Car insurance can be a significant expense, but in 2024, there are numerous ways to save through a variety of discounts offered by insurance companies. While each provider offers its own set of discounts, there are several common ones that most drivers can take advantage of to reduce their premiums. These discounts reward good driving behavior, bundling, specific vehicle features, and more. Here’s a breakdown of the top car insurance discounts you can get in 2024.
Safe Driver Discount
One of the most common discounts offered by insurance companies in 2024 is the safe driver discount. If you have a clean driving record with no accidents or traffic violations for a certain period (usually three to five years), you can qualify for this discount. Some companies may even offer higher discounts for drivers with longer periods of safe driving. The exact discount varies by insurer, but it can save you anywhere from 10% to 30% on your premium.
In 2024, many insurers are also using telematics devices or mobile apps to monitor your driving habits in real time. These tools can track factors such as speed, braking, and mileage. Drivers who exhibit safe driving behaviors can earn additional savings on top of the traditional safe driver discount.
Bundling Discount
If you’re looking to save even more on your insurance in 2024, consider bundling multiple policies with the same company. Bundling discounts apply when you purchase more than one type of insurance from the same provider, such as home, renters, or life insurance along with your auto policy. This can lead to significant savings—often between 10% and 25% off your premiums.
Many companies actively encourage bundling because it increases customer loyalty, and it’s one of the easiest ways to lower your insurance costs. Be sure to ask your provider about potential savings if you already have multiple types of coverage with them or are looking to add more.
Good Student Discount
For younger drivers, particularly students, car insurance premiums can be quite high. However, in 2024, many insurance companies offer discounts to students who maintain good grades. The reasoning behind this discount is that students who perform well academically tend to be more responsible drivers.
To qualify for the good student discount, insurers typically require that the student be enrolled full-time in high school or college and maintain a certain grade point average, often a B (3.0) or higher. This discount can reduce premiums by as much as 20%, making it an important factor for families with young drivers.
Low Mileage Discount
If you don’t drive much, you could qualify for a low mileage discount in 2024. Insurers base this discount on the idea that less time on the road reduces your chances of being involved in an accident. Most companies offer this discount to drivers who travel fewer than 7,500 to 10,000 miles per year.
Some insurers use telematics or odometer readings to track your mileage and apply the discount accordingly. Whether you work from home or use public transportation regularly, this is a great way to save if your car stays parked for most of the week.
Vehicle Safety Feature Discounts
In 2024, cars are becoming increasingly equipped with advanced safety features, and insurers are offering discounts for vehicles with these technologies. If your car has features like anti-lock brakes (ABS), airbags, electronic stability control, or automatic emergency braking, you may be eligible for a discount. Additionally, modern vehicles with adaptive cruise control, lane departure warnings, and blind-spot monitoring can also qualify for lower rates.
These safety features reduce the risk of accidents and injuries, which in turn lowers the likelihood of the insurer having to pay out on claims. As a result, companies offer discounts to incentivize drivers to choose safer vehicles.
Anti-Theft Device Discount
Cars equipped with anti-theft devices can also earn you a discount on your insurance premium in 2024. Insurers recognize that cars with alarms, immobilizers, GPS tracking systems, and steering wheel locks are less likely to be stolen, so they reward drivers who take steps to protect their vehicles.
The discount you receive can depend on the type and effectiveness of the anti-theft device installed in your car. For example, passive devices that automatically engage when you leave your vehicle may offer higher discounts than manual ones. This discount can range from 5% to 20%, depending on the insurer.
Pay-in-Full Discount
Many insurance companies offer a discount if you pay your entire premium upfront, rather than in monthly installments. In 2024, the pay-in-full discount can save you up to 10% on your total premium. Insurers provide this discount because it saves them administrative costs associated with billing and reduces the risk of missed or late payments.
If paying your premium in full is financially feasible, this is a simple way to lower your insurance costs without needing to change your coverage.
Multi-Vehicle Discount
If you have more than one car in your household, you can often save money by insuring all of them with the same provider. The multi-vehicle discount applies when you insure two or more vehicles on the same policy, and it can save you up to 25% on your premiums in 2024.
To qualify, all vehicles must be registered at the same address and owned by the same person or family members. This discount is particularly useful for households with multiple drivers, as it allows for easy management of all policies under one account while also lowering costs.
New Car Discount
In 2024, many insurers offer discounts for drivers of new cars. New vehicles are less likely to break down and often come with the latest safety features, making them less risky to insure. If you’ve recently purchased a new vehicle, you could save up to 15% on your insurance premium with this discount.
Some insurers may define “new” as a car purchased within the last one to three years, so it’s worth checking with your provider to see if your car qualifies. Additionally, some insurers offer discounts for hybrid or electric vehicles, recognizing the environmental benefits and reduced fuel consumption associated with these cars.
Defensive Driving Course Discount
Completing a defensive driving course is another way to reduce your car insurance premiums in 2024. Many insurers offer discounts to drivers who voluntarily take these courses, which teach safe driving techniques and can refresh your knowledge of road rules.
The discount you receive for completing a defensive driving course typically ranges from 5% to 10%. In some states, taking a defensive driving course can also help reduce points on your driving record, further benefiting your insurance rates.
Telematics-Based Discounts
As telematics technology continues to evolve, more insurance companies are offering discounts based on your actual driving behavior rather than demographic factors like age or location. In 2024, insurers increasingly use telematics devices, which monitor your driving habits in real-time, to determine if you qualify for additional savings.
If you consistently demonstrate safe driving habits—such as maintaining steady speeds, avoiding hard braking, and limiting nighttime driving—you could see significant reductions in your premiums. Telematics-based discounts can range from 5% to as much as 40% depending on your driving record and insurer.
Loyalty Discount
While shopping around for new policies is a good way to find competitive rates, some insurance companies reward long-term customers with loyalty discounts. In 2024, loyalty discounts can save you up to 10% if you’ve been with the same insurer for several years.
However, it’s essential to balance loyalty with the potential benefits of switching providers. In some cases, new-customer discounts from other insurers might outweigh the savings from staying with your current provider.
Conclusion
In 2024, there are more ways than ever to save on car insurance through discounts that reward safe driving, low mileage, vehicle safety features, and more. By taking advantage of these discounts, you can lower your premium while still maintaining the coverage you need. When shopping for car insurance, be sure to ask about all the discounts you may qualify for, as some might not be automatically applied to your policy.
