Popular Car Insurance Discounts

Paying full price for car insurance is something other people do. You're not paying full price for your auto insurance. Because you get a special discount!

"What's that?" you say. You didn't know you're getting a special discount? Well, we'll tell you all about it.

Insurance rates aren't uniform across the entire driving population. Your driving record, age, car type and other factors are all taken into consideration before you're given a quote.

You're You – and You Deserve a Discount

Car insurance is mandatory in almost every state. That's the bad news.

Because car insurance is mandatory practically everywhere, there are a lot of potential customers out there. That's the good news.

Insurance companies have to compete for customers. They also would prefer customers who aren't likely to get into an accident.

This means insurance companies offer a lot of different discounts in order to attract potential customers.

So while you can't change things like your driving history or your age, there are plenty of discounts out there which can save you some cash while still keeping you fully insured. Let's take a look:

The "Don't Steal My Ride" Anti-theft Discount

Neither you or your insurer wants your car to be stolen. Many carriers offer a discount if your car has an anti-theft device. Now, this isn't a rottweiller you keep in your back seat. An anti-theft system is a car alarm, fuel/ignition cut-off switches or other insurance company approved device.

Depending on the system and anti-theft system, you can save up to 25% on your insurance premiums. Additionally, more sophisticated features like stolen car tracking can offer even more discounts.    

The "I've Had a Better Offer" Discount

You never want your coverage to lapse. That will increase your future payments with your existing company, if you renew, or even your new company if you switch.

But sometimes you can find a better deal if you shop around. If that happens, and you decide to switch carriers, you can find an even better deal if you switch at least seven days before the premium with your current provider is due. So keep track of when your policy is about to expire.

The "Do You Know Who I Am?" Discount

Insurance rates are determined by actuaries. These are certain factors which help predict, statistically, how likely you are to be in a car accident. Some examples are:

Your age

Your income level

Your driving history

Your occupation

That's right, even the job you have can affect your rates. But in many ways this is a good thing.

If you're part of certain occupations, you might get a discount through work or simply through the insurance carrier. Some common jobs where you'll usually see a discount are law enforcement, firefighters, medical professionals and teachers. 

Your rates are usually lower if you have a job which doesn't involve much driving. This could be a work at home job or something where you take public transportation. This is Annual Mileage, and sometimes it's a separate discount all its own.

With Annual Mileage, your insurance company will send you a small device you plug into a diagnostic port for a few weeks. This will track your general mileage traveled, which is then used to help determine your discount – the less miles traveled, the better the discount.  

The "I'm a Good Driver" Discount

Your past driving record is a pretty good indicator of what type of driver you'll be in the future. The longer you've been a good driver, the better.

Most companies apply a Good Driver discount after three to five years without filing a claim. Note that this isn't three years without an accident, but three years without filing a claim. This could be something which isn't your fault such as a claim for storm damage or a hit-and-run. So consider your Good Driver discount before filing any smaller claims.

The "I Know What I'm Doing" Discount

Young drivers aren't exactly cheap to insure. If you're a new driver, or the parent of one, you'll likely want to look into New Driver classes.

These are classes arranged through either the local high school, AAA or a private company. Courses cover all the rules of the road, often including plenty of time in one of those infamous "Student Driver" cars. (Don't worry if you've never been in one before, people on the road are usually much nicer than you probably think.)

Another option usually available for students is a Good Student discount. This is for high school students and sometimes college students under the age of 25.

Insurers want drivers who understand how to be safe on the road. Even if you're not a student or a new driver, sometimes adult driving refresher courses can help you lower your monthly rates.

The "Cloud Service for Me, Please" Discount

We'll be honest: We have no idea why car insurance companies constantly want to promote their electronic billing discounts. Seemingly every carrier has one.

Regardless, most people have no problem signing up for e-billing. Save the earth, save a bit of money.

Speaking of saving the earth, your carrier might also offer a discount if you drive any type of eco-car. 

Not Sure about Which Discounts You're Eligible For?

Insurance providers are always trying to outdo one another with discounts. This is great for customers, but can also be confusing.

In order to sort through all the providers and options, you should use a professional system of agents such as the team at Chimp Quote. You can receive a personalized quote in minutes tailored directly towards your budget and needs.

There's a lot of discounts out there, but only one you. Fortunately, what makes you "you" is also likely to help you save when shopping for car insurance.