One Policy, Two Protections: The Benefits of Bundling Car and Home Insurance

Many things work better in pairs — like burgers and chips, bats and balls, beers and braais. While the category of affordable insurance is less glamorous than these examples, some forms of insurance also work better when you combine them — and the benefits you could experience from doing so can be more than you expected. Of course, not all insurers allow you to stack up their products — but 1st for Women does. Combining your Car Insurance and Home insurance into a single policy can benefit you — and, at the same time, remove some potential insurance annoyances.

4 common insurance challenges and how bundling policies can help

The biggest and most practical benefit of bundling your Home Insurance and Car Insurance is saving on your monthly premiums. However, you will not only save money but there are other hurdles you can overcome by bundling your insurance policies.

1. High premium costs

In some instances, people have different insurers for different types of insurance – one company for Car Insurance and a different one for Home Insurance. This obviously would make bundling impossible. 

If your different policies are all with the same insurer it might seem obvious that bundling two affordable insurance products into one can help you save money, but you might not have considered whether your current insurer allows this in the first place. Often, customers discover their insurers aren't equipped to offer this option or only provide it when you let them know you're considering leaving them for another insurer. 

2. Complex claims processes

For many, the insurance claims process can be almost as painful as the incident triggering the claim in the first place. Research by the Financial Services Conduct Authority tells us that insurance is a misunderstood financial product and that a lack of disclosure means that many people have misconceptions about what their affordable insurance does and doesn't cover. This is exacerbated when policies are spread across insurers, who all do things differently.

By working with a single insurer, you can save time and countless unnecessary explanations because you can place claims once through a single point of contact with someone who has a holistic view of your insurance and claims history.

3. Coverage gaps

Negotiating the terms and conditions of two separate insurance products is challenging when you are working with two companies that don't communicate with each other. It can leave you feeling like a go-between as you scramble between the two to ensure that nothing has fallen through the cracks and that you haven't accidentally overinsured something. With a single insurer assisting you, you can detect and close coverage gaps and only pay for what you want and need. Remember that even if you over-insure or double insure something accidentally, it could be considered fraud and result in your policies and overall coverage getting cancelled.

4. Multiple renewal dates and a lack of personalisation

It's advisable that you revisit your Car Insurance and Home Insurance once a year to update or make any necessary changes. This is just easier to do from a practical standpoint when you're dealing with a single insurer and insurance policy. When you work with an insurer that has a more holistic view of your lifestyle, you could get the kind of personalised service that anticipates your needs before you even express them. Here's an example of how this could work for you.

Vera is a young, single woman who switches to 1st for Women and bundles her Car Insurance and Home Insurance to save money. She works with a single point of contact in all her insurance dealings through her Customer Service Agent, Bob. Over the years, Bob witnesses Vera's life evolve as she trades her hand-me-down hatchback for a family-friendly minivan and swaps life in the city for small-town living.

Because Bob witnesses Vera's lifestyle changes, he helps her keep her insurance coverage relevant and customised to her needs. For example, when she purchases a new minivan, he suggests she upgrade her Car Insurance from Third Party Only to Comprehensive.

When Vera contacts Bob to update her insurance details as she is moving to a small town outside of the city, Bob suggests that she top-up her Car Insurance with Tyre and Rim Insurance, to accommodate the fact that she might be travelling further distances on rural roads, which could shorten the lifespan of her car's tyres.

Finally, as Vera prepares to welcome twins with her husband, Bob is on hand to remind her to update her Home Insurance to include all the furniture and equipment she has purchased for them.

Get a bundled Home and Car Insurance quote

After reading this article, you're probably realising how much easier your life could be if you bundle your insurance policies. There could even be other value-added products you could add to the mix to further round out your coverage. You won't know until you speak to us, so we encourage you to contact us for a Home and Car Insurance quote today.