20 Car Insurance Discounts You Need to Know About Now

If you have a car, then you’re legally obligated to buy car insurance in almost every state. And as the cost of everyday expenses continues to increase, more consumers are trying to find easy ways to save. One way to do that? Maximize your savings on car insurance.

You may be eligible for several discounts that you don’t know about. Read on for the most popular car insurance discounts that you might qualify for.

Most car insurance companies will charge a lower rate if you insure two or more cars with them.

If you have multiple types of policies with one insurer, they will often give you a multi-policy discount. For example, bundling your auto and home insurance can potentially save you a lot of money.

If you have a child who is listed on your car insurance, you may be able to get a discount if they maintain a certain GPA. The minimum GPA required usually depends on the car insurance provider, but is often a 3.0 average or higher. You may have to send in a report card every year to maintain this discount.

There is a basic rule that applies to most types of insurance: the lower your deductible, the higher your premium. If you have high premiums, then you may have a low deductible. Increasing your deductible will result in lower premiums.

Many warehouse clubs, like Costco, provide better deals on car insurance if you’re a member. Go to the warehouse club’s website and log on to see if there are available car insurance deals.

If you have not had a car accident in several years, you may qualify for a special discount. Some insurance companies will also give you a freebie, so even if you do get into an accident you can still keep your accident-free rating.

If you don't use your car often, you may qualify for a low mileage discount, which kicks in if you drive less than 7,500 miles per year. You may have to submit mileage records to keep this discount. You can save up to 30% if you qualify.

If you currently pay your car insurance every month, you may be able to save money by paying your premium once or twice a year. Some companies charge a significant fee if you pay your insurance once a month. You can transfer the amount you need to a high-yield savings account, so you can earn interest on that amount.

If you’re currently in the market for a new car, make sure to get quotes for car insurance before picking a vehicle. Not all cars will cost the same in insurance premiums, and the difference can be worth hundreds or even more in savings per year. Some cars that are popular targets for car thieves may be much more expensive to insure.

Using the same company for multiple years can result in a loyalty discount, which can be worth up to 20%. However, don’t be afraid to shop around car insurance providers every six months or so just to make sure you’re still getting the best available deal.

If you have an auto loan, you may be required to purchase a certain amount of car insurance. Once your car loan is paid off, you may be able to drop your coverage and save on your premiums. Just make sure you can still afford your deductible.

Many insurance companies will offer a discount if you install one of their trackers in your car. Just be aware of what it will monitor, such as driving too fast, suddenly braking or not wearing your seatbelt. Observing road rules will also help you avoid accidents and may even save you money in fuel costs.

Members of the military, either current service members or veterans, may qualify for a special discount. Ask your provider if you qualify. Some military-only credit unions may also have special car insurance rates.

If you're a first responder, like a firefighter, police officer, or paramedic, you may qualify for a special car insurance discount. This is often worth between 5% and 10% off your monthly premium. You may have to provide a current form of identification to prove your status.

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AAA can offer lots of benefits to drivers, like roadside assistance and special deals with other companies. It may also provide you with discounts on car insurance. This discount can be worth between 5% and 30% of your premium, depending on the specific deal.

Completing a defensive-driver course can easily result in huge cost savings on your car insurance. These types of courses are not available to everyone. Call your insurance company and see if you qualify.

If you're a federal employee you may qualify for a special car insurance rate. If you already have car insurance, ask your provider if you’re eligible for a special deal.

New cars are built with the latest safety features that can help prevent car accidents or minimize injuries and damage. If you buy a car that was made within the last year or two, you may qualify for a new car discount on your insurance. Sometimes this discount can be as high as 20%.

Driving a hybrid or electric car can come with a lot of savings in terms of gas, but it may also save you on insurance premiums. If you drive a car that uses alternative energy, you may be able to save on your premiums.

Car insurance doesn’t just pay out when you have an accident — it also pays out if your car is stolen. You can install anti-theft devices to discourage or prevent thieves from stealing your vehicle. Not only will this save you time and hassle, it can also help you save money on car insurance.