Best and Cheapest Home and Auto Bundle Companies in Alabama (2024)

In terms of affordability, quality and special discounts, the following two insurance companies offer the best auto and home insurance in Alabama:

• State Farm: MoneyGeek score of 83 out of 100
• Allstate: MoneyGeek score of 82 out of 100

State Farm received high ratings in the home and auto satisfaction categories; however, its bundles are more expensive than its competitors. Meanwhile, on average, Allstate offers the cheapest bundle and provides generous discounts.

USAA is Alabama's top home and auto insurance provider, earning a MoneyGeek rating of 91 out of 100. Although USAA has eligibility requirements that restrict its availability to the wider population, it is a great choice for both active-duty and retired military members in Alabama.

Insurance companies in Alabama offer an average annual discount of $297 or 11% for bundling auto and home insurance policies. Of the providers evaluated, State Farm offers the highest discount at 23%, whereas Nationwide has the least attractive offer — no discount.

However, a company’s discount rate won’t necessarily mean they’ll be the best provider for you. For example, Farmers provides the second-cheapest home and auto insurance in Alabama at a yearly cost of $1,729, but it has a lower average discount rate than other insurance providers.

The following insurance providers offer the cheapest home and auto insurance in Alabama, according to MoneyGeek's analysis:

• Allstate: $1,664 per year
• Farmers: $1,729 per year

Keep in mind that the cheapest choice may not be the best for your particular needs and goals. MoneyGeek suggests that you weigh the benefits, drawbacks and features of each insurance provider to achieve the most long-term financial savings.

Purchasing home and auto insurance from the same company may not always be the best course of action. Sometimes, combining insurance from two different companies might save you more money.

For instance, you could spend as low as $1,352 per year on insurance by purchasing Farmers home insurance ($425) and Allstate auto insurance ($927) — this is $312 less than Allstate’s home and auto insurance bundle priced at $1,664.

In general, you may spend less money by bundling your home and auto insurance. Even if you don’t save money, bundling insurance policies is typically more convenient; it's easier to manage your plans when they are with the same company.