Get a girlfriend, save on car insurance
Chances are you'll save enough to have a grand time on date night -- if your mate is a safe driver.
This post comes from Emmet Pierce at partner site Insure.com.
Jesse Levey recently saved $200 a year on car insurance by having a girlfriend. The 31-year-old Californian, who works in marketing, recently got the pleasant surprise when he added his girlfriend to his auto insurance policy.
"They ran the quote and said it was $200 less per year," he says. "She has a good driving record, but so do I. She is going to be using my car some of the time. We live in the same place."
It turns out that one unexpected benefit of love and commitment is cheap auto insurance. Post continues after video.
Girlfriends with benefits
Girlfriends can lower a car insurance rate because they’re often “less risky” than their boyfriends. Insurance companies generally see women as safer drivers, and couples are better risks than single people.
"It typically happens because the insurance company views the woman as a better risk or because the company offers discounts to family policies, which may include unrelated people who share the same home," explains Robert Houlihan, chief product officer at Mercury Insurance.
Houlihan notes that getting married could bring down one’s car insurance price even more.
Generally, a couple must live together to receive reduced car insurance quotes on a shared policy. Shawn Christie, an insurance broker in Colorado Springs, Colo., says about 10% of his male clients see their rates drop when they add a wife or domestic partner to their policies, sharing the same vehicle.
Going the wrong direction
Of course, the "wrong" significant other could actually increase your rates.
Before sharing a car insurance policy, ask your partner about his or her driving history, says David Snyder, vice president and associate general counsel for the American Insurance Association.
"It has often been said when you marry someone, you also marry their family. You may be marrying their insurance rating as well," points out Snyder.
- Calculator: How much car can you afford?
And it's not just tickets and accidents that push up car insurance rates. Bad credit can ding you, too. If your partner is slow to pay his or her bills, says Christie, it could result in higher auto insurance rates.
"Companies have found that if you pay your bills, statistically you drive more responsibly," he explains.
Calculating car insurance rates
Snyder stresses that each insurance company has its own way of pricing "risks."
Calculating rates for adding a driver "is a blending of many factors," he says.
If your domestic status changes, you should contact your car insurance company to find out if you are entitled to cheaper car insurance rates, says Houlihan. "Anytime you are changing anything in your profile, it is always a good idea to check with your agent."
More from Insure.com and MSN Money:
"If your domestic status changes, you should contact your car insurance company to find out if you are entitled to cheaper car insurance rates, says Houlihan. "Anytime you are changing anything in your profile, it is always a good idea to check with your agent."Not always. Did that when my now-ex left and the rate went up, have teenage drivers. The reason? They assumed the kids would drive more than usual since the ex's car was now available for their use. Crock.
Next month told the agent she had returned and put her back on the policy. Not true, but when the BS game is being played I want to be the winner.
@lisakaren, make them prove their point. Buy a cheap clunker with mechanical problems, insure it, then torch it. If you are pre-accused of faking a claim, may as well go for it.
Umm... no. Not unless the author of this article has a horrendous driving record and they listed his "girlfriend" as the primary driver.
Where do you get your material? What a disappointing article.
"The reason single males are higher risk is directly related to women in the first place. Men are looking at women when they should be paying attention to the road. Males are also more likely to drive more. Bottom line though... responsible people tend to drive better... so, yes... credit may be considered in many states."- dbellis
The reason why you are talking like some prozac media junkie is because you believe everything you see and hear blurting out of the dummy box. Now is that appropriate for me to say that without researching the facts first? But, sadly by your stupid media statement my assumption is probably correct.
The biggest risk factors on the road are:
1. The elderly- They consistently drive below the speed limit, often do not use turn signals, and are notorious for cutting off drivers with out even being aware of what they have done.
2. Women - They often drive with a cell phone that appears glued to their face like it's some sort of Star Trek Borg attachment, switch lanes abruptly with no turn signals, and ride the fast lane blabbing away on their cell phone driving below the speed limit or at the speed limit totally oblivious to the flow of traffic.
3. Teens - I don't need to get in to details about teens, we all pretty much know those factors.
4. Men - Yes there are idiot male drivers but the truth behind insurance companies giving the bum rap towards adult men is because they have the money to pay for the criminal insurance fee's. Also, basing someone's insurance rating by their credit score should be made illegal. A person's credit score has NOTHING to do with their driving, work performance, and / or moral values. This rule by the insurance companies is 100% criminal and should be illegal. Only the stupid and the ignorant accept that line of bs.
Anytime there's a story with any gender relevance on MSN the responses here are so ridiculous. Insurance companies base everything on statistics.
Males are in more accidents.
Males cause more damage to their vehicles.
Therefore males will pay slightly higher rates.
Just freakin' deal with it and move on with your life. This isn't anti-male propaganda. It's just statistics. Stop trying to rationalize away the truth because you don't like it.
Now thumb down until your oily little hearts content.
I love the comment about Nascar... you are basing your theory on the male gender being collectively better at driving by the number of men vs. women who race in Nascar. The simple fact that there have been hundreds of men and ONE woman willing to drive 200+mph on a circular track 500 times risking their own lives and the lives of the other races tells me that men are more willing to take risks and speed than women.
Studies do show that women are better drivers than men and men are better parkers (especially parallel parking) than women...But, back to the article...I don't think getting cheaper car insurance only applies to men getting girlfriends...In most cases, people (2 or more) who are living in the same household and have the same insurance policy save on rates!!!
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
ABOUT SMART SPENDING
LATEST BLOG POSTS
Sure, you love your stuff. Keep buying it, but don't get sucked into paying a premium when perfectly good cheaper alternatives are available.
VIDEO ON MSN MONEY
BLOGS WE LIKE
MUST-SEE ON MSN
- Video: Easy DIY smoked meats at home
A charcuterie master shares his process for cold-smoking meat at home.
- Jetpacks about to go mainstream
- Weird things covered by home insurance
- Bing: 70 percent of adults report 'digital eye strain'