Our editorial team analyzed regional and national auto insurance companies that sell policies in California to assess which offer the best rates, coverage options, customer service, and savings to customers. We prioritized competitive rates, homeownership discounts or bundling options, 24/7 customer service, low-mileage discounts or programs, safe driving discounts, and specialty or supplemental coverages.
California residents face one of the toughest insurance markets in the nation, due to the challenges posed by climate change–induced disasters, like drought and wildfires.1
You may need to mix and match insurers for home and auto insurance in some cases, but not always. It’s often cheaper to buy coverage for your home and vehicle through one insurer. Companies may offer insurance policy discounts if you bundle them together.
Here’s what you need to know about bundling home and auto insurance in California.
Best home and auto insurance companies in California
Bundling California home and auto insurance can be especially tricky. Many major insurers are pulling back coverage options to limit their losses in the state. This may limit your options, depending on where you live.
Here are some of the best insurance companies offering bundling discounts:
Travelers: Best overall
Nationwide: Best for low-mileage drivers
Farmers: Best for low auto rates
Allstate: Best for low homeowners rates
USAA: Best for customer service
How bundling saves California drivers money
Insurance companies often offer discounts if you purchase more than one insurance policy because it brings them more business. These discounts can range anywhere from 10% to 25%, depending on the insurance company.
You can commonly bundle your auto insurance with a home or renters insurance policy, but many insurers also offer bundling discounts for the following coverages:
Life insurance
Motorcycle insurance
Boat insurance
RV/ATV insurance
Should you bundle your home and auto insurance?
Bundling can be a great way to simplify your insurance policies and save money through discounts. Some companies even apply a “single-loss deductible” to multiple policies so that you pay one deductible instead of two if a disaster damages both your home and car.
In some cases, though, you may prefer not to bundle policies. In California, that’s especially relevant since many homeowners face challenges in finding any insurer for their home policy, let alone an affordable one. Some insurers might not offer all the policies you need, or you may prefer to work with different companies for certain policies.
More auto insurance discounts for California drivers
Most insurance companies offer a range of car insurance discounts you can qualify for in addition to bundling discounts. Options vary by insurer, but here are a few common ones that can help many California drivers:
It’s a good idea to ask your current insurer whether you’re getting all the discounts you’re eligible for. If you’re shopping around, you should keep discounts in mind. But remember to stay focused on the quotes you receive, which should factor in the discounts you qualify for.
More homeowners insurance discounts for California drivers
Along with car insurance discounts, most companies also offer a range of homeowners insurance discounts. California insurance companies may offer the following discounts:
Wildfire mitigation discount: California requires insurers to offer some sort of discount program for homeowners who take steps to limit wildfire danger.
Loyalty discount: Many insurance companies offer a discount if you stay insured with them over the years.
Home security features discount: Many insurers offer discounts for sprinkler systems and home security monitoring programs, which may also help mitigate wildfire risk. Additionally, you may earn a discount for installing a home security system.
Paperless policy discount: Most insurers offer a small discount if you sign up for electronic communications.
Senior discount: Many Californian homeowners may qualify for senior discounts commonly offered by insurance companies.
If affordability is still a concern for you after shopping around and checking for discounts, you may need to look into the state’s insurer of last resort: the California FAIR Plan. About 10% of homeowners in California have home insurance through this plan.6
Best home and auto insurance in California FAQs
The following information can help answer your remaining questions about bundling home and auto insurance in California.
What is the best home and auto insurance in California?
Travelers offers the best home and auto insurance bundle in California. If you or your family have any military affiliations, USAA can also be a good option. A few other insurers to consider for bundling include Allstate, Farmers, and Nationwide.
What is the cheapest home and auto insurance bundle in California?
Allstate offers the cheapest bundle discount on auto and home insurance in California. On average, it charges $3,478 annually to insure a house with $300,000 in dwelling coverage and a vehicle with full-coverage insurance.
Why is my home insurance so high in California?
High-profile wildfires and other natural disasters are causing rates to increase for everyone, especially residents who live in high-risk areas. Insurance companies increase rates to account for greater amounts of risk. Some insurers have even been exiting the state’s insurance market.
How much is home insurance on a $300,000 house in California?
The average annual cost to insure a house in California with $300,000 in dwelling coverage is $2,160 per year, according to Insurify data.
Is it a good idea to bundle home and auto insurance?
Yes. Buying your auto and home insurance from the same company is one of the easiest ways to save money, since most insurers offer a bundling discount.
Is GEICO leaving California?
GEICO isn’t leaving California — at least not entirely. The auto insurance company has closed all its California offices and scaled back its business in the state in recent years. But GEICO still offers home and auto bundling in many areas of California, as long as you buy your policy online.
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