least every couple of years.
The benefits that are not on the price tag
Savings are the headline, but bundling has practical advantages worth something to many people.
One deductible for some claims. If a tree falls on your house and your car in the same storm, some insurers apply a single deductible rather than two. Ask whether yours does; it is not universal.
Easier umbrella coverage. An umbrella policy adds $1 million or more of liability on top of both policies. Insurers usually require your home and auto policies to carry certain liability limits, and many make it easiest to buy when they hold both.
One contact, one renewal. A single agent or app and aligned renewal dates make it less likely a policy lapses by accident.
There is a flip side. If your home insurer decides not to renew your policy, as has happened to many homeowners in high-risk states, you lose the bundle discount on the car too, often with little warning. Splitting spreads that risk.
Bundles beyond home and auto
Most insurers apply the multi-policy discount to more than two products, and the extra policies are sometimes where the bundle quietly pays off. Ask about these when you request quotes:
- Renters or condo insurance instead of homeowners, which works the same way and often costs less than the discount it unlocks.
- Motorcycle, boat or RV policies, which some insurers add to the bundle for an extra discount on each.
- An umbrella policy, which is cheaper and simpler to buy from the company that already holds your home and auto liability.
- Life insurance, which a few companies, including State Farm and Nationwide, count toward multi-policy discounts. Choose life cover on its own merits, though; a small discount is not a reason to pick a policy. Our guide to the best life insurance companies compares the options.
Each extra policy is also another thing to compare at renewal. A bundle of four products from one insurer can be excellent value, but it is harder to check than two separate prices, so ask for the itemized price of each policy every year.
An hour that settles it
The fairest comparison takes about an hour. Ask two or three insurers that are strong in your state for a bundled quote, and ask each of them for the home and auto prices on their own too, so you can see what the discount is really worth. Then find the cheapest separate home quote and the cheapest separate auto quote you can, with the same liability limits, deductibles and dwelling amount in every quote. A cheaper price with thinner coverage is not a saving.
Put the totals into the calculator at the top of this page. If the gap is small, take the bundle for the convenience. If it is a few hundred dollars or more, split, and check again at your next renewal, because the answer can change from one year to the next.
For more ways to cut the bill once you have chosen, see our guides to finding cheap car insurance quotes and homeowners insurance prices by state.
This article is general information, not personal insurance or financial advice. Discounts and prices vary by state, insurer and your own profile. Check every quote and speak to a licensed agent before you switch policies.
Sources
- Insurance.com: Best home and auto insurance bundle (updated March 20, 2026)
- ValuePenguin: Best companies for home and auto insurance bundles (updated September 25, 2026)
- NerdWallet: The best home and auto insurance bundles for 2026 (September 1, 2026)
- NAIC Consumer Insurance Search