Group Membership Car Insurance Discount

A group affiliation discount provides a nice boost to your bottom line by deducting a certain percentage off your car insurance premium based on different eligible groups you belong to. This is one of best car insurance discounts available, as it can provide a discount of up to 20%, depending on your carrier.

Next to a bundling discount and a safe or good driver discount, belonging to a eligible group is one of the highest discounts most insurers offer. In fact, many insurance companies work with certain groups to promote the discount you can receive as a member of that group.

Drivers who belong to certain professional organizations or associations, alumni associations and more that have an agreement with the insurer so members may receive a special discount. This benefits the association by encouraging people to join up so they can receive certain perks and it benefits the insurance agency because drivers in that particular group may decide to buy a policy based on the discount.

How Does an Group Membership Discount Work?

If your carrier offers an affiliation discount for the group you belong to, you simply provide them with proof of membership and they will apply the discount to your premium. This is typically one of the best discounts available. Many insurers limit their customers to a set number of applicable discounts, maybe 3 or 4, so make sure if you qualify for this one, you use it, rather than a lower level discount, such as one for anti-lock brakes, which if offered may be worth 3% off.

It depends on your car insurance policy cost and your insurer. This is one good reason to let an independent agent do some comparison shopping for you to get the best deal on car insurance quotes. As an example, let’s say you are quoted $2,500 as an annual cost for full coverage insurance and you belong to an eligible group, say the American Nurses Association. You are offered a 17% discount because your association is partnered with several major carriers.

Your premium price after the discount will be around $2,075 – a savings of $425. Not a bad deal!

Let’s say on top of that you go for a multi-policy discount – bundling your car insurance and your home insurance together for another great discount. That could be worth another 14% off, meaning your quote drops from $2,075 to somewhere around $1,785.

As you can see, taking advantage of the discounts you qualify for can be quite advantageous.

It depends on where you get your insurance. Although it varies between them as to what affiliations qualify and what the percentage is, most providers offer this type of discount. Some of the groups include:

There is always at least one discount available to drivers who apply for a policy. Even high-risk drivers and those needing cheap DUI insurance may qualify for some type of discount, such as paying your 6-month premium in full.

Aside from taking advantage of discounts, you can structure your policy to make your payments less by increasing your deductible and choosing liability only instead of full coverage. The higher your deductible, the lower your premium, but be careful that you don’t raise it too high and then not be able to pay for necessary repairs.

Choose an independent insurance agent who can help you research available options with different carriers, so you get the policy that best fits your budget and circumstances.