Auto Insurance Discounts

Don’t underestimate the value of auto insurance discounts. Certain discounts can save you as much as 20 percent or more on your

car insurance premiums. With most policyholders, however, these lucrative discounts go unclaimed simply because drivers do not research available discounts and thus have no idea that they qualify for several. Depending on your insurer, you can receive discount car insurance based on characteristics you or your vehicle may have. For instance, you might qualify for a good-driver discount because you have been accident-free recently. Read on to see what car insurance discounts may apply to you.

Discount Car Insurance for Drivers

As a driver, you may possess any number of qualities that insurers believe will lower your claims risk, thereby lowering your premiums as well. To find out if you qualify for a car insurance discount, such as cheap student car insurance, visit your prospective insurer’s website or talk to an agent. Your carrier’s representative should be able to provide a list of available discounts based on your personal characteristics, how much they will save you, and what criteria you must meet in order to qualify. Here are some common auto insurance discounts for drivers that carriers offer:

  • Accident-free discount: applies to drivers with a clean driving record
  • Good student: typically applies to those under 25, in school full-time, and with a certain GPA or class rank
  • Defensive driving: some carriers offer discounts to those who complete approved defensive-driving or driver’s-education courses
  • Low-mileage: if you drive fewer miles per year than the typical driver, you could qualify for an auto insurance discount
  • Driver affiliations: some carriers provide discount car insurance to drivers associated with certain organizations, such as professional groups, auto clubs, and so on

Vehicle Equipment Discount Auto Insurance

The safety and anti-theft equipment on your vehicle can save you money on the medical payments, personal injury, and/or comprehensive portion of your car insurance policy. Here are a few of the most common vehicle-related auto insurance discounts:

  • Anti-theft system: an approved car alarm or other theft-deterrent system can reduce your comprehensive premium
  • Air bags: airbags in your vehicle can reduce your personal injury or medical payments premium
  • Anti-lock brakes: most carriers offer a small auto insurance discount on the collision portion of a policy if a vehicle has an ABS system
  • Daytime-running lights: you can reduce several of your premiums with some carriers if your car has this feature

Discounts for Policyholder Loyalty

Typically, most insurers will reward their customers for remaining loyal to them by providing substantial car insurance discounts. For instance, almost all auto insurers offer a multiple-policy discount that will lower your auto insurance premiums if you purchase another policy with the same insurer, such as a life or home insurance policy. Similarly, you may qualify for a loyalty discount with your insurer every time you renew your policy. The size of this auto insurance discount may also increase the longer you’ve been with the same insurer.