How Technology Can Help Reduce Auto Insurance Premiums

In the good old days, people used to pay less for their auto insurance if they drove less. While that may still be partially true, in today’s world, there are many more ways to help you save on your auto insurance.  Today’s autos come equipped with a great deal of technology to help you be a safe driver, and this technology can also help reduce your auto insurance premiums.

When you consider an auto purchase, think about how technology can reduce insurance costs. These technologies include:

• Crash avoidance systems.
• Automatic braking systems.
• Backup cameras.
• Adaptive Headlights. These are equipped with sensors that recognize when you make a movement with the steering wheel to go around a curve.
• Blind side warning lights.
• Lane departure warning systems.
• Electronic stability control. This is a technology feature that helps prevent sideways skidding, spin-outs and loss of control through a system of sensors and a microcomputer.
• Hands free technology to allow you to make adjustments by voice command.
• Usage devices that monitor driving. This is a great tool that allows the insurer to monitor your driving; and if you drive safely you get discounts.
• Side airbags. In 2009, about one-fourth of passenger vehicle deaths in the United States were caused by side-impact crashes, according to the Insurance Institute for Highway Safety. Side airbags have reduced that number significantly.

As more studies are conducted, insurance companies might begin to offer lower premiums based on the