It’s a new year and we’re busy writing new policies over here at MassDrive, but we want to make sure that you know what discounts you could be getting so you can save as much as possible!  There are many discounts available however the percentage that you can save does vary by carrier and is different for everyone, however there is an average range that most companies use and we’ve come up with the following breakdown of discounts:

  • Companion Policy Discount:  This is typically the largest discount you can get on your auto and homeowner’s policies and you get it simply by having your auto and homeowner’s insurance with the same carrier.  You can also receive this discount with renter’s or condo policies as well!  This discount can save you up to 10% on your auto policy and up to 20% on your homeowner’s, renter’s or condo policy!  Some (not all) companies even offer you a discount if you have your auto policy with them and a homeowner’s policy elsewhere, however this discount can only be applied to homeowner’s policies (not renter’s or condo) and is much smaller, typically only up to 4%.
  • Good Student Discount – This discount applies to both high school and college students and can usually save you about 10% on your auto policy but can even get as high as 15%!  However, there are some stipulations; the student must be full time and have a GPA of 3.0 or higher.  The other catch is that they have to have less than 6 years of driving experience to be eligible.  If you’re a student with your own policy or are a parent with a student on your policy, definitely ask your agent about the good student discount!  If you meet the requirements, it’s an easy way to save big bucks on your policy!
  • Low Mileage Discount – The less you drive the more you save!  The discount you can get varies and is broken down into tiers based on your annual mileage.  You can typically get the biggest discount (up to 12%) if you drive less than 7,500 miles.  After that the next tier is 7,501-10,000 miles, then 10,001-12,500 miles, but if you drive over 12,501 miles you won’t receive a discount from most companies.  The discount gets lower as you move past each tier but is a great way to save!
  • Pay In Full Discount – This one is pretty self explanatory, if you pay your auto premium in full you can save up to 5%!
  • AAA Discount – If you’re a AAA member you are eligible for up to a 5% discount with most insurance companies!  AAA is a great service to have, you never know when the unexpected may occur and you may need a tow, which can be pretty expensive if you have to pay for it out of pocket.  Getting the discount is simple, you just scan a copy of your membership card and send it over to your agent and the discount can be applied.
  • Advanced Issue Discount – This discount is a great incentive to start shopping early for insurance!  If your policy is issued at least 7 days before the coverage become effective, you can save up to 5% on your policy!
  • eDocument Discount – Receiving your policy documents electronically can get you up to 5% discount on your policy!  Go green while saving yourself some green!
  • EFT Discount – This typically goes hand in hand with the eDocument discount, but you don’t necessarily have to have both.  EFT (electronic funds transfer) allows the carrier to take your monthly payment directly from your bank account, and it can save you about $60 per year!  If you choose to remain on a standard payment plan where the bills are mailed to you, most companies charge a $5-$6 installment fee each payment (most policies typically have 10 payment installments), so the savings can really add up if you’re on the EFT payment plan which may charge a minimal to no installment fee.
  • Multi-Car Discount – If you have more than one car, you can save up to 8% by having all of your vehicles on one policy.
  • Good Driver Discount – This is offered to drivers that have a good driving record and varies from case to case.  It is based on your SDIP rating, or how many points you have on your record and can be one of the biggest discounts available to drivers depending on your record.

Next time you’re shopping for insurance, give us a call at MassDrive!  All of our agents are extremely informed and will make sure you are getting as many discounts as possible!

Photo By: sunshinecity