Common Car Insurance Discounts

If you're in the market for new or updated car insurance, there are plenty of car insurance discounts available. When shopping for car insurance, ask what type of discounts you qualify for; it could reduce your insurance costs considerably. Use these auto insurance tips to get started. 

Good Grades Discount

A common discount that many insurance companies offer is a discount to students with good grades. This typically applies to high school and college students and is based on the students accumulated GPA (grade point average). The theory is that students with good grades are generally more responsible but you will have to show proof of good grades within a 30 day time period. 

Driver's Safety Course

Another discount that can benefit students, or mom and dad, is the discount for taking a driver's safety course. These courses are available at many high schools and offer driving experience as well as classroom learning time. Passing the course is a must and you will have to provide proof of that to your insurance company.

Effective Anti-Theft Devices

Shaving 15 to 20% from your insurance costs is as easy as installing an effective anti-theft device to your vehicle. This is something to consider when purchasing a new car also; they often come pre-installed with brand new cars and trucks.

The most effective device is one operated by your local and state law enforcement. It's called LoJack and emits an inaudible sound after being activated to assist police in locating your stolen car. You can find more information on this device at LoJack.com. 

Safe Driver Discount

You can save up to an amazing 40% with some insurance companies just for having a good driving record. That means that you can't have any accidents or tickets on your driving record for 3 years or over.

Multi-Car Discount

A common discount that most insurance companies offer is a multi-car discount. This discount is based on having more than one car attached to your insurance policy. 

Multi-Policy Discount

This discount is based on having more than one policy in your name. For instance, you might have you car insurance and your home owner's insurance with the same company. This would enable you to qualify for the multi-policy discount. Read your auto insurance terms to see if you qualify for this discount. 

Affiliate Memberships

A discount that is often overlooked is the affiliate membership discount. If you are a member of Costco or AAA you may already qualify for this discount. There are other common affiliations; just ask your insurance company what affiliations they are connected to. 

Long Term Customer Discount

There are a few insurance companies that will discount your policy just for being a long time customer. Often times this is an automatic discount so watch for it or ask your agent about it. 

There are definite benefits to understanding car insurance companies and policies. Don't hesitate to change companies if your current insurer doesn't measure up and give you the discounts you know are available.