Many clients have turned to bundling their home and carinsurance to save money. The savings from the multi-policy discountcan be substantial for many customers, but they also may differfrom state to state.

The May 2014 Quadrant Information Servicesstudy, commissioned by insuranceQuotes.com, examined theaverage economic impact of bundling auto insurance withhomeowners', condo, or renters' insurance to reveal which statessaved the most—and least—through a multi-policy discount.

For the comparison, the study used a hypothetical 45-year-oldmarried woman with a bachelor's degree, a good credit score and nolapse in coverage, and compared the average premium discount forthree types of bundling in all 50 states and Washington D.C.

The study revealed that discounts can vary significantly fromstate-to-state, and while bundling may be appealing for manycustomers, it may not be for everyone.

“I think consumers, in general, leave a lot of potentialinsurance discounts on the table, and bundling is one of thebiggest,” says Mike Barry, spokesman for the nonprofit InsuranceInformation Institute. “No matter where you live, a multi-policydiscount is worth looking into.”

But bundling does not just save clients money. According to MarkCarrasquillo, an insurance agent with E.G. Bowman Co., manyinsurance companies offer bundling because it saves them money inthe long run.

“Insurance companies want to maximize profits, and the morebusiness they write, the better,” Carrasquillo says. “Bundlingdiscounts are a way to entice the consumer, which means morebusiness for the insurer.”

Actuarial data also shows that annual auto claims exceed claimsfor homeowners', condo or renters' insurance, meaning thatinsurance companies can maximize profits if they write as manyproperty insurance policies as they do auto policies.

“It's possible to for a consumer to own a home for 30 years andnever file a claim. But that same individual could conceivably havemore than one incident with a car in just one month alone,”Carrasquillo says.

For the customer, the average premium discount for bundlingtheir homeowners' with their auto policy is 15%, the surveyreveals, which is more substantial than bundling auto policies withcondo or renters' insurance. Troy Thompson, owner of PinnacleInsurance Agency asserts that there are several reasons that thisdiscount is more substantial, particularly because homeowners'insurance is more expensive, so discounts can be higher withoutimpacting the insurer's bottom line.

“There's another correlation to make here, and that is if youown a home you're probably more financially stable, which meansthat you're statistically less likely to file a claim,” Thompsonsays. “The insurer wants your business and it allows the company tooffer a more significant discount.”

Click through the following slides to see which states have thegreatest and smallest average premium discount for bundling autoinsurance with their homeowners', condo and renters' insurancepolicies.

Homeowners' and Auto Insurance:

Average Premium Savings: 15%

Greatest Average Premium Discount:

1. Oklahoma – 22% discount
2. Missouri – 22% discount
3. Iowa – 21% discount
4. Nebraska – 21% discount
5. Oregon – 20% discount

Lowest Average Premium Discount:

1. Florida – 5% discount
2. Hawaii – 7% discount
3. New York – 11% discount
4. North Carolina – 11% discount
5. Rhode Island – 12% discount

Condo and Auto Insurance

According to Eli Lehrer, president of The R Street Institute, anonprofit research group, state-by-state variation for condoinsurance comes down to differences between regulatory environmentsacross the country.

“Most of the states near the bottom have very strict regulationfor either auto or homeowners insurance, which gives carriers lessflexibility and thus little ability to offer savings,” Lehrersays.

Average Premium Savings: 11%

Greatest Average Premium Discount:

1. Illinois – 17% discount
2. Missouri – 16% discount
3. Wisconsin – 16% discount
4. Iowa – 16% discount
5. Oregon – 15% discount

Lowest Average Premium Discount:

1. Florida – 7% discount
2. Rhode Island – 7% discount
3. Virginia – 8% discount
4. New York – 8% discount
5. Connecticut – 8% discount

Renters' and Auto Insurance

Renters' insurance is less expensive than homeowners' and condoinsurance, resulting in the least amount of savings. However,differences in savings also can be linked to demographicdifferences between homeowners and renters.

“Statistics that show that a traditional homeowner has fewerclaims than either a condo owner or a renter,” says Keith Balsiger,owner of Balsiger Insurance Agency. “A homeowner has a vestedinterest in the property and is more likely to maintain it.”

Average Premium Savings: 8%

Greatest Average Premium Discount:

1. Minnesota – 13% discount
2. Indiana – 12% discount
3. Missouri – 11% discount
4. Wisconsin – 11% discount
5. Iowa – 11% discount

Lowest Average Premium Discount

1. New Jersey – 5% discount
2. Connecticut – 6% discount
3. Florida – 6% discount
4. Rhode Island – 6% discount
5. Virginia – 6% discount