Auto Insurers Offering Premium Reductions to Safe Drivers via Hi-Tech Monitoring

I don’t usually cover auto insurance matters, but this is something that I am interested in because one of the states where this program is offered is Minnesota (where I live).

Auto insurer Progressive Corp. has begun offering its drivers the chance to cut their costs based on how they actually drive, not only on their age, credit score and number of tickets or accidents on their record.
The monitoring device - sort of like a black box for cars - tells Progressive what time people drive, how many miles they've driven, how fast they accelerate and how often they hit the brakes. It does not track where people go.

Other insurers are offering similar programs, and if this pans out, we could see this become a common feature. American Family Insurance is offering a teen driver monitoring program to help reduce premiums and accidents. GMAC and OnStar have rolled related programs that give a discount to those who drive fewer miles.
The AOL story is at http://autos.aol.com/article/news/_a/car-insurer-offers-discount-to-drivers/20080729124709990001?ncid=AOLCOMMautodynlsec0004&icid=200100397x1206607179x1200366511

Americans Shave Insurance Bills Just by Shopping Around.

Everyone’s looking to save money somewhere, anywhere now that food and gas prices have cut deep into disposable income. Do you at least compare auto insurance offers at renewal time every year?

Go to NAIC.org (National Organization of Insurance Commissioners) and click on NAIC states to find your state of residence. You can compare rates by matching yourself to a set of profiles; this is very imperfect but it’s a starting point. Other places you can start checking premiums are insweb.com and insurance.com.

I might add that if you belong to any organizations you may be eligible for special plans and rates. Members of AARP always get a competitive rate. Members of trade or fraternal groups almost always get some offers every year for their business. (This is true of life and health insurance also, and even IRA accounts.)

This is not a plug for AAA, but I just want to mention that as a member of AAA I get a discount on insurance, and by combining house and auto insurance I feel I am getting a nice package deal. You may belong to some other group or organization that gives you a similar benefit, and I say you’re very lucky to find deals like that. Go for it.