3 reasons why all my insurance policies are with the same company

Does it make sense to stay with the same insurer? This is the case for me.

Key points

• It’s convenient to have one insurance company, but there are good reasons beyond convenience.
• I pay less and also get additional coverage.

When shopping for insurance, you will find many companies and many types of policies. After shopping around and getting quotes from multiple vendors, I decided to get all my coverage from one company. There are three big reasons why this made sense to me.

1. I get a discount for bundled coverage

One of the main reasons I went with a single carrier is that I have a significant loyalty discount. My premiums are lower on all my policies because I bundled coverage. Before, I did a lot of shopping. I found that while other companies may be cheaper for an individual policy, none could beat the multi-policy discount offered by my insurer.

2. It’s more convenient

With just one insurer, I don’t have to remember which insurer I paid and which one I still owe premiums, and the insurance company sends my bills for multiple policies around the same time. When I have a question about my insurance, I only have one company to call. And if something goes wrong – for example, if a tree in my house falls on my car – there’s no question which carrier I’m dealing with.

I also used to spend time researching customer service and claims information to make sure my insurers would reliably provide the promised coverage if I made a claim. By opting for a single insurer, I can keep tabs on any changes – like a policy change – that might affect customer service and support.

3. My insurers require it to get umbrella coverage

Finally, there is another important reason why I have all my policies with the same insurer. To get full umbrella insurance coverage, I had to.

Umbrella insurance is secondary insurance that provides additional coverage if the policy limits of the primary policies are exhausted. For example, if I had a serious car accident and was sued for more than $250,000 in liability coverage, my master insurance policy would pay for all excess costs. My umbrella policy limits total $1 million, which provides substantial additional protection.

I wanted an umbrella insurance policy that would complement my auto or home insurance and provide the broadest protection possible for all situations where my assets might be at risk. I can, because I get my home, auto and umbrella coverage with the same company.

For these three reasons, I have only one insurer. Anyone looking for coverage should consider whether it makes sense for them to do the same.