Not everyone is eligible for the long list of discounts that insurance companies offer. But there are some discounts that almost every driver can get. Here are six car insurance discounts you should already have or be trying to get.
If you have multiple cars or share a household with multiple drivers, it may make sense to insure the cars under one policy. Most insurance companies provide a multi-vehicle discount that could save you five to ten percent on your insurance premiums. What’s better is that everyone in the household will be fully insured when driving either of the cars insured under the same policy.
A multi-policy discount is given to drivers who insure their home and car with the same company. Even if you do not own your home, you may be able to get the same discount by purchasing renter’s insurance. Multi-policy discounts can vary from company to company but average somewhere around ten percent. Certain larger companies like Esurance and All State offer particularity good deals when it comes to multi-policy discounts.
Low Deductible Discount
Raising your deductible can save you an enormous amount of money on your car insurance. When you increase your deductible, you assume more risk because you bear more of the up-front costs of an accident. Insurance companies love this because it takes some of the heat off them, which allows them to provide lower premiums. Raising the deductible o your auto insurance policy from $250 to $1,000 could save you hundreds of dollars each year, which is not a bad option for safe drivers with a good driving history.
Good Driver Discount
Many insurance companies offer a good driver discount. You can usually get this discount by not getting any tickets, not making any claims, or not getting in an accident for a specific period of time. This discount may also be available to drivers who have completed a defensive driving course or program.
Paperless Billing or EFT Discount
Some insurance companies give their customers a discount for paying premiums in full once or twice a year. They do this because it saves them money by not having to send you a bill each month. If you can’t afford to pay for that much insurance at one time or simply prefer to pay your bill monthly, ask for an Electronic Funds Transfer (EFT) discount. This discount is usually available to insurance customers who have their premiums withdrawn from their bank account automatically each month.
Low Mileage Discount
Not every insurance company offers this discount. However, it is worth inquiring about if you drive a minimal number of miles to work or school. Low mileage discounts may also be available to drivers who carpool or store their vehicles for a portion of the year.