When it comes to auto insurance, your provider likely offers multiple discounts that could help you save. In fact, you may already be eligible for a few auto insurance discounts you didn’t even know existed. Typically, discounts can be divided into four categories: driver status, driver safety, policy, and vehicle/usage-based discounts.
At Orion Indemnity, we work to help our customers navigate the auto insurance landscape. To maximize your savings potential, we put together a list of common auto insurance discounts that most carriers offer. As a reminder, insurance policies and availability vary greatly depending on your location, so always speak with an agent to learn more about potential discounts.
Driver Status Based Auto Insurance Discounts
This first group of auto insurance discounts are driver status based. Depending on your occupation and driving experience, you may qualify for a few discounts just for being yourself.
- Profession discounts: You may be eligible for special discounts depending on what you do for work. Some carriers provide saving options based on your profession or involvement in a professional organization.
- Good student discount: Young drivers are some of the most expensive groups of individuals to insure. However, they also have additional saving options that could help offset the cost. If you’re under 23, are enrolled as a full-time student, and maintain a B-average, you may qualify for what most providers call a good student discount. You’ll likely be required to provide proof of your academic standing to receive the discount.
- Association discounts: Are you a member of associations such as Costco, AAA, or Sam’s Club? If so, you may qualify for a discount, depending on your provider.
- Student away discount: Parents may be able to save on their insurance premium if their listed child driver is away for school without their vehicle. Keep in mind that these discounts tend to only apply to students more than 100 miles from home.
Driver Safety-Based Auto Insurance Discounts
Unlike driver status-based discounts, driver safety discounts reward you for having safe driving habits. If you’ve never been involved in a car accident or taken safety driving courses, there are discounts available that could help you save.
- Good driver discount: In California, if you’ve held your license for three years, have one or fewer points on your driving record, and haven’t been involved in an injury accident, you may be eligible to receive a good driver discount.
- Defensive driver discount: Some providers offer discounts if you’re willing to pass an approved defensive driving course. Defensive driving courses teach you better to assess road, weather, and traffic conditions to prevent accidents. However, this discount may only be available to senior drivers in some states.
- Claim-free discount: If you’ve gone more than five years since your last claim, ask your provider if you qualify for any claim-free discounts.
Policy-Based Auto Insurance Discounts
These types of savings are based on the policy you have with your insurance provider. In fact, making a few simple adjustments could open the door to additional saving opportunities. Be sure to speak with your insurance agent as these may not always be automictically applied.
- Multi-policy discount: By having multiple policies with the same insurance provider, you could be eligible for a multi-policy discount. At Orion Indemnity, we offer multi-policy discounts for qualified Mercury homeowner policyholders.
- Pay in full discount: When purchasing a new policy, you could save if you’re capable of paying your premium in full.
- Good payers discount: Insurance companies may often reward policyholders with no late payments or non-sufficient charges on their record by providing them with a discount.
Vehicle and Usage-Based Auto Insurance Discounts
You could be eligible for reduced rates depending on what car you drive and how often you use it.
- New vehicle: If you drive a car that is less than three years old, you could qualify for a new vehicle discount.
- Anti-theft device discount: By installing anti-theft devices onto your vehicle, you reduce the likelihood of theft, making it less risky to insure. As a result, your provider may reward you for taking the extra steps to protect your car.
- Usage-based discounts: California insurance providers are increasingly establishing rates using mileage verification devices or apps that track your usage (telematics). Check with your agent to see if you qualify for any discounts to enroll in such programs.
Get the California Auto Insurance You Need
When it comes to auto insurance, there are multiple ways to save. However, to find these savings, you’ll need the best insurance agents that can help guide you through the process. At Orion Indemnity, our team of highly knowledgeable insurance agents are dedicated to helping you find the policy that works best for you. To learn more about our coverage options, call us today at (833) 336-7466, or start a quote online.
The information in this article is obtained from various sources and offered for educational purposes only. Furthermore, it should not replace the advice of a qualified professional. The definitions, terms, and coverage in a given policy may be different than those suggested here. No warranty or appropriateness for a specific purpose is expressed or implied.
