We hear it all the time: “Why are there so many insurance commercials on TV?” In recent years, insurers have begun to spend billions of dollars on advertising every year – all in an attempt to win your business. It feels like a constant onslaught of information about discounts, special features, and other benefits promoted by exaggerated characters in over-the-top scenarios. With so much ‘noise,’ how do you figure out which advertised features are actually right for you? In this two-part post, we’ll address some of the benefits and discounts advertised in these commercials, where you can get them, and what they really mean for you.
Safe Driving Bonus Check
We lead off with the famous Safe Driving Bonus Check from Allstate. This unique feature rewards drivers with a small bonus every six months they remain accident-free. The bonus is typically worth about five percent of the premiums paid for the previous policy, or roughly $30 for a $600 premium. That’s a nice incentive for a driver who obeys traffic laws and rarely needs to file an accident claim.
Of course, Allstate is not just giving away money for safe driving as it may seem. There are rules and requirements for getting a bonus check besides just being accident-free. First, drivers must enroll in the Your Choice Auto Program. They may also be required to have good credit and a pristine driving record. Finally, the program costs extra to be a part of, which could offset some of the bonus.
Besides Allstate, there are many other insurance companies eager to reward you for your safe driving. Many companies offer instant discounts on premiums – no waiting until the end of your policy to get reimbursed. Others may offer special incentives, such as diminishing premiums or deductibles over time. The bottom line is you have options when it comes to safe driving rewards. Talk to an agent here at Glass Insurance Center to explore them.
Bundle and Save
You do everything you can to protect your home, cars, and other valuable assets against damages and loss. If you are already purchasing insurance, Progressive would prefer that you purchase all of it from them in exchange for a discount. Known as the Bundle-and-Save discount, the savings are typically offered to drivers who bundle auto coverage with home, renters, condo, or townhome coverage.
However, Progressive is not the only insurance company to offer this benefit. If you purchase multiple lines of coverage from other insurers, most will offer a discount. In some cases, RVs, boats, and motorcycles may even qualify. Your independent agent can help you compare bundling discounts to determine which may be right for you.
Accident Forgiveness is the next feature we’ll cover, as Allstate frequently advertises it. It promises your premiums will not go up because of a first-time accident. This coverage is considered beneficial for drivers who want to avoid sudden rate surcharges and penalties in the event of a collision. In some cases, this could be especially valuable for policy-holders who are responsible for insuring teen drivers, who tend to be at high-risk of accidents.
Of course, Accident Forgiveness is not provided for free. Allstate charges extra for enrollment in this feature, and the company generally only provides the coverage for drivers who have a clean record and meet other qualifying criteria. Acuity, The Hartford, Progressive, and Nationwide also offer a version of forgiveness for drivers, and Integrity Insurance even offers it for free in some cases after five years or more.
The Discount Double-Check is a marketing term used by State Farm. In the commercials, you may have seen the company promising that its agents will double-check for any and all discounts you may qualify for to ensure you do not miss out on any deserved savings. However, this ‘benefit’ is nothing more than any other insurance company could do for you from their own companies, too. The difference between a State Farm agent and an independent agent, however, is that an independent agent can shop and compare discounts from multiple companies to maximize your savings. State Farm agents can only double-check for discounts from State Farm.
Continue reading part two of our post, Advertised Insurance Features.