If you’ve ever wondered whether bundling your home and auto insurance actually saves people money — or whether the advertised discounts hold up in the real world — the data tells an interesting, and somewhat complicated, story.
On the surface, the numbers look compelling: the average American who bundles home and auto insurance saves roughly 15% on their combined premiums, according to industry data. But dig a little deeper, and you’ll find that bundling rates are declining, that the discount gap between carriers is enormous, and that for some policyholders, the math no longer adds up the way it once did.
This page compiles the most up-to-date insurance bundling statistics available — drawing on data from the Insurance Information Institute, J.D. Power, Insurify, and industry reports — to give you the clearest possible picture of how bundling actually performs for American households in 2026.
How Common Is Insurance Bundling in the United States?
Bundling home and auto insurance is one of the most widely used strategies for lowering insurance costs. A survey of 2,000 homeowners found that 64% report bundling their home and auto policies with the same insurer. That’s a significant majority — but it represents a notable shift from where bundling rates stood just a few years ago.
According to J.D. Power data cited by the Insurance Information Institute, among auto insurance customers who own a home, 58% bundled their auto and home insurance in 2024 — down from 71% in 2016. That’s a 13-percentage-point decline over eight years, a trend that researchers attribute to a combination of rising premiums, increased competition from insurtech companies, and consumers actively unbundling to shop for better rates.
The J.D. Power 2025 U.S. Insurance Shopping Study adds further context: among customers actively shopping for a new auto policy, one-third (33%) are specifically seeking to bundle their auto coverage with a homeowners policy. This suggests that bundling remains a core motivator for insurance shoppers — even as overall bundling rates have softened.
Key Adoption Statistics at a Glance
| Metric | Statistic | Source |
|---|---|---|
| Homeowners who bundle home + auto | 58% (2024) | J.D. Power / III |
| Homeowners who bundled in 2016 (peak) | 71% | Insurance Information Institute |
| Active shoppers seeking to bundle | 33% | J.D. Power 2025 Shopping Study |
| New home insurance customers who bundle (2023) | 66% (down from 76% in 2022) | J.D. Power 2024 Home Study |
How Much Do Bundled Policyholders Actually Save?
The average savings figure most commonly cited in the industry is 15% annually, or approximately $869 per year, when combining home and auto insurance with the same carrier. Some sources place the average slightly higher — around 17% — depending on the carrier mix and methodology used.
To put that in dollar terms: with the national average annual homeowners insurance premium at roughly $1,951 (for $350,000 in dwelling coverage, per Quadrant Information Services 2025 data) and average full-coverage auto insurance falling to approximately $2,144 per year in 2025 (down 6% year-over-year, according to Insurify), the total combined cost before discounts runs close to $4,100 per year for a typical household.
A 15% bundle discount on that combined premium would save roughly $615 annually. A 25% discount — which some carriers advertise — could translate to more than $1,000 in annual savings. However, the actual savings depend heavily on which state you’re in, your risk profile, your home’s replacement cost, and the specific policies involved.
“The biggest bundling discount doesn’t always produce the lowest overall premium. A carrier offering 25% off a high base rate may still cost more than a carrier offering 10% off a lower starting point.”
This is a critical nuance that gets lost in most bundling conversations. The advertised discount percentage is a relative figure — what matters to your household budget is the final combined premium after the discount, compared to buying each policy separately (or from different carriers).
Bundle Discount Data by Major Insurance Company (2025–2026)
The range of multi-policy discounts across major US carriers is surprisingly wide — from around 5% at some companies to as much as 25% at others. The table below reflects reported ranges from carrier websites and independent research for 2025.
| Insurer | Reported Bundle Discount | Est. Average Annual Savings | Notes |
|---|---|---|---|
| State Farm | Up to 22–25% | ~$1,184/yr | Highest overall value in multiple independent rankings |
| Allstate | Up to 25% | Varies significantly by state | Discount percentage may not reflect final premium |
| Farmers | Up to 20% | Varies by state | Strong bundle performance in Midwest markets |
| Nationwide | Up to 15–17% | Varies by state | Competitive in states with lower base rates |
| Travelers | Up to 15% | Varies by state | Frequently cited in top-bundle rankings for 2026 |
| Progressive | ~5% | Lower discount, competitive base rate | Progressive’s base auto rates are often lower; compare final numbers |
Important caveat: These figures represent advertised or reported ranges, not guaranteed savings for any individual. Actual discount amounts vary by state, coverage type, home characteristics, driving history, and other underwriting factors. Independent sources including Bankrate, MoneyGeek, and insurance.com consistently note that obtaining multiple quotes — both bundled and unbundled — is the only way to determine whether bundling saves money for your specific household. For a deeper breakdown of how these companies compare, see our guide to the best home and auto bundle insurance companies.
