Do Insurers Offer Auto Discounts for High-Tech Safety Features?

The number of high-tech safety features on new vehicles has mushroomed in the past few years.   Here's a partial list:
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• back-up sensors
• blind spot warning
• adaptive cruise control
• lane departure warning
• driver alertness warning
• collision-avoidance systems
• automatic emergency braking

Do insurers offer discounts for these newer auto safety features?

Most insurance companies don't provide premium discounts for these safety features.  Here are a few reasons why:

1)  They haven't seen enough data to prove these features lower accidents and claims.
2)  Even if data show these features reduce accidents and claims, the vehicle costs more and is more expensive to repair when claims are filed.
3)  There is still driver error to consider, regardless of safety features.
4)  Certain safety features only affect a certain part of the insurance premium not the whole premium.  For example personal injury protection (PIP) is only required in 15 states, so for those states not requiring it, a discount in that area of your premium is not applicable.

Once more substantial data are available to demonstrate a reduction in accidents, it's anticipated that insurance companies will offer more savings through safety discounts.

This is a good reason to check with your local independent insurance agent periodically to see which carriers are leaders  in offering these discounts and how significant they are. 

Have questions?   Call me today at 706-726-1446.