California state law requires insurance companies to offer at least a 20% discount to all drivers who have been continuously insured for at least. Most insurers offer this discount if you have multiple vehicles insured with their company. Some companies, such as Progressive, allow you to add vehicles that you don't own to your policy, as long as they're parked at your address. The best way to save money on car insurance is to lower your base premium by taking steps to reduce your risk as a driver.
While new cars, vehicles with safety add-ons, and electric vehicles can be expensive, you can help offset the cost with a discount from your insurance company. Allowing an insurance company to track your actual driving habits, usually through a device connected to your car or a smartphone app, can offer substantial savings. For example, Allstate offers discounts for new cars if the driver is the first owner of the car and the vehicle is a current model from the year or a previous year. If you can otherwise drive without insurance, getting the minimum amount of car insurance coverage required in California is better than nothing.
Four of the 10 largest insurance companies offer passive restriction discounts, and the requirements are generally the same among insurers. You can save on premiums if an insured student attends school at least 100 miles away and doesn't have access to the insured vehicle. Auto insurance discounts are special offers from insurance companies that allow drivers to save up to 35% on their annual premium. If you can afford it, seriously consider paying for coverage that is stronger than the minimums required by California auto insurance laws.
Drivers in California face multiple penalties if they catch you driving without at least the minimum car insurance required by state law. You may be eligible for a discount on your car insurance if you own a home or condo, even if you insure it elsewhere. For drivers who insure a car they just purchased, a new car discount could be offered to reduce the cost of the premium for physical damage coverage. You'll save on premiums with most insurance companies if you can show that you've had insurance for the previous six months.
These are the most common discounts among insurers and represent a significant part of consumers' savings on auto insurance rates.
