When you think of Costco, your mind probably jumps to oversized packs of snacks, bulk household goods, and surprisingly great rotisserie chicken. But did you know Costco also offers auto and home insurance services? That’s right, and these aren’t just any policies. By partnering with a trusted provider, Costco gives its members access to affordable, high-quality insurance with impressive benefits.
Whether you’re shopping for better car coverage or protecting your home sweet home, you might just find Costco is your new go-to for insurance.
FAQs About Costco Auto and Home Insurance
Here are some questions and their short answers that we found are frequently asked by our readers.
Disclaimer: We are not a financial adviser; please consult one.
Answer: Costco offers liability, collision, comprehensive, personal injury protection, uninsured/underinsured motorist, roadside assistance, gap insurance, and new car replacement for auto; home insurance includes dwelling, personal property, liability, and add-ons like identity theft protection.
Answer: Members who saved with CONNECT reported an average of $595.86 in first-year savings, with discounts for bundling (up to 18%), safe driving, and vehicle safety features.
Answer: Executive members receive free roadside assistance, lifetime renewability, glass repair reimbursement, home lockout assistance, and a 2% annual reward (up to $1,000, excluding insurance payments).
Answer: No, Costco insurance through CONNECT is unavailable for new policies in California, Florida, Alaska, Louisiana, Maine, North Dakota, and Wyoming.
Answer: CONNECT has mixed reviews; American Family scores 877/1,000 in J.D. Power’s 2024 claims study (above average), but NAIC shows higher-than-average home insurance complaints.
What Is Costco Insurance Services?
Costco has partnered with CONNECT, powered by American Family Insurance, to offer exclusive auto and home insurance to its members. Instead of trying to become their own insurance company, Costco teamed up with an established name that has a solid reputation and a long-standing history of customer satisfaction. This collaboration means you get the best of both worlds: reliable insurance coverage and the kind of cost savings Costco members have come to expect.
Why Choose Costco for Auto and Home Insurance?
If you’ve ever compared insurance quotes, you know the process can be time-consuming and confusing. There are so many policies, premiums, and deductibles that it can feel like reading a different language.
What makes Costco stand out? Let’s break it down in simple terms.
1. Exclusive Discounts for Costco Members
- Lower premium rates: Costco Executive Members can receive additional discounts, which could lead to major savings over time.
- Discounts for bundling: Already have car insurance? Bundle it with home coverage and save more.
Who doesn’t love saving money? If you’re already a Costco member, you’re eligible for special rates that you won’t find anywhere else. And if you’ve upgraded to Executive Membership, your savings can grow even bigger.
2. Trusted Insurance Provider (CONNECT by American Family)
American Family Insurance has been around for nearly a century, and that kind of experience speaks volumes. By working with CONNECT, Costco ensures its members are getting quality insurance they can count on. You’re not just getting a good deal, you’re getting a great product backed by a reputable name.
3. Easy Access and Excellent Customer Service
Have you ever been stuck on hold with an insurance agent or baffled by fine print? It’s frustrating. Luckily, Costco and CONNECT are focused on streamlining the process with user-friendly online services and highly rated customer support.
- 24/7 claim services
- Online quote tools
- Helpful customer representatives (yes, real people!)
Costco Auto Insurance: Key Features
Let’s say you just bought a new car, or maybe your current car insurance seems overpriced. Costco auto insurance offers several benefits worth exploring:
- Liability coverage: Helps protect you if you’re at fault in an accident.
- Collision and comprehensive coverage: Covers damage from accidents, theft, weather, or vandalism.
- Uninsured/Underinsured motorist protection: Helps in case the other driver doesn’t have enough coverage.
- Roadside assistance: Available with certain plans, offering towing and emergency help when you’re stuck.
And here’s the best part: many drivers find they save hundreds just by switching to Costco’s insurance plan. One customer reported saving over $500 annually, simply by taking advantage of Executive Member discounts and bundled services. Not bad for something you might not even realize your membership included!
What About Home Insurance?
Your home is likely your biggest investment. So it makes sense to protect it properly. Costco’s home insurance plans, through CONNECT, offer peace of mind without a painful premium.
Coverage Options
- Dwelling protection: Covers damage to your home’s structure from events like fires, storms, or vandalism.
- Personal property coverage: Helps replace belongings lost due to theft or covered disasters.
- Liability protection: Covers legal expenses if someone is hurt on your property.
- Loss of use: Helps pay for living expenses if you need to move temporarily due to home repair.
Want an example? Imagine a strong storm damages your roof and floods your basement. With the right policy, your out-of-pocket costs could be greatly reduced, saving you potentially thousands of dollars and a whole lot of stress.
Who Can Apply?
Anyone with a Costco membership can look into insurance quotes through CONNECT. Whether you have a Basic or Executive membership, you’re eligible for these exclusive benefits. However, Executive Members typically receive the biggest discounts.
Not a member yet? It might be worth joining just for the insurance perks alone. Of course, the free samples and warehouse savings don’t hurt either.
Is It Easy to Switch?
Switching insurance providers can seem like a hassle, but Costco makes it as easy as possible. You can get a free online quote in minutes, and many of the steps, like transferring documents and canceling old policies, can be handled with little effort on your part.
Steps to Switch:
- Visit Costco’s insurance services website.
- Click “Get a Quote.”
- Input some basic information.
- Review the quote and see if it meets your needs and budget.
- Contact a CONNECT agent to finalize the transition.
Can switching save you money? Absolutely. It’s worth investing a few minutes to find out.
Let’s Talk Numbers: Do You Really Save?
This might be the question you’re asking: How much can I actually save? While savings vary depending on your location, driving history, home details, and coverage levels, many Costco members report surprising results.
According to CONNECT, new policyholders who switched report average savings of up to $600 annually. That’s enough for a few months of groceries or a vacation!
What Real Customers Are Saying
Looking at reviews can be helpful when making a decision. Here are some experiences shared by Costco members who’ve made the switch to CONNECT:
- “Great customer service and easy to set up. Saved over $400 on my car insurance!”
- “Bundled my auto and home, and the process was much simpler than I expected.”
- “I like knowing that Costco backs this service. Makes me feel like I’m in good hands.”
While every experience is unique, the general consensus is clear: Costco members are happy with their insurance services.
Final Thoughts: Is It Worth It?
So, is it worth exploring insurance through Costco? If you’re someone who values saving money, wants reliable protection, and prefers to keep things simple, then yes, it might be the perfect fit for you.
From member-exclusive discounts to top-rated customer support and easy account management, Costco gives you more than just warehouse deals. It delivers peace of mind where it matters most,t your car and your home.
To sum it up:
- Save big, especially if you’re an Executive Member.
- Get trusted coverage from CONNECT, powered by American Family Insurance.
- Simplify your life by bundling auto and home policies with one provider.
Ready to See If You Qualify?
If you’re curious about what you could save, it doesn’t hurt to get a quote. Visit Costco Auto and Home Insurance Services to start the process. It only takes a few minutes, and the payoff could be hundreds of dollars back in your pocket.
After all, Costco helps you save on everything from coffee to couches; why not insurance, too?
Looking for More Insurance Insights?
Want to learn more about car insurance basics? Check out our other helpful guides on:
- Exclusive GEICO Discounts: Organization Membership Savings
- Save on Auto Insurance with GEICO’s Affordable Coverage Options
- Is Mechanical Breakdown Insurance Worth It for Your Vehicle?
- United Auto Insurance Review: Affordable Coverage, Mixed Ratings
- Rhode Island Auto Insurance Guide: Savings Tips
- Best Auto Insurance Options for Drivers in Iowa
- Kentucky Car Insurance: Rates, Laws, and Coverage Options
- Missouri Auto Insurance: Requirements & Coverage Options
- Connecticut Auto Insurance Guide for Drivers: Coverage and Requirements
- Connecticut Auto Insurance Guide: Coverage, Requirements, and Savings Tips
Disclaimer: Insurance availability and coverage vary by state. Costco Insurance Agency is not the insurer; policies are underwritten by CONNECT, powered by American Family Insurance. Savings are not guaranteed and depend on various factors, including eligibility and location.
