7 Biggest Car Insurance Discounts for 2021

Are you looking for the biggest car insurance discount? When you finish reading this article, you will know how to make the most of all available discounts.

Buying car insurance can be expensive, but does it have to be? Well, you can use discounts to lower your insurance premiums.

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When you contact the car insurance company, be sure to ask for available discounts. Each insurance company can offer you discounts based on your qualifications.

Depending on your eligibility, discount type, and insurance company, you can reduce your total policy cost by up to 40%. 

How to Get the Biggest Car Insurance Discounts

1. Shop Around Before Buying

Shop around and compare car insurance quotes will definitely pay off. That's because prices vary from company to company. The best decision you can make is to obtain at least three quotations from different companies.

You can call the insurance company directly or get the information online. For example, GEICO, State Farm and other companies can help you get a free quote.

Remember, price is not the most important thing to look for. Before you buy a car and purchase insurance, ask your friends and family for advice. If you need more information about the company you are considering, you can always contact the insurance department in your state. In addition, if you have any specific questions, you can talk to the insurance company directly.


2. Group Insurance Discounts

Some companies can provide you with reduced prices through group plans. You may get this type of group plan from your employer, club or association.

Be sure to ask your employer to see if you can get a group insurance discount.

3. Multi-Policy Discounts

Also known as a bundle, it is still one of the biggest discounts you can get in 2021. Bundling your insurance policy means buying at least two types of insurance from the same issuer. For example, you can buy car and family insurance, which will usually give you the biggest multi-policy discount. At insurance companies such as Allstate, discounts can be as high as 25%.

Of course, you can also bundle other types of insurance policies, such as life insurance and car insurance, but you usually get a smaller discount. You rarely get a better deal with two different insurance companies. So, do you have a house? If you do, you may want to consider an insurance issuer who can package your home and car insurance policies.


4. Multi-Car Discounts

Another important discount is the multi-car discount. If you insure two cars together, you can pay a lower rate than if you insure separately. An insurance policy that buys two or more cars from the same issuer will give you a discount on multiple cars, and some insurance companies may offer discounts as high as 25%. Of course, you should first ask whether the insurance company provides this service.


5. Good Student Discount

This discount is only applicable to full-time students with good grades. Generally, high school or college students need at least a 3.0 GPA or higher. Publishers that offer discounts for quality students will want you to prove your grades to them in some way. These discounts can be up to 25%, and you need to be 25 years old to qualify.

Generally speaking, young drivers pay higher fees. This is why some insurance companies reward good students with discounts, believing that young drivers who are responsible at schools drive responsibly. Statistics prove that this is true.

6. Homeowner Discount

You may be surprised to find that owning a home can provide you with a discount on car insurance. Even if the customer purchases home insurance from another company, the insurance company will provide this discount. The reason is that homeowners tend to be more stable than renters.

If you are a homeowner, you can apply for this discount and combine it with a multi-policy discount for maximum effect.

7. Customer Loyalty Discounts

If you are a long-term customer or hold multiple insurance policies, you can get loyalty rewards. When you transfer an insurance policy to your auto insurance company, you may be eligible for a discount.

Some advice about loyalty discounts that you should pay attention to: Auto insurance companies use a practice called price optimization. They charge higher fees to loyal customers because they are unlikely to change companies.

Therefore, it is important to compare car insurance rates regularly. This is because your final rate at the current company may still be higher, even if a loyalty discount is applied.

Review Your Insurance Policy Annually

Remember to check your car insurance at least once a year, talk to your car insurance company, and ask about other discounts. Although discounts can save you money, always remember to check the total cost. This is much more important than the amount of discount you get.

Remember the last piece of advice: The best way to keep your premiums low is to keep a clean driving record and a good credit score. These two factors can save or spend a lot of money for you.


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