The Bundling Decline: What the Data Tells Us
Perhaps the most significant story in insurance bundling statistics right now is not how much people save — but why fewer people are bundling than they were a decade ago.
The 13-percentage-point decline in bundling rates between 2016 and 2024 (from 71% to 58% of homeowning auto insurance customers) is driven by several forces:
1. Homeowners Insurance Rate Increases Outpacing Bundle Discounts
In 2024 and 2025, homeowners in many states saw premium increases of 20% to 40% or more — driven by catastrophe losses, reinsurance cost increases, and insurers exiting high-risk markets like Florida, California, and Louisiana. In those environments, a 15% bundle discount may not be enough to keep the combined premium competitive. Bankrate data shows that record numbers of “traditionally loyal bundled customers” began shopping for new coverage in 2024 specifically because rate increases exceeded their discount benefits.
2. Insurtech and Direct-to-Consumer Competition
The rise of comparison platforms and digital-first insurers has made it easier for consumers to discover that separate policies from different carriers can sometimes cost less than a bundled policy from a single carrier. This comparison-first behavior is reshaping the bundling landscape, particularly among younger homebuyers.
3. Availability Gaps in High-Risk States
In states where major insurers have reduced or eliminated homeowners insurance availability — most notably Florida and California — consumers are being forced into state-run or surplus-lines homeowners coverage that isn’t part of standard bundle programs. This structurally limits bundling options for a growing share of homeowners.
Why Bundled Customers Stay Longer — and What That Means
Despite declining adoption rates, bundled insurance customers remain highly valuable to insurers. The J.D. Power 2025 U.S. Insurance Shopping Study found that customers who bundle their policies have an average tenure with their insurer of 7.0 years, compared to 5.5 years for non-bundled customers.
That 1.5-year difference in retention represents significant revenue for insurers — and significant inertia for policyholders. While longer tenure isn’t inherently a bad thing if the policy remains competitively priced, it does underscore the importance of periodically comparing your bundled premium to market alternatives, even if you’re generally satisfied. A policy that was competitive three years ago may not be today, especially given the rate volatility of 2023–2025.
The retention data also helps explain why insurers heavily market bundle discounts: the discount acquisition cost is more than offset by the longer customer lifetime value of a bundled policyholder.
Insurance Bundling by the Numbers: A Statistical Summary
For quick reference, here are the core bundling statistics compiled from primary sources:
| Statistic | Figure | Source / Year |
|---|---|---|
| Average annual bundle savings | ~$869 / ~15% | Industry average, multiple sources |
| Typical bundle discount range | 5%–25% | Carrier-reported, 2025 |
| Homeowners who currently bundle (2024) | 58% | J.D. Power / Insurance Information Institute |
| Bundling rate at 2016 peak | 71% | Insurance Information Institute |
| Insurance shoppers seeking to bundle (2025) | 33% | J.D. Power 2025 Shopping Study |
| Average tenure — bundled customer | 7.0 years | J.D. Power 2025 |
| Average tenure — non-bundled customer | 5.5 years | J.D. Power 2025 |
| Avg. US homeowners insurance premium (2025) | $1,951/yr ($350K dwelling) | Quadrant Information Services 2025 |
| Avg. US full-coverage auto premium (2025) | $2,144/yr | Insurify 2025 Annual Report |
| US customers who shopped for new coverage (2024) | 57% (record high) | J.D. Power 2025 Shopping Study |
What These Statistics Mean When You’re Shopping for Insurance
Raw statistics about bundling — even well-sourced ones — have limited usefulness unless you understand how to apply them to your own situation. Here’s what the data above actually suggests for a household actively considering a bundle:
The average $869 savings figure is a starting point, not a promise. This figure reflects mean savings across a large, diverse sample of policyholders. Your actual savings will depend on your state’s regulatory environment, your home’s location and age, your driving history, and which specific carriers you’re comparing. Policyholders in states with volatile homeowners markets (Florida, Louisiana, California) may find bundle discounts insufficient to offset high base rates.
The 5% to 25% discount range matters more than the average. A carrier advertising 25% may still cost more in absolute terms than a carrier advertising 10%, if the base rate is much higher. Always compare the final combined annual premium — not the discount percentage — when evaluating a bundle offer.
