Did you know a lot of people pay too much on their auto insurance without even realizing it? It’s common for insurance companies to increase your rate when they know you won’t look around for a better deal.

Although auto insurance companies do offer several discounts, they hardly mention this to their customers. And chances are that you are not even aware of some of these discounts.  Read on to find out where you can pay less on your car insurance premium.

Senior discount

Offered by: State Farm, Liberty Mutual, Farmers

Many insurers give discounts to older drivers with several years of experience. You may want to consider this deal if you are a senior citizen. Liberty Mutual offers a great discount on premiums for people that retired just recently, while State Farm gives discounts to mature drivers in some states.

Eco-friendly car discount

Offered by: Travelers, Farmers, Liberty Mutual

The government reward eco-friendly drivers for selecting a “green vehicle,” and insurance providers are now doing the same. If you own an electric or hybrid car or one that runs on an alternative source of energy, you may qualify for a discount on your auto insurance premium.

Daytime running lights discount

Offered by: USAA, State Farm, Farmers, Geico

Most cars of today use daytime running lights, which turn on automatically when the vehicle is in motion, making sure you are visible on the road all the time. However, many older cars don’t have these automatic lights and need to be switched on manually. By installing these lights on your vehicle, you can save a bit on your auto insurance.

Military discount

Offered by: USAA, State Farm, Geico, Farmers

Some insurance companies provide auto policy discounts to active service members, ex-military personnel, and their family members. After all, these people have gone through a lot to help make our country safe.

Set up by 25 Army officers, USAA offers the best discounts for military personnel.  The company’s deals include up to 60 % off when the car is put in storage and up to 15 % off when you reside in military family housing.

New vehicle discount

Offered by: USAA, Travelers, Farmers, Nationwide, Allstate

If you buy a new or new-ish car, you may qualify for discounts up to 15% if the car is this year’s model or if it is not more than three years old.

Affinity discount

Offered by: Nationwide, Travelers, Farmers, Liberty Mutual, Geico

Some insurance companies reward people, like doctors, nurses, police officers, firefighters, for their hard work. Geico, for example, offers federal government workers discounts of up to 8 % and has a list of over 500 groups that are eligible for these rate cuts. These include sororities, alumni associations, and professional organizations.

Early signing discount

Offered by: Nationwide, Farmers, Allstate, American Family, Travelers.

You may also be eligible for a rate cut if you decide to change your insurance policy before the current one expires. Note that you need to make the switch within a particular period before your policy lapses. However, some insurance companies provide discounts if you don’t allow your current policy to expire before the new one begins.

Homeowner discount

Offered by: Travelers, Nationwide, Farmers, Progressive

You could save on your auto insurance if you have a home or condo.  However, you should know that some conditions might apply. For instance, Nationwide offers Connecticut homeowners a 7 % rate cut on auto insurance if they promise to insure their house through the company within a year.

Airbags discount

Offered by: State Farm, Nationwide, Farmers, Geico, USAA, American Family

Nearly all cars with basic safety features can enjoy this discount. You just need a newer vehicle that has airbags or any other “passive restraint,” e.g., motorized seat belts.

Geico offers up to 40 % off on the personal injury or medical payments part of your car premium if your car has full-front seat airbags. American Family even says that car owners can get up to 30 % off on the total cost of auto insurance policy if they have factory-fitted airbags in their vehicle.

Anti-lock brakes discount

Offered by: Farmers, Geico, State Farm, USAA, Allstate, Liberty Mutual

Anti-lock or anti-skid braking systems help keep your car’s wheels in contact with the road if you suddenly stop while driving. This prevents your vehicle from skidding off the road or causing an accident. Having this safety feature can make you eligible for a 5% rate cut on your auto insurance.

Anti-theft discount

Offered by: USAA, State Farm, Allstate, Farmers, Nationwide, Progressive, Liberty Mutual, Geico

Comprehensive auto insurance provides coverage for all kinds of loss that is not related to accidents, and that includes theft. If you install an alarm system in your card to mitigate the risk of your car being stolen, insurance companies are going to offer you a discount of up to 25% discount on your premium.

Low mileage discount

Offered by: Allstate, Progressive, Farmers, Nationwide, USAA, State Farm, Liberty Mutual, American Family

The more you drive, the more likely you are to have an accident. This is the reason why most insurance companies reward drivers who don’t travel long distances. To know your mileage, insurers may need to track your driving habits, either using a device installed on your car or an application on your smartphone. Most insurance providers have “telematics” tracking programs for interested car owners.

Full-payment discount

Offered by: Geico, Allstate, Farmers, Progressive, Nationwide, Travelers, Liberty Mutual, American Family

Do you get charged a “billing fee” on each invoice? It is annoying that many insurers charge some sort of admin fee every time they give you a statement. However, a lot of them also provide a price cut if you want to pay the full 6-month cost of your insurance policy in advance, rather than in installments. You can save close to 10% by paying upfront.

Defensive driver discount

Offered by: Farmers, Geico, Travelers, Nationwide, Allstate, USAA, State Farm, American Family, Liberty Mutual

Your insurance provider may reward you if you undergo a defensive driving course. The class may not cost more than $25, and you can easily see one online or in a driving school close to you.

Multiple policy discount

Offered by: Farmers, Allstate, Geico, Nationwide, Progressive, Travelers, USAA, State Farm, Liberty Mutual, American Family

Generally, the more insurance policies you purchase, the more money you will save. For instance, State Farm says clients can get up to 17% discount on car insurance premiums if they also buy life, renters, or condo insurance through their company.

Good student discount

Offered by: Nationwide, Allstate, Progressive, American Family, State Farm, Travelers, Farmers, GEICO, USAA, Liberty Mutual

If you are a student or have a student with good grades, you can get up to 25% off on their part of the policy.  Students with a B average or higher are considered more responsible and less likely to be involved in an accident.

Good driver discount

Offered by: Progressive, Nationwide, Allstate, Farmers, Travelers, USAA, Liberty Mutual, State Farm, Travelers, GEICO, American Family

This is definitely one of the best discounts offered by auto insurance companies. Some insurers provide rewards for good driving after 3 years, while others reward you after 5 years of driving without any accidents. Liberty Mutual gives up to 30 % rate cut for the life of your insurance policy if you show safe driving habits during 3 months of electronic tracking. Geico, on the other hand, offers up to 26 % discount on most policies for those that drive safely.