Insurance can be expensive, and every penny of savings can help. There are several different types of discounts available for customers. The availability of these discounts varies from company to company. Below are some of the most common discounts on home and auto insurance.
If you own your own home, you may be applicable for this discount on your auto insurance. Having a lienholder on the home has no effect on eligibility for the homeowner’s discount.
Young student drivers, under the age of 26, may be eligible for the good student discount. To qualify, students typically need to maintain at least a B average or a 3.0 GPA. You may need to submit transcripts for proof of qualification.
Some carriers will offer a discount for consecutive insurance with the same carrier. Loyalty applies to most lines of insurance.
Most insurance carriers provide discounts for clients with whom they have more than one policy. This includes cars, homes, umbrella policies, boats and more.
Carriers can insure multiple cars on a single policy. Adding cars to the same policy can provide a multi-car discount. However, many carriers have a limit on the number of cars that can be added to one policy before the individual needs to issue another policy. Many carriers cap the number of cars at four vehicles.
Early Quote Discount
Switching your insurance policy to a different insurance carrier at least a week in advance can reduce the premium of the new policy. Early renewal is applicable on most lines of insurance.
There are many factors insurance companies use to calculate premium including age, location, vehicle type and driving record. Having a clean driving record is one of the surest ways to reduce the cost of insurance. All insurance companies pull motor vehicle records from the last 3-5 years. At fault accidents, speeding tickets and DUIs increase premium rates upon renewal.
Electronic Fund Transfers (EFTs)
Electronic Fund Transfer payments are cheaper than paying in cash or with a credit card. EFTs are direct withdrawal from your bank account. These can be set to pull on a certain date every month.
Paid in full
Paying in full is cheaper than the accumulated payments annually or semiannually.
On average, people drive 10,000 miles a year. Depending on the state and insurance company, different mileage totals will qualify as low mileage and induce savings.
Empty Nest Discount
This discount is for households where all individuals are between the ages of 50 and 75.
Smoke Detector/ Security Discount
Both smoke detectors and security systems in households can reduce the homeowner's premium.