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Top Car Insurance Discounts Revealed: How to Get Them [Updated]

March 29, 2016

Top Car Insurance Discounts Revealed Feature Image

Discounts are a great way to save money on auto insurance, but many people aren’t aware
of the many discounts available and how to qualify for them. Are you missing out on the car insurance discounts you deserve? These top discounts can save you a lot of money and qualifying for them is easier than you think.

Multi-Policy Discount

You may already know that insuring more than one car with the same company can save you some money, but multi-policy discounts go beyond having two cars under one policy. You can get a discount on your car insurance and your home insurance when you have both with the same insurance company (also known as “bundling” policies).

  • This discount isn’t exclusive to a home and auto policy combination. Depending on the insurer, an insurance policy for your motorcycle, RV or snowmobile could even net you some savings.

Loyalty Discount

Most insurance companies offer discounts to customers who have stayed with them for a long time. If available, this discount typically will save you about five per cent.

  • Did you know? On average, InsuranceHotline.com shoppers save up to $700 after shopping their car insurance rates. For most people, this savings is way more than the 5 per cent loyalty discount you may be getting from your current insurance provider. Compare auto insurance rates today to see if you could save more.

Good Student Discount

It’s true that new, young drivers can be expensive to insure, but a young driver can easily save money by hitting the books. Some insurance companies offer a “good student” discount. It may apply to college and university students as well, and simply requires that the student maintain a specific average and provide transcripts as evidence.

Safety Features Discounts

Some car insurance companies will reward you for having a car with factory-installed safety features (like anti-lock brakes and airbags), while others may offer discounts for after-market items like approved anti-theft devices.

Each insurance company is different, so it’s important to ask what features or devices may earn you a discount, and let your insurance company know when you have added something to your car to make it safer.

Good Driver Discount

Driving safely and obeying the rules of the road is a good idea even without a discount incentive. But some car insurance companies will give you a discount for keeping a clean driving record for a set number of years, without claims or convictions. In some cases, this discount may increase over time as you continue to maintain that record. If you don’t see this discount on your policy, ask your insurance professional if you are eligible. It may be worked into your rate and just not listed as a specific discount on the policy.

Other Possible Discounts

Of course, there are more than just the five discounts listed above that can help you save money on your auto insurance premiums, including:

  • Age Discount: Some insurers award discounts at certain age milestones – particularly at age 25 for younger drivers, and there are often discounts for older drivers and retirees on pension too.
  • Driver Training Discount: With this discount, new drivers who’ve completed a registered driver training course usually recoup the cost of the course in the first year, and subsequently save a significant amount of money.
  • Hybrid Vehicle Discount: Some companies will reward drivers who opt for an eco-friendly ride.
  • Low Mileage or New Car Discount: Some insurance companies offer a discount if you purchased or leased your vehicle new, or as a demo model with less than 3,000 kilometres. You could also receive a discount if your annual mileage is low.
  • Winter Tire Discount: Discounts may also be available for those who change all four of their tires to winter-specific tires designed for driving on ice and snow.
  • Usage-Based Insurance: If available, this discount requires you to install a telematics device that collects data to analyze your driving habits (kilometres driven, braking and acceleration patterns, etc.)

Getting discounts on your insurance policy is often as easy as asking if you qualify for them and making sure they’re being applied to your policy. There are many other discounts available as well, so make sure you talk with your provider and ask them what discounts they offer. Another option, is to compare car insurance rates to see what discounts you can get from the more than 30 insurance providers featured through the InsuranceHotline.com network.  Compare auto insurance rates today to see how much you could be saving.

  • Maria

    I have two cars and a home insure with the same company for three years, primus are going up, there are other companies that offer me less expensive primus; i decide to take out the insurance of the home, leaving the two cars with the same company ,because already paid the full amount of the premiun for the year, however, i decide to take out the insurance of the home which is due after three month from the date of he insurance of the car, with this lapse of time i have the chance to get a quotation from another company which is less expensive, would i have to pay back the discount applied to the car insurance.? if the home insurance is withdrawn. I like to hear from you. Thank You.

  • Nick – InsuranceHotline.com


    You are best to ask your insurance broker or agent. Each insurance company has their own rules and rates so I don’t know your company will remove the discount.

  • David

    Loyalty, longevity? I had a policy with an insurer for 30 years and never made a claim. I calculated that I paid in enough to buy a brand-new car at today’s prices. At renewal time the other year, they raised my rates by about 27%. I asked for a discount on the basis of longevity/loyalty. They wouldn’t even consider it. I found another insurer. I don’t trust insurance companies one little bit and certainly don’t expect anything like humane policies from them.

  • Pablo

    I am paying $220 a month to insure a little Toyota Echo and I realize this is because my driving license in Canada is from year 2000 only.
    However, I have been driving long before in other countries…….
    I wonder what provinces in Canada are more suitable regarding low insurance to live in, because, nothing in particular ties me to Ontario.
    Thank you and have a nice day.

  • Ken

    I test the market annually and I have found that there is little reward for longevity or loyalty. It seems all companies use the same system and excuses to raise rates. I have no driving record, and no claims and my rates continue to increase. I feel I am constantly being asked to pay for the experience of others. Very frustrating, but it seems the key focus is to continue to raise rates and reduce coverage.

  • Nick – InsuranceHotline.com


    You can check with the Insurance Bureau of Canada to see what provinces have the lowest rates. Their website is http://www.ibc.ca.

  • Sharon

    I agree with comments above. I have no tickets, accidents, etc. and am over 50 years old with over 30 years driving experience , a new vehicle with a lot of safety features. My agent can never come up with a legitmate reason for the increases . I believe loyalty is a catch phrase and only pertains to the insurance company for keeping their clients. Also, I found a small difference only by keeping my deductible to $500 instead of $1000.

  • Don

    I am considering the purchase of a new car. Is there a list of vehicles by year, make and model somewhere that will give me which are the cheapest and the most expensive to insure. I realize you can’t give me a dollar amount.

  • Nick – InsuranceHotline.com

    The Insurance Bureau of Canada has a feature called “how cars measure up” this should help you decide. Here is the site. http://ibc.ca/en/Car_Insurance/Buying_a_New_Car/HCMU.asp.

  • Dzenga

    Pablo, in BC you will pay based on your experience ,age,and your driving history probably 45% off.Alberta is terrible with the insurance Companies.They are Son of the bitches here.Even if you cancel a policy ,next time you want to insure a car….they start you over with the highest insurance again! They are money hungry M F…..rs here

  • John Boyt

    I have experienced that once they get you as a customer then the rates start to climb and then you head back here to search for another. Plain and simple, they want MORE of your money and depend on your laziness not to spend time looking for a better deal.