There are more ways to save on insurance than many people realize. While most people are aware of the savings offered through bundling home and auto insurance or by avoiding claims, there are many other unexpected ways to save on insurance.
For example, you can take driving classes to help reduce premiums or even get discounts for installing safety equipment. And driving school prices can vary but tend to be cheap. It is very important to save money on recurring expenses. You never know what costly, unforeseen financial circumstances may occur.
So here are some of the most unexpected ways you can save on insurance.
Student Discounts for High School and College Drivers
High school students and college students can save an average of between 6% and 36% on their car insurance bill when they make good grades. Criteria for a good student discount include having a B average or higher or being in the top 20% of their class.
Standardized tests are also taken into account. If your child scores in the top 20% nationally on one of several standardized tests, they could qualify for a discount as well. They must also be a full-time student, single, and age 16 to 25.
Car Safety Equipment Discounts
In many cases, you can find cheaper quotes already if you have certain anti-theft devices installed. And in 12 states, you can get a discount on your comprehensive insurance at about 15% to 20%. This is not a discount off your entire bill; it’s just a discount on comprehensive insurance.
The states that offer these insurance discounts are:
- New Mexico
- New York
- Rhode Island
Anti-theft devices come in many types. There are manual disabling devices, automatic disabling devices, remote disabling devices, car alarms, VIN etching, vehicle tracking systems, and vehicle recovery devices.
Insurance Discounts for Defensive Driving Classes
You can get between 5% to 20% discounted off your car insurance premium if you take defensive driving classes. Classes take approximately four to eight hours usually throughout the weekend.
These courses are most commonly offered to teenagers and drivers over 60 years old. But eligibility varies by state law and your insurer’s policies. For example, New York requires insurers to offer rate discounts to drivers of all ages who take defensive driving classes.
Usually, defensive driving classes are taught online or in classroom settings, with audio, text, and video materials. The classes aren’t free but cost less than $100.
Military or Veteran Car Insurance Deals
USAA auto insurance offers some great deals specifically for veterans and those in active duty military. You need a military affiliation to get this insurance. USAA tends to have the lowest annual rates out of many of the other largest auto insurance companies. USAA also has a very high customer satisfaction rate.
GEICO also offers military discounts of up to 15% for military members. The name GEICO, in fact, is an abbreviation for Government Employees Insurance Company. GEICO was formed for government and military personnel.
Some other car insurance companies with active duty or veteran discounts include State Farm, Progressive, Liberty Mutual, Nationwide, and Farmers.
If you drive less than 13,500 miles per year or 37 miles per day, you may be interested in low-mileage programs and discounts.
Allstate offers Milewise, which is a pay-per-mile car insurance program. On average, you can save between 30% and 40% using Milewise.
Liberty Mutual’s ByMile program uses a telematics device to track the miles you’ve driven. Compared to a traditional policy, you can save about 25%.
Safeco has a program called RightTrack which tracks your mileage, driving time, braking, and acceleration through a mobile app. You can receive a discount of up to 30% for the life of your policy after the company reviews your driving.
The Right Car Insurance Discount for You
There are a variety of ways to save for unforeseen expenses. And many of the discounts are rewards for things you already prioritize such as good grades or safe driving. So why not save on your insurance as well?
You may already be looking into anti-theft devices, for example. So why not find one that your insurance will give you a discount for? You can knock out two birds with one stone.
Dorothea Hudson writes and researches for the car insurance comparison site, CarInsurance101.com. She is passionate about finance and saving and enjoys educating her readers on ways to save and find deals.