We’re back this month with part two of our post covering Advertised Insurance Features.
Safe Driving Bonus Check
The Safe Driving Bonus Check is up next, and it is one of the more frequently advertised features by Allstate. This benefit is designed to reward drivers for being accident-free by sending them a check every six months. While the commercials feature drivers bragging about what they will buy with their next check, these bonuses are typically rather small, equating to about five percent of the premiums paid over the previous six months. To give you an idea, that is about $30 twice a year for a policy that costs $100 per month.
Of course, not all Allstate customers will qualify for a Safe Driving Bonus Check. The company implements certain restrictions on who is eligible, requiring a good driving history and good credit. Furthermore, drivers must enroll in the Your Choice Auto Program at an additional cost, which could offset part of the bonus.
Besides Allstate, alternative safe driver benefits exist from other companies, too. Though the incentive may not come in the form of a check every six months, you may instead receive an instant discount on your premiums or the option to enroll in a program that lowers your premiums or deductibles over time. Talk to an independent agent here at Homewood Insurance for more information and to explore your options.
Accident Forgiveness is the topic of another Allstate commercial, although the coverage is actually available from a wide range of insurers. Companies like Acuity, Progressive, The Hartford, and Nationwide all offer their own version of accident forgiveness, which assures your insurance rates will not go up because of a first-time accident. Integrity Insurance also offers a forgiveness policy, and it is free to eligible drivers after five years or more.
Accident Forgiveness can be beneficial for policy-holders who want to hedge against unexpected penalties and surcharges. It can also be advantageous for people with teen drivers on their policies, as the risk of an accident is higher among youth. If you are interested in adding Accident Forgiveness to your insurance policy, contact an agent here at Homewood Insurance for a quote.
Name Your Price Tool
Next, we come to the Name Your Price Tool, which is often promoted in Progressive Insurance commercials. This is a self-service tool that allows users to learn better how various changes in coverage can affect the cost of car insurance. Usually, Progressive starts off by providing a quote for recommended coverage, and then the user has the option of changing certain features or increasing or decreasing the coverage to achieve the targeted price.
Although the Name Your Price Tool is designed to save drivers money on car insurance, it also creates an opportunity to prioritize price over quality of coverage — something that could be very dangerous in the event of an accident or major loss. Without an agent to assist, it’s easy for drivers to build policies that contain major gaps in coverage.
Instead of jeopardizing your financial future, we recommend working with an independent insurance agent who can optimize your car insurance savings without sacrificing the quality of your coverage and benefits.
Bundle and Save
As we finish out this post, we come to another famous discount — the Bundle and Save discount from Progressive Insurance. Praised as a way to save money on insurance, the Bundle and Save discount is available to drivers who also purchase home, renters, condo, or townhome insurance from Progressive.
In addition to Progressive, many different insurance companies offer savings and discounts for loyal customers who purchase multiple lines of coverage. The savings for bundling can be significant, too, lowering premiums by as much as 15 percent or more. Depending on the insurer, discounts may be available for bundling home and auto, as well as other lines of coverage like RV and motorcycle insurance.
As your insurance agent, we want to give you the tools and information you need to make educated decisions about your policy. We want our customers to come to us for clarification about the different insurance features being advertised on TV. We’ll help you sort through the ads to determine which features are right for you.