Don’t leave money on the table: Talk to your agent about auto insurance discounts


We’re all looking for bargains, and auto insurance is no different than anything else we buy. You should get enough coverage to protect yourself, but don’t want to pay more than you have to. To keep you auto insurance premiums low, first and foremost, be a safe driver and avoid moving violation tickets. Your past experience definitely affects your rates. It’s also important to maintain a good credit history.

Assuming you are a good driver, there are many discounts that you may qualify for. We’ve offered a list of common discounts but be aware that they aren’t all available in every state and not every insurance company offers the same discounts. The savings potential may be substantial enough to shop around among insurers. A good independent agent will be familiar with and suggest the best potential discounts, but you should be sure to ask- particularly if you have had some life change that affects your circumstances, which your agent may not know about unless you tell them.

Here are some of the most common auto insurance discounts

Low mileage: If you work at home, live in a city where you mostly take public transportation, or drive very little, you may be eligible for a low mileage auto discount. The threshold for low mileage may vary by state or insurer. Generally, under 5,000 miles qualifies for the best discounts, but some insurance companies may have low mileage discounts for up to 15,000 miles a year.

Multiple vehicles in one household. If your household is insuring more than one private passenger vehicle with the same insurance company, you may be eligible for a discount.

Bundling. An insurer may offer a substantial discount if you package or “bundle” more than one policy with them. Typically, this would include bundling your auto and your homeowners, condo or rental policy.

Senior discounts. According to research by the Insurance Institute for Highway Safety, senior have fewer auto accidents per capita than any other age group. If you’ve just turned 65 or just retired, ask your agent about senior discounts. Some insurers offer senior discounts at even lower age thresholds.

Driver training. Taking an approved defensive driving or auto safety course might qualify you for a discount. Typically, these discounts are available to students or seniors, but check with your agent.

Antitheft devices and safety technology. If you have alarm systems, GPS tracking systems, kill switches, disabling technology, or other anti-theft devices, talk to your insurance agent. Certain safety technologies may also earn a reduced rate. If you have anti-lock brakes, passive restraint systems like airbags, or other safety features, let your agent know.

Being a student with good grades. Ask about student discounts. Many states and many insurers make discounts available to student policyholders who maintain good grades.

Prepayments or paperless payments. If you pay for your insurance upfront rather than in installments, you might earn a savings. Some insurance companies also offer a discount for enrolling in automatic E-bill or automated electronic payments.

Loyalty discounts. Have you been with the same insurer for a number of years? Some will offer loyal customer discounts.

Membership discounts and affiliations. Check with your insurance agent to see if they are affiliated with any membership discounts, such as through AAA or AARP, or other affiliate organizations. Also, check to see if there are any discounts available for active members of the military.