Bundling Insurance: Programs, Costs & More

Bundling is a term used in the insurance industry to describe when several insurance products are grouped into one package, or “bundle,” then sold to you. Because risks vary, insureds require multiple coverages to obtain complete protection, which is complicated. In addition, bundling Insurance Programs simplify the process and produce savings and convenience for carriers, brokers, agents, and policyholders. 

Published on April 25, 2022

bundling insurance
Hand holding piece of puzzle with word INSURANCE RISK. Business concept

What is Bundling Insurance?

Bundling Insurance is not an actual policy. Bundling insurance programs is a term for having two or more insurance policies from the same provider sold together. The sale can be two separate policies like auto and home or one policy for personal and business use. Bundling products is cost-effective for insurers who share some of their savings through the efficacy of bundling with their multi-line customers. Personal lines providers often bundle products for their loyalty programs Brokers, MGAs, and program administrators use the Bundling Insurance Programs concept extensively in business insurance applications.

What are the Benefits of Bundling Insurance Programs?

The advantages to bundling insurance programs include saving money on your premiums with bundle discounts. 

  • Savings: Getting several different insurance policies from the same insurer can save money. Depending on the type and number of policies, some bundling insurance plans save 15% or more on premiums.

  • Convenience: Buying multiple policies from one company is simpler than buying multiple policies from different companies. Various policies can be managed from the same account and serviced by the same insurance agency. 

  • Reduce Churn: Studies prove that the more policies a client have with the same company, the less likely they will shop their coverages. Besides generating additional revenue, reducing customer churn lowers marketing costs.

If there’s not enough clarity in cases where coverages overlap and which type of insurance covers the item, one insurer should ideally be working the policies. In this guide to Bundling Insurance Programs, we’ll cover bundling insurance programs and what type of insurance products can be bundled.

Types of Insurance to Bundle 

Bundling Insurance packages are sold through personal and commercial lines agencies. The list below presents a brief description of the typical coverages found in both.

Personal Lines 

Home and Auto insurance are the most common insurance bundle. But companies and agencies can combine any of these coverages to suit the needs of their clientele. Personal lines companies give loyalty benefits to their monoline customers, but they typically save the discounts for home and auto bundles, or a renters insurance and auto bundles

  • Home Insurance

  • Auto Insurance

  • Renters Insurance

  • Motorcycle/life/boat/toy Insurance

  • Life Insurance

Commercial Lines

Due to much higher potential losses and the diversity of clients’ business models and risk exposures, the bundling insurance programs in commercial lines are more complex. Usually, Specialty Lines and Program Business managers develop them. 

While standard business policies, such as General Liability, Commerical Property, Workers’ Comp, and more, virtually every niche or business found in a SIC code needs coverage customized to their unique opportunities, assets, and risk exposures. 

It takes specialists with industry knowledge and expertise to pull appropriate coverages together into a Bundled Insurance Program. To illustrate this concept, we’ll use the Arrowhead General Insurance Agency as our example. In particular, we’ll focus on its Auto Service & Repair Package, which we found listed in the ProgramBusiness.com Market Directory

The platform connects wholesalers, MGAs/MGUs, program administrators, and carriers with independent agents looking to place business. It enables agents to locate the best Bundling Insurance Programs quickly, make contact and begin the underwriting, quote, and submission process.

Arrowhead General Insurance Agency is an independent national insurance program manager for P&C commercial and personal insurance products.

Auto Service & Repair Package

A commercial lines package with an Admitted A+ (XV) rated carrier by A.M. Best Company. Submit accounts in any size in total account premium and receive instant online quotes on qualified accounts below $50,000. Coverages for mechanical/collision repair and more.

Arrowhead’s Package program bundles specialized commercial insurance coverage written by Universal Underwriters formerly. This bundle of garage package policies includes Property, CGL, and Commercial Auto.

  • Commercial Property/GL (required), Commercial Auto

  • All size accounts considered

  • Instant online quotes for eligible accounts up to $50,000

  • Schedule up to 25 units on the commercial auto

  • Loaner vehicles acceptable

  • Incidental used auto sales, gas sales, car washes and roadside repair

  • Incidental towing acceptable (up to three units)

  • Auto detailing and window tinting

  • Shuttle service within general area of repair facility

  • Limited used tire sales

  • Vehicle driving radius up to 200 miles

  • Multiple direct billing options available

Target Classes of Business

  • Auto body/collision and repair shops

  • Auto glass repair/installation shops

  • Auto quick lube shops (oil and lube)

  • Brake shops

  • General/mechanical repair

  • Muffler shops

  • Retail auto parts and accessories stores (new parts only)

  • Retail tire stores

Note: Arrowhead’s program for towing and other classes not mentioned requires production commitment and a contract. 

Coverage Highlights

  • Business auto liability and physical damage

  • Crime - employee dishonesty, forgery or alteration, money and securities

  • Equipment breakdown coverage

  • Garage keepers - direct or legal liability basis

  • General liability and employee benefits liability

  • Property coverage extensions

  • Umbrella liability - excess and umbrella

  • Carrier: Zurich

  • Available in all states except AK, FL, HI, & LA

Bunding Insurance Costs 

Due to the complexities involved with Bundling Insurance Programs and the vast array of products and risks that are potential components in insurance bundles, it’s impossible to offer price points or suggested costs that would be helpful. 

Best Bundling Insurance Programs

In the fast-paced insurance environment, having convenient access to markets is an advantage ProgramBusiness.com provides to independent agents seeking the best Bundling Insurance Programs and other products and services from wholesalers, MGAs/MGUs, program administrators, and carriers. In addition, a quick search for auto service and repair shops would return the Arrowhead General Insurance Agency, a premier provider for this niche. 


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