Auto insurance protects one of your most valuable assets, but the monthly premiums can quickly add up, especially with full-coverage plans. Luckily, many insurance providers offer discounts for things that reduce your coverage risks, like vehicle monitoring devices for safe driving and recovery systems for stolen vehicles.
Understanding how stolen vehicle recovery systems can reduce the costs of insurance may help you save money each month while protecting your vehicle.
At SafePoint GPS, we offer advanced, connected GPS tracking devices that help you recover from vehicle theft, keep up with maintenance alerts, and find the location of your vehicle at all times. Below, we discuss how anti-theft devices can reduce your auto insurance premiums.
How a Vehicle Recovery System Can Reduce Your Insurance Premiums
Law enforcement agencies cannot always recover a vehicle after theft. If someone steals your car, and the local police cannot find out who did it or locate it, your auto insurance company will have to pay you its current fair market value, assuming you have the appropriate coverage.
The National Highway Traffic Association estimates that vehicle theft happens every 4.8 seconds, resulting in $7.4 billion in total losses in 2020 alone. Insurance companies typically must pay an average of $7,000 per auto theft claim.
Because of this enormous expense, many insurers offer better rates on vehicles that have anti-theft devices, making them harder to steal, and GPS systems for easy recovery if theft does happen. Continue reading below to learn more about how coverage and discount policies work.
What Is a Vehicle Recovery System?
Before diving into discounts, let’s discuss what a vehicle recovery system is. The recovery system typically includes several components for streamlined vehicle locating and recovery. Your system will likely include the following:
- A GPS device: The device keeps tabs on the vehicle’s location at all times. It can locate where the car is, even if it isn’t running or close by.
- An app or platform: You can connect the GPS device to your personal device using an app to view the vehicle’s location and other insights. Our SafePoint GPS platform lets you manage maintenance alerts and driving habits.
- Access to recovery experts: If someone steals the vehicle, you don’t need to track them down yourself. The system will typically include a support team that will walk you through reporting and locating the stolen vehicle.
Does Auto Insurance Typically Cover Theft?
Most auto insurance companies cover theft, though only if you have comprehensive coverage. Comprehensive coverage is a common insurance coverage for non-accident-related damages like weather incidents, fires, vandalism, floods, falling objects, animal accidents, and theft. If you have comprehensive coverage on your plan, your insurer will cover your losses if your car gets stolen.
Because comprehensive coverage protects you from many different risks, it often increases monthly costs by a substantial amount. Most drivers can benefit from a comprehensive plan, though finding discounts can make it more affordable.
Which Companies Offer Discounts on Comprehensive Plans?
The following major insurance companies offer reduced costs and insurance discounts for stolen vehicle recovery systems:
- AAA
- USAA
- 21st Century
- Allstate
- Amica
- Esurance
- The General
- GEICO
- American Family
- Liberty Mutual
- The Hartford
- Farmers
- Nationwide
- MetLife
- Progressive
- Ameriprise
- Safeco
- Safe Auto
- State Farm
- The Hanover
- Travelers
Companies frequently change their discount offers, so if you don’t see your provider here, we recommend calling a representative and asking about your options.
The companies above offer discounts ranging from around 10% to 25%. Both USAA and Liberty Mutual offer 25% discounts for stolen vehicle recovery systems. Be sure to speak with a representative to receive the best rates for your plan.
Protect Your Vehicle and Reduce Your Rates With SafePoint GPS Today At SafePoint GPS, our GPS tracker for cars can reduce your insurance rates while streamlining your driving experience. If you’re interested in a stolen vehicle recovery system that reduces the costs of insurance, contact us at SafePoint GPS today to speak with our team.