The declining bundling trend is worth paying attention to. The fact that bundling rates have dropped from 71% to 58% since 2016 suggests that a meaningful share of homeowners have found that unbundled coverage from separate carriers works out better for their budgets. Running a comparison of bundled versus separate quotes every two to three years is a reasonable way to verify that your bundle is still delivering value.
For a detailed look at how savings break down state by state, see our guide to how much you can save by bundling insurance.
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Frequently Asked Questions
What percentage of Americans bundle home and auto insurance?
As of 2024, approximately 58% of homeowners who carry auto insurance bundle both policies with the same insurer, according to J.D. Power data cited by the Insurance Information Institute. This is down from a peak of 71% in 2016, reflecting increased price sensitivity and competitive pressure in the homeowners insurance market.
How much does the average person save by bundling home and auto insurance?
The most commonly cited figure is approximately 15%, or around $869 per year in combined premium savings. Some sources place the average closer to 17%. Actual savings vary significantly by carrier, state, coverage level, and individual risk factors — so these averages should be treated as benchmarks rather than guarantees.
Which insurance company offers the highest bundle discount?
State Farm, Allstate, and Farmers are among the carriers most frequently cited for high bundle discounts, with some advertising savings of up to 22–25%. However, the highest advertised discount does not necessarily produce the lowest overall premium. A carrier with a 25% bundle discount on a high base rate may still cost more than a carrier offering 10% off a more competitive starting price. Comparing final premiums across at least three carriers is the most reliable approach.
Is insurance bundling worth it in 2026?
For many households, yes — but the calculus has shifted. In markets with stable or declining homeowners insurance rates, bundling continues to deliver meaningful savings. In states with high homeowners insurance volatility (particularly parts of Florida, California, Louisiana, and Colorado), the bundle discount may be insufficient to offset elevated base rates. Running an annual comparison of bundled versus separate quotes is a useful habit regardless of your current situation.
Why is the bundling rate declining if discounts still exist?
The decline in bundling rates reflects several factors: significant homeowners insurance premium increases in many states that have outpaced bundle discounts; growth in insurtech and comparison platforms that make separate-carrier shopping easier; and some major insurers reducing homeowners coverage availability in high-risk markets, which limits bundling options for those policyholders. The discount still exists — it’s just that the underlying economics are more complex than they were a decade ago.
Do bundled insurance customers tend to stay with their insurer longer?
Yes, significantly. J.D. Power’s 2025 research found that bundled insurance customers have an average insurer tenure of 7.0 years, compared to 5.5 years for customers who don’t bundle. This 27% longer retention is one reason insurers market bundle discounts aggressively — the long-term customer value more than offsets the discount cost. For policyholders, this also means it’s worth periodically reviewing whether your bundle is still priced competitively, since longer tenure can sometimes mean less proactive repricing by the insurer.
Key Takeaways
- Approximately 58% of homeowners bundle their home and auto insurance as of 2024 — down from 71% in 2016, driven by rising homeowners premiums and comparison shopping behavior.
- The average bundle saves roughly 15% annually (around $869), but this varies enormously by carrier, state, and individual risk profile; discount ranges span from 5% to 25% across major insurers.
- State Farm and Allstate typically rank highest for bundle discount percentages, but the most reliable metric is the final combined annual premium — not the advertised discount percentage.
- Bundled policyholders stay with their insurer an average of 7 years (vs. 5.5 for non-bundled), which highlights the value of periodically comparing your bundle to the current market.
- In states with significant homeowners insurance rate volatility, bundle discounts may not fully offset premium increases — making comparison shopping more important than in previous years.
Sources
- J.D. Power 2025 U.S. Insurance Shopping Study
- Insurance Information Institute — Auto Insurance Facts & Statistics
- Insurify 2025 Auto Insurance Annual Report
- Bankrate — Bundle Home and Auto Insurance
- NAIC — Insurance Topics: Bundling
Disclaimer: The content on this page is for informational purposes only and does not constitute insurance, legal, or financial advice. Insurance rates, discounts, and availability vary by state, provider, coverage level, and individual risk factors. Savings figures (such as “up to 25%”) are general industry estimates and are not guaranteed for any individual. Always consult directly with licensed insurance professionals and obtain multiple quotes before making coverage decisions. BundleInsuranceGuide.com may earn a commission from affiliate links on this page at no additional cost to you.
About the Author
Marcus Webb is a personal finance writer specializing in insurance and consumer protection. He has covered home, auto, and life insurance for over eight years, helping readers understand complex coverage decisions with clear, unbiased information. Marcus’s work focuses on practical guidance for everyday consumers navigating the US insurance market.