When a household owns several automobiles, option of covering all under a multi-auto insurance policy is something to consider. It can work well and bring down total premiums considerably. Like any other decision, there will be positive and negative points to take into account. Then, personal preferences and circumstances will come into play as well.
Considering that it will reduce administration and companies will gain several businesses at once, you would think that these policies would be attractively priced. There are several cheap multi-automobile insurance packages and few names like to claim that they are specialist in this area. However, many carriers will offer better rates when you bring all your policies to them. Usually these discounts are applied under family auto insurance plans.
The logic is the same as any other bulk buying deal. You give them more business in return for cheaper prices. It may be tempting from admin point of view as well since you will be dealing with single outlet and renewal date. But this may cause a problem when it comes to paying the total premium at once. You can arrange an installment plan but they usually come with finance charges, which defeat the purpose of saving money.
Easy management isn’t really a good enough reason to go through all the troubles. You should get good multi-car insurance discounts to make such moves worth it. The savings will depend on how many cars and drivers are involved but you should expect at least twenty percent. Of course, if it is only one driver he can only use one vehicle at a time. So, the costs should be lowered substantially.
Regardless of who owns or drives a vehicle, it can still be possible to include all of them in a household within a more economical multi-car policy. When there are only two partners, this will be easy enough in several aspects. However, it may be complicated when parents and children are involved. A young person may be set to go away or want to start his own coverage history.
Besides, when one of the drivers has an accident it will affect the premium for all since he or she would be listed on others too. From this point of view, it may be beneficial to put them in separate baskets after all. There is no single solution that fits all circumstances and applicants. It needs a little thinking ahead and considering what might happen.
Probably, the best starting point is to find out the costs separately and together first. So, you can just get several quotes and look into the possibilities and advantages. The products in the market change continuously. Why not check for more affordable multi-vehicle insurance policies on the market today and see if they answer all your needs?
Furthermore, you can still get rate reductions when you switch all your policies to a particular insurer where each vehicle would have its own coverage independently. If you spare a little time you will come across other attractive arrangements. Keep asking questions, this is a very good way of learning all you can. If they do not know what you are looking for they cannot help you.
Of course, bundling other personal lines like home and auto is another viable option and it can work with the products described above too. If you are going to move all of them to one company you want to be able to trust it. Usually, it is highly likely that you will get the best offers from top brands. That is why they are topping the lists. So, don’t worry about it much and see if it makes money sense.