March 12, 2014
Insurance companies offer many different car insurance discounts for different types of drivers. Drivers should ask their insurance brokers about these discounts when purchasing auto insurance and use them to compare different auto insurance rates.
Different Types of Car Insurance Discounts
Below is a selection of auto insurance discounts outlined by Bankrate.com:
- multiple policies: drivers are often awarded a discount for buying other insurance with a company (rental, motorcycle);
- multivehicle: insuring two or more vehicles with the same company;
- anti-theft discount: driving a car with anti-theft features like an alarm or parking in a garage;
- anti-lock brakes: driving a car with anti-lock brakes;
- passive restraint: cars with airbags and motorized seat belts might qualify for a discount;
- green vehicle: hybrid and electric vehicles might qualify for a discount;
- safe driver discount or accident-free: drivers who hit certain points on a timeline without an accident (six months, one year) can often see a reduction in premiums;
- defensive driver classes: drivers, especially the elderly, can receive a discount for taking a defensive driver class;
- low mileage or slow stops: if a driver installs a computer monitor like Progressive’s Snapshot device and doesn’t drive many miles or doesn’t log many “hard stops” then he or she may receive a discount;
- military: service members may qualify for a discount with many companies;
- full payment: paying for six months or one year in full often yields $100 or more in discounts;
- paperless billing: choosing this billing option may reduce the insurance rate;
- loyalty: sticking with an insurance company for a long time could result in a discount; and
- good student: students who meet a certain grade point average set by the insurer often receive an insurance discount.
This is not an all-inclusive list, and not all insurance companies offer these discounts. So as you shop for car insurance, be sure to inquire with your insurance broker about which discounts may apply to you.
Comparison Shop When Buying Auto Insurance
Drivers can comparison shop when buying auto insurance and use their list of discounts to get the best deal. They should make sure that they compare similar policies in terms of deductibles and policy limits. It may seem tedious at first, but if a driver can save $300 after spending two hours comparison shopping, he is effectively making $150 an hour for those two hours.
Your Auto Insurance in the Event of an Accident
Discounts are a great way to save money on your auto insurance premiums, but make sure you don’t skimp on the coverage. Liability insurance protects you if you cause injury or property damage to another driver. You’ll recover from the other driver’s liability insurance if he or she is to blame for your accident. You may also recover from your own insurance if you have appropriate coverage, like medical payments or collision coverage.
The Hensley Legal Group is committed to helping South Bend drivers and drivers throughout the state of Indiana pursue compensation to which they’re entitled. This may come from one’s own auto insurance, but often it comes from that of an at-fault driver. Contact our office at 888-505-8232 or use our contact form to set up a consultation.