The fact that you are researching possible auto insurance discounts shows initiative. You are a smart shopper who knows that a penny saved is a penny earned and when it comes to insurance premiums you could save a lot more than a few pennies. This article is going to go over some of the most commonly available discounts that most auto insurance providers are likely to offer.
Insurance companies set their prices by trying to determine the level of risk a potential customer presents to the company. Anything that you can do to lessen your perceived risk could result in making you eligible for discounts. Discounts are commonly available for things that make you "less risky" in the eyes of the insurance companies. The following items are common discounts available with most insurance companies.
Maintaining a good driving record
If you can go without having an accident or any moving violations for a given period of time you will probably be eligible for a discount. The amount of time required without incident may vary from one company to another but a good driving record indicates that you are less of a risk.
Maintaining a high GPA (if you are a student)
Auto insurance can be very expensive for younger people because statistically people younger than 25 years old are more likely to be involved in a collision. If you maintain a good grade point average many insurance companies will offer a discount because you will be viewed as being more responsible and therefore less of a risk.
Having an antitheft device
If your car has an alarm system or some other type of antitheft device it is statistically less likely to be stolen or vandalized and this means that the insurance companies are less likely to have to pay for repairs or to replace a stolen vehicle.
A car with good safety features
Things like antilock brakes and airbags can help to avoid accidents or to reduce the severity of injuries if an accident should occur.
Having multiple cars or drivers on the same policy
This is one of the common discounts that does not necessarily reduce the risk to the insurance company but it does increase the amount of revenue that the insurance company receives. If you, your spouse, and your child are all on the same policy you will be eligible for a discount with most companies. It's sort of like buying in bulk to get a discount.
Bundling different types of insurance
Another way to get a discount is to have more than one type of policy with the same company. For example if you have your auto, homeowners, and health insurance all with the same company, you may be eligible for discounts on each of those policies.
The discounts offered may vary quite a bit from one company to another so a quick phone call to your insurance agent could reveal an opportunity to save money. You may be eligible for discounts you never would've thought of. Getting discounts is a great way to save money on your premiums but the easiest way to make sure you're getting the lowest price available is to get a few quotes from a number of different companies. Getting multiple quotes online is fast, easy, and best of all it's free. A few minutes spent getting quotes could reveal an opportunity to save a substantial amount of money.