What is bundling insurance policies?
Bundling insurance policies is pretty common in Alberta and elsewhere, so you’ve probably heard of it before. But what exactly does it mean? Is it advantageous? What, exactly, are the benefits? Are there any negatives? We’ll address those questions in this article.
But first, what is bundling insurance policies? Essentially, it means you will have multiple policies with one insurance company. For instance, you would have your home, cars, and perhaps an RV all insured with a single company.
The Pros of Bundling Your Insurance in Alberta
Let’s say you’ve decided to insure your home and your car with a single insurance company. Here are some potential pros to this decision:
- premium discounts
- single deductible
- consistent coverage
In addition to the above, some companies will actually provide extra coverage. You can save money and have the peace of mind knowing that there will be no question if something is covered as there will by no gap or confusion. Plus, if you do have to make a claim for both your home and vehicle, you will likely only have to deal with one adjuster, making the process a lot easier.
The Cons of Bundling Your Insurance in Alberta
Bundling often comes with a discount, but make sure you don’t get too distracted by what you could be saving. Pay attention to the coverage itself – you need to make sure that it’s the best coverage option for you personally. A broker can help you make this decision and help you sort through the “fine print” of the discounts (such as expiration dates).
Whether or not you to decide to bundle your insurance will really depend on what makes sense for you and what works with your budget. You can begin by talking to a qualified broker. They can point out the pros and cons as they pertain to your specific situation and help you gain a clearer picture of what bunding would mean for you.