Auto Insurance Discounts: Is That A thing?

September 24, 2018 Autos No Comments

It sure is! In fact, based on the insurance company you sign up with, you may be able to enjoy different car insurance discounts. However, with so much variety out there, you might find it overwhelming to choose the right insurance firm on the basis of the discounts they offer. That’s why we have prepared this handy guide for you. Moreover, if you know the types of discounts available to you, you will be able to make informed decisions when you receive your car insurance quotes.

Let us look at some of the good discount deals just waiting for you to avail them:

Driver discounts

It might not be advertised, but many insurance companies do take your things, like your age, location, and vehicle type into account when offering you the rates for your premium. You can’t do much about many of these personal details. But, you can use some of them to your advantage. For instance, the passengers in your vehicle also have a role to play.

The safer those passengers are while you drive them around, the lower rate you could get on your insurance premium. Bankrate reported that 9 out of 10 car insurance companies rewarded their customers with a discount for passive restraints, such as motorized seatbelts, passenger airbags, etc. So, before you sign on the dotted line, why not invest in some good quality passenger safety add-ons. Don’t forget to inform your car insurance agent about them either!

Student discounts

Student discounts are one of the best deals out there since buying car insurance for young drivers can cost their parents a lot of money. With their help, you can keep your teenage driver safe and avail the discounts in different ways. What’s more, a full-time student with good grades can get a lower rate when it comes to car insurance.

Does your offspring belong to a college alumnus? Then they may even be eligible for the college alumni discount.

Is your son/daughter going to college but not taking their car with them? They will need car insurance for when they come back home. Do your teenagers take out the car very rarely? A reduced premium rate may be awaiting them in their future.

Don’t shy away from discussing all of this with your insurance agent. You never know when something can help you qualify to pay a less than full-time premium rate!

Telematics

Insurance companies may qualify you for discounted deals based on telematics. Installing Progressive’s Snapshot and other similar devices in your car can do wonders for your premiums. You can share the report from such devices with your insurance company and save money. Your driving speed, braking patterns, and the miles traveled are all considered. This article on the pros and cons of usage-based insurance lays it out for you in detail!

Credit history

Customers with credit scores that fall under 600 are considered more likely to bring insurance claims against their insurance providers. They are given high premiums since they are considered more likely to file inflated allegations or be party to insurance fraud! The trouble is that this practice is only outlawed in certain states, such as Massachusetts, California, and Hawaii. In other places, how much you pay for your policy usually depends partially on your credit rating and history. The insurance companies may consider you a higher risk, which is why they may ask you to pay a higher percentage of your insurance policy up front. At times, people end up paying six- or 12-month premium to get car insurance, just for that reason. Having a good credit score is a plus that you shouldn’t forget to mention to your insurance agent. You could get insurance at a lower rate!

Occupational discount

If you are a nurse or a teacher, then you could be eligible for an occupational discount! Insurance companies consider some jobs more prone to car accidents, which is why they may hike the premiums. Business owners and managers are also better liked and could get discounted car insurance. When contacting an agent for car insurance, be honest about what you do. Let them know why your job keeps you safer, and you may get a lower premium.

Get a complete list of discounts here.

Just keep in mind that insurance companies offer different types of discounts. Even the terms of these discounts are varied, which is why you should discuss everything with your insurance agent beforehand. Lastly,  comparison-shopping is your friend when purchasing car insurance. It is the only certain way for you to get low cost auto insurance!

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