Security First Offers Bundling Discount if Same Agent Used for Home and Auto
No, Florida-domiciled property insurance carrier Security First Insurance is not going into the auto coverage business. But it is offering a small bundling discount for homeowners who go through the same insurance agent for both lines.
“We heard directly from our strategic partnerships with agents that this is something they wanted,” said Wendy Maddalone, the director of communications and marketing for Ormond Beach-based Security First.
The discount plan kicked in last week and is available for as many as 26,000 homeowners who buy Security First’s Premier Homeowners HO5 policies. The discount will be up to 3% on their all-other-perils premium, the company explained.
The idea of discounts for insureds who bundle home and auto with the same carrier is not new and is widely seen in the industry. Bundling for policyholders who utilize the same insurance agent is much less common but is not unheard-of for insurers that focus on one line or the other, Florida insurance agents said.
Some property-only companies have partnerships with auto insurers. Jacksonville-based Olympus Insurance, for example, partners with Mercury Insurance and offers discounts for consumers who use the same local agent.
The Security First move is a good sign and shows that carriers are finding ways to reduce premiums without reducing coverage, said David Thompson, a longtime Florida insurance agent and consultant.
Security First broached the idea with agents around the state and the agents responded favorably. “It introduces another way for them to provide their clients with as many discounts as possible, while helping them insure more on their end,” Maddalone explained.
The bundle plan is part of a broader set of Premier HO5 changes that took effect Oct. 1, including new deductible and discount options.
As of the end of June, Security First ranked 13th largest in Florida, with 157,986 policies in force, according to the Florida Office of Insurance Regulation quarterly reporting.