The Best Cheap Car Insurance
for Veterans 2021
TLTR: Car insurance for veterans is essential when you have a military background. This article will discuss what types of car coverage may be best for veterans who have served their country honorably or had honorable discharges.
The insurance needs of every individual can be different based on their lifestyle. So, standard car insurance isn’t going to apply to every individual. Similarly, military service members also have unique auto insurance needs, which primarily revolve around not using their vehicles while on duty or deployed overseas.
With that in mind, various car insurance companies provide unique car insurance plans for the patriots in military service and retired veterans. Let us dive into more detail regarding these special coverages.
In this blog
- What Coverages Are Important for Veterans?
- Why Is Car Insurance Different for Military Veterans?
- Factors That Affect Car Insurance Costs for Veterans
- 7 Tips for Veterans to Save Money on Their Car Insurance
- Where To Get the Best Car Insurance for Veterans?
- In Conclusion
- Frequently Asked Questions (FAQs)
What Coverages Are Important for Veterans?
Military veterans require the same type of coverage as any other person. Here are some of the coverages that are necessary for military members.
Comprehensive insurance covers injuries and damage to your vehicle that result from a variety of occurrences. These include but are not limited to:
- Weather damage (including rain, hail, and snow)
- Falling objects (shattered glass, concrete blocks, construction debris)
- Theft & vandalism
- Accidents that involve animals
Collision insurance covers damage when your vehicle is involved in an accident. Such situations include:
- Crashes with other vehicles
- Being the victim of a hit-and-run
- Driving into stationary objects such as stop signs or light poles due to error or unfavorable driving situations
Uninsured motorist coverage covers the cost of property damage and bodily injury in an accident if another driver is at fault and doesn’t have insurance.
Underinsured motorist coverage covers the expenses due to an accident in which the driver at fault has car insurance, but their insurance limits are insufficient to cover the damages.
Bodily injury liability covers any injuries you inflict upon people in an accident.
Property damage liability covers damage to third party property such as their vehicle due to your actions.
Of course, you can add additional coverages as per your requirements. You can consult with your insurer and gain a better understanding of your coverage needs.
Why Is Car Insurance Different for Military Veterans?
Standard car insurance for an average joe and a military veteran is pretty much the same. But, if you or any of your family members have served in the military, then you could be eligible for discounts.
This car insurance plan for military veterans is unique. Why? Because such car plans meet the needs of those who have served in the past. The main focus of these car insurance programs is protection from roadside hazards, along with lower premiums and reduced rates.
Many insurance companies offer discounts and lower rates for veterans as well as active-duty members. For example, some companies may offer a discount if you don’t use your car while on duty or deployed overseas. They also might provide coverage for driving any family member’s vehicle when they cannot drive themselves due to injury or other reasons.
Some car insurances even provide additional benefits like discounts towards homeowners insurance as well as life and health coverages for veterans.
One of the most common instances between military members is storing their vehicle while being deployed. When you have to be on duty, you will need to store your car away. Without the right coverage from the right insurer, you might end up paying a higher monthly premium for not using your vehicle. And that’s not a good for your finances. In such cases, you should hold less coverage to keep your car safe. This will help bring down your monthly bill.
Furthermore, being in the military also makes you eligible for a VA loan. It’s a type of mortgage you get through the Department of Veterans Affairs Program. This has some benefits that can result in you not paying premiums during deployment and after discharge from active duty.
Factors That Affect Car Insurance Costs for Veterans
The car insurance rates for military veterans are typically lower than nonveterans because they have fewer accidents and violations and a higher credit score, which all come together to make an excellent driving record.
But besides that, just as your standard car insurance, the cost veteran or military auto insurance also depends on certain factors:
- Driving record
- Vehicle type
- Marital status
- Credit history
There can be certain additional factors depending on your insurer as well. Ask your insurance provider for any additional elements that could affect the cost of your coverage.
7 Tips for Veterans to Save Money on Their Car Insurance
As a veteran or a service member, you have special insurance needs such as storing your vehicle while on deployment or taking vehicles registered in one state to another. With such needs in mind there can be instances where you need to give extra attention. And these needs are well understood by insurers that make you eligible for discounts and lower insurance rates.
Let’s look at a few tips that can help you understand how to save money.
Consider Your Coverage Options
It isn’t wise to go along with any coverage option that you find. Take the time to do your research and consider your needs first. Compare these needs with what insurers provide and shortlist a few companies that provide what you need. Often, you will end up finding cheap coverage before you even apply your military discount.
Pay Higher Deductibles
You can pay a deductible on your insurance policy before your insurer pays for a claim. Look into paying the largest deductible amount that you can afford. When you pay a higher deductible, it lowers your premium accordingly. This will help you save money in the long run.
Work On Your Credit Score
As mentioned before, credit scores do play a part in defining the cost of your car insurance. So, having a good credit score is beneficial. You can improve your credit score by paying bills on time and clearing any overdue debts.
Recognize Military Rules
Service members are allowed to continue their insurance coverage from their home state, despite their stationed location. But if you’re choosing to move into the state you’re deployed in or shift post-retirement, you will need to register the vehicle in the new state. You will also need to insure the car in that state. Check with your insurer regarding state rules that apply to military personnel.
Have Your Insurer Check Your Deployment Options
You can incur penalties and fines when you do not pay your premiums on time. But if you’re an active service member, your insurer might waive any penalties. You can take this benefit by opting to drop your coverage while on duty. There is also an option for taking in a low coverage while your vehicle is stored. This way, your car will have coverage against any perils it might face while not being used.
NOTE: Once you have returned from your military duties, you can reinstate your coverage by talking to your insurer. However, make sure not to use your vehicle before you do that since it is illegal to drive a car without sufficient insurance coverage.
Research Military Rates
Many insurers provide special rates for military personnel. Most of these policies can also extend towards family members, or your family members can also get some benefits because you are in the military. Look into these and check the available rates.
Bundle Your Coverages
You can save hundreds of dollars on your insurance policies if you get multiple coverages from the same insurance company. You can be eligible for discounts if you insure your car insurance and homeowners insurance. This is known as insurance bundling.
Where To Get the Best Car Insurance for Veterans?
According to Value Penguin, the best car insurance for veterans is available through USAA and GEICO. Their prices are $1,053 and $1,154 respectively. Each of these providers does have certain benefits to people with a military background. Let us look at their services in more detail.
They are well known for being the best insurance company for active and former military personnel in Marines, Navy, National Guard, Air Force, National Guard, and Coast Guard. They have been providing insurance since 1922. USAA only offers its services to people with military backgrounds or affiliations. These include:
- Military veterans
- Active members
- Eligible family members
- Individuals enrolled in advanced ROTC
- Students holding ROTC scholarships
USAA also provides deployed members a 15% discount on comprehensive coverage if the vehicle is stored within a military base. This further reduces the rates by 60%. With the right selection of coverages and discounts, you could potentially pay a lot less than the annual average of $1,053.
Furthermore, they provide top-notch customer service and fulfill their customer needs.
GEICO has some of the cheapest rates and best discounts available for veterans and active-duty military personnel. Their coverage options are extensive and include important policies such as bodily injury, liability, collisions, and comprehensive insurance.
In addition to this, they also employ a dedicated staff od former military veterans. This way, they’re able to understand customer needs and point of view very well.
One of the best things about GEICO is their discounts for military personnel. Whether you are an active-duty member or a retired veteran, they offer a 15% discount on car insurance rates. Federal employees or retired military who’ve held federal jobs also benefit from discounts on their monthly premiums.
Additionally, GEICO also offers discounts if you’re deployed in an emergency. The discount will apply when you’re deployed to areas of danger such as floods, earthquakes, or other natural disasters.
Your military service to the country is something unforgettable. Whether you’re an active-duty member or a retired veteran, your hard work in keeping American lives safe and sound is very valuable. Many insurers recognize this and do their part in making your life easier when it comes to insurance.
While we did mention two of the top choices for car insurance, you don’t necessarily have to go with them. You are free to choose any carrier that you like. But, make sure that you explore all your available options. Do your homework and find what benefits you.
After all, it doesn’t hurt research about various offers before making your final decision. Who knows what car insurance company might have the insurance plan that meets your needs!
Did you find this insurance blog helpful? Let us know your thoughts in the comments below. For additional information regarding car insurance for veterans, please don’t hesitate to reach out to us.
Frequently Asked Questions (FAQs)
Do Insurers Offer Discounts on Car Insurance for Veterans?
Yes. Car insurance companies will offer a discounted rate to military veterans. Not only is car insurance for vets affordable, but insurers can also tailor it to your specific needs.
Many car insurance companies offer discounts because your status has changed from active duty to a civilian role in the armed forces. It doesn’t matter if you’ve been honorably discharged or received any other type of discharge. Car insurance companies will still provide discounts to individuals who have served in the military.
The discounts can vary by state and provider. Make sure to check with your insurer regarding the rates.
Does My Current Auto Insurance Cover Me If I Decide to Enlist in the Military Within the Week?
Yes. It will also cover you if you’re stationed in another state. But, if you change your permanent address to the state you’re enlisted in, then you will require a driver’s license and insurance from your new state.
Do Family Members of the Military Get Any Car Insurance Discounts?
Yes. Although this can vary depending on the states and the insurer. Check with your local insurance agent for what discounts and rates you are eligible for.
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