5 Unexpected Benefits of Costco's Home and Auto Insurance

Insurance prices for both home and auto have skyrocketed over the past couple of years. Home insurance prices are up 21% on average in the last year alone.

That's led many people to try to improve their personal finances by shopping around for insurance, including at Costco. While the company is known for its bulk food at discounted prices, Costco also offers home and automobile insurance -- both with some unexpected benefits.

Here are some home and auto insurance perks that Costco members get that you may not know about.

1. Lifetime auto insurance renewability

Most of the time, your automobile insurance renews automatically each year, but sometimes, an auto insurer won't renew the policy if you have too many traffic violations or accidents. Insurance companies don't have to renew your policy, and if they think you're a high-risk customer, they won't give you the option to renew.

But for Costco Executive Members, the company offers a lifetime renewability benefit. This can be a great perk for people who have either been dropped from an auto insurance policy or are having trouble finding a company to insure them.

2. Zero deductible windshield repair

Nearly all of us have experienced it: You're driving down the highway, and suddenly, a rock gets flung out from under another vehicle's tires and smacks into your windshield, leaving a huge crack.

That's why Costco includes a glass repair deductible waiver at no additional cost to members -- you don't even have to be an Executive Member to use this perk. The company says if your windshield can be repaired rather than replaced, it will waive the policy deductible.

3. Accident travel expense coverage

This benefit can give you lots of peace of mind when you're traveling away from home. Through American Family Insurance, Costco's auto insurance will cover food and lodging if you're involved in a car accident more than 100 miles from your home.

As someone who takes long road trips often, this unexpected benefit looks pretty enticing.

4. Home lockout assistance

If you're prone to frantically leaving the house without your key (guilty!), this benefit is for you. Costco Executive Members who sign up for homeowners insurance through American Family Insurance automatically receive free home lockout assistance.

This perk covers the cost -- up to $100 per occurrence -- of having a locksmith come out to your home if you happen to lock yourself out. Keep in mind that you can only use this benefit two times per year.

5. Spoiled food assistance

I had never even heard about a benefit like this until I saw it on Costco's website. If you sign up for homeowners insurance through the company -- and are an Executive Member -- you may be able to get money for spoiled food when your power goes out.

The benefit covers up to $500 in spoiled food due to a storm, equipment failure, or a construction accident. The only downside to this benefit is that it's unavailable for homeowners in Texas or Florida.

How to find the best insurance for you

Buying homeowners or auto insurance through Costco offers some great benefits, but there are also plenty of great insurance options out there. Here are a few ways to find the best insurance for you.

1. Compare benefits and perks

Now that you know some unique benefits that Costco's insurance offers, compare them with what other insurance companies offer. Whichever offers the perks you're looking for at the best price might be the affordable insurance company for you.

2. Consider deductible and premium amounts

Not all insurance companies will charge you the same prices. For example, shopping around and getting quotes from multiple homeowners insurance providers can help you get the best deal.

3. Keep an eye on restrictions

Some insurance companies are leaving markets that are unprofitable. For example, some homeowners insurance companies are leaving California and Florida because there's too much environmental risk. Companies that remain in high-risk areas may have restrictions on what they cover, so read the fine print before you sign up for coverage.

Shopping for home and auto insurance isn't as fun as walking down Costco aisles hunting for free samples, but looking at all the available insurance options could help you save enough money to cover your next Costco run.