Does My Job Qualify for an Insurance Discount?
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Jobs that get car insurance discounts include educators, first responders, engineers and many others. As an added bonus, some insurance companies mark drivers with these occupations as low-risk and may charge lower premiums as a result. Learn about the other professions that qualify for special discounts as well as information about occupations that tend to yield higher insurance rates.
Which Jobs Offer Car Insurance Discounts?
There are several professions that may garner discounts that lower car insurance premiums, with some discounts being as high as 25% depending on your vocation.
Many car insurance companies offer discounts to college professors and school teachers. For example, Country Financial (CF) provides up to a 10% discount for full-time K-12 teachers in 16 of the 19 states CF covers.
There may also be other benefits available to our educators. Liberty Mutual Insurance, for instance, does not require teachers in certain states to pay a deductible for vehicle vandalism on school property or during school-related events. Also, a collision that occurs while driving for school-related business won’t necessitate a deductible in certain states either. In addition, teachers enjoy up to $2,500 of coverage for personal teaching materials or school-owned property stolen or damaged in the teacher's vehicle.
2. Medical Professionals
An auto insurance discount for nurses, doctors, medical technicians and other medical professionals may be available with some insurance carriers. This is attributed to the high level of education. Consider for example, that someone with a high school diploma will pay around $300 more than a high school dropout for car insurance. That same metric can apply to someone with a higher education.
3. First Responders
First responder car insurance discounts may be available to police officers, firefighters, paramedics and EMTs. Country Financial in particular applies a 5% to 10% discount for first responders in several states. Insurance companies recognize the rigorous training and disciplined nature of these professions, which often correlate with safe and responsible driving. Additionally, the community service aspect of their work often prompts insurers to offer discounts as a gesture of appreciation.
Engineers, known for their precision and analytical approach, are often favored by insurance companies for discounts. For instance, engineers living in California can save up to 7.4% on their auto insurance through AAA.
Lawyers can receive car insurance discounts. For example, American Bar Association (ABA) Insurance has teamed up with Travelers to offer exclusive savings on auto coverage for lawyers. Insurers perceive lawyers as individuals who are likely to be well-versed in the ramifications of reckless driving, both legally and personally. This understanding presumably makes them more cautious and law-abiding drivers.
6. Math and Science Professionals
Individuals in math and science-oriented careers, such as statisticians, scientists and researchers, may be eligible for car insurance discounts. Again, scientists with AAA can receive a similar discount to engineers in California. Their typically analytical approach to problem-solving may extend to their driving, making them less prone to accidents.
7. Military Personnel
Active and retired military personnel are often eligible for discounts on car insurance. GEICO offers several discounts for military personnel, including a 15% military discount and up to 25% off for emergency deployment. Other insurance companies such as Kemper, Liberty Mutual and Farmers also provide military discounts, although the specific discount rates are not detailed.
What Occupations Get the Cheapest Car Insurance?
In general, insurance companies charge lower car insurance premiums for drivers with advanced degrees because they are less likely to file a car insurance claim. So, if you’re a scientist, teacher, judge or hold some other occupation that requires a higher education, then you will likely pay lower premiums. In fact, Consumer Reports conducted a study and found that some major insurance carriers quoted $62 to $101 more per year for less educated applicants than those with more education.
Which Jobs Have the Highest Car Insurance Rates?
It’s difficult to pinpoint which specific professions will yield higher auto insurance rates, although those who commute at late hours, long distances to get to work or those without advanced degrees generally pay higher premiums. For instance, bartenders and restaurant staff, with their late working hours and their proximity to alcohol in many instances, could result in higher car insurance rates.
Does Occupation Affect Car Insurance Rates?
For instance, jobs that require late-night travel might be considered higher risk, leading to higher premiums. Conversely, occupations perceived as low-risk, such as teachers or scientists, might benefit from lower insurance rates.
What Other Factors Affect Car Insurance Rates?
Occupation is only one factor that can affect your car insurance rate, so even if you don’t have the best job when it comes to car insurance (at least when it comes to price), you can find ways to lower your premium in other ways such as:
- Driving record: A clean driving record typically results in lower rates, while accidents, speeding tickets and other traffic violations can increase premiums.
- Credit score: In many areas, a higher credit score can lead to lower insurance rates. Insurers view a good credit score as an indicator of responsibility.
- Age and gender: Younger drivers, especially males under 25, usually have higher rates due to their higher risk of accidents. Rates tend to decrease as drivers age and gain experience.
- Location: Rates vary by location due to factors like traffic density, crime rates and the likelihood of accidents or natural disasters.
- Vehicle type: The year, make and model of your vehicle can impact rates. High-performance or luxury vehicles often cost more to insure, while more economical vehicles may be cheaper to insure.
- Annual mileage: The more you drive, the higher the risk of an accident, so higher annual mileage can lead to higher premiums.
- Insurance history: Having a lapse in coverage or a history of claims can lead to higher rates.
- Marital status: Married individuals may receive lower rates than single drivers, as they are statistically less likely to be involved in accidents.
- Coverage level and deductibles: Choosing a higher coverage limit and a lower car insurance deductible typically results in a higher premium.
- Other discounts: Eligibility for various auto insurance discounts (e.g., multi-car, good driver, student discounts) can lower rates as well.