Auto insurance

Understanding Auto Insurance Discount Programs

Let Bill Rowlen safely guide you through the insurance market.

Most of the insurance companies in the market today offer discount programs to their auto insurance customers in the category of telematics. A telematics program is a way to get a bigger discount on your auto insurance policy in exchange for sharing some of your driving behaviors electronically. The idea behind these programs is that if you are a safe driver, you should qualify for a better rate on your insurance. Telematics programs are completely optional and may not be suitable for everyone. They are, however, one of many options to help manage your overall insurance costs. If your agent has not discussed telematics as an option, Connect with us to see how it can save you money on your car insurance.

What are the benefits and why would I want to participate?

  • Safer driving behaviors allow you to obtain greater discounts on your automobile insurance policy.
  • Most companies get a 10% discount just for joining
  • Most programs are temporary
  • Discounts remain valid for the duration of your policy, even if you change vehicles.

What type of discount can I earn?

Most insurance company programs offer at least a 10% reduction in participation for a simple registration. Total discounts can be up to 30% of your annual premium. Most customers end up earning some sort of rebate after a trial period.

Can insurance companies charge me more based on results?

Full Disclosure – Some companies have a surcharge that will be applied if the monitoring appears to have a negative trend. Most companies will also have an opt-out period available. Most customers get some kind of discount.

What driving behaviors do insurance companies monitor?

Most companies will monitor the same set of criteria they have found for safer driving. These factors can include hard braking, hard acceleration, and night driving. Some companies also monitor speeding over 80 mph and distracted driving. They currently do not monitor speed against the posted speed limit.

How long do they monitor my driving behavior?

Most companies have an evaluation period of around 90 days.

Working with families as a trusted insurance advisor is what we do every day. Contact us for an insurance review and to see if any of these safer driving programs are right for your insurance portfolio.

Flury-Hinderks Insurance is an independent insurance agency located in Overland Park and is a trusted advisor to thousands of families in Johnson County. Contact Flury-Hinderks Insurance today for a full insurance review.