Auto insurance often takes a big bite out of your paycheck. In some ways, it’s unavoidable because most states require you to have auto insurance as a condition of driving, and you can even lose your license if you don’t carry insurance. But most insurance companies offer hidden discounts — big savings that most customers don’t know about. Ask yourself if you qualify for any of these common discounts, and if you do, make sure to ask your auto insurance representative about them.
Do You Own More Than One Vehicle?
If you own more than one vehicle, insure them all through the same insurance company. Many companies let you save money on auto insurance when you insure multiple vehicles. Even if you don’t own more than one vehicle yourself, if other members of your household own vehicles, you can take advantage of this discount. For example, if your spouse or child owns a vehicle, you can still get a multi-vehicle discount if you insure all these vehicles through the same insurance company. Similarly, if you purchase different types of insurance from the same company, you may qualify for a discount. For example, if you purchase homeowners insurance or renters insurance from the same company that you purchase auto insurance from, you may qualify for a multiple insurance discount.
Is Your Driving Record Clean?
Insurance companies offer “good driver discounts” for drivers that haven’t had an accident or ticket in a certain number of years. Most companies require you to have a clean record for three years, although the exact timeframe varies by insurance company. If you haven’t had any accidents or tickets in several years, make sure to let your insurance company know so you can take advantage of this discount.
Are Your Teen Drivers Good Students?
When your kids get old enough to drive, it often causes your insurance rates to skyrocket because young drivers tend to be involved in more accidents than older drivers. If your teenaged drivers get good grades, however, you might be able to offset the additional premiums because they’ll qualify for a “good student discount.” Insurance companies offer significant savings to drivers who make at least a B average every semester. You may have to submit your kids’ report cards to your insurance company to take advantage of this discount.
Have You Taken Defensive Driving?
If you take a defensive driving class, your insurance company may conclude that you’re less likely to get in an accident. Thus, many insurance companies offer savings to drivers who complete such courses. You may have to take classes from a school approved by the insurance company, so check with your insurance representative before you enroll in such a class.
What’s Your Job?
Insurance companies offer discounts to members of certain professions. It’s common to offer discounts to military members and to teachers. Bring proof of your occupation to your insurance representative to take advantage of this type of discount.
Jessica Bosari is 13-year auto insurance veteran who answers questions about auto insurance for readers at AutoInsuranceAdvice.com. If you have a car insurance question, stop by the site.
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