At first thought, it may seem like auto insurance and homeownership don't have a lot in common. However, there are many ways that owning a home affects your car insurance policy. If you recently bought a property, learn more about insuring it and your vehicle in the guide below.

How Owning a Home Affects Auto Insurance Costs

Insurers always consider risk when calculating premiums. Your age, gender, marital status, and geographic location all play roles in the final price. Owning a home works in your favor when it comes to risk assessment. Homeowners are considered more stable and responsible, which means they may be less likely to take unnecessary risks when driving.

If you have a house to insure, you can also bundle that policy with your auto insurance. Most insurance companies offer discounts to clients who purchase more than one policy. Not only does this drive down the individual costs of coverage, but it also ensures you have a less complex claims process for both policies. 

How to Protect Yourself if You Own a Home

Auto liability coverage protects homeowners from litigation. For example, if you’re involved in a car accident that causes property damage and bodily injury, the other driver could file a costly lawsuit against you. If you are found culpable for what occurred and don’t have the coverage or funds to cover the payout, your house could be at stake.

This is why insurance agents recommend homeowners increase the liability coverage of their vehicles. While the minimum coverage ensures compliance with the law, it may not suffice after a serious accident. One solution is to implement umbrella coverage, which provides funds to cover legal fees from a lawsuit and amounts from judgments that exceed your auto insurance limits. 

When signing up for auto insurance, be sure to mention your homeowner status so your provider can help you explore all of your options.

Mazzola Insurance in Rochester, NY, goes the extra mile to ensure clients are privy to affordable insurance rates. This agency offers a variety of discounts, including ones for bundling policies and attending driver’s training courses. Since they’re an independent agency, they will shop around to find high-quality policies at affordable prices. Call (585) 266-7130 to receive a free quote, or visit their website to learn more about auto insurance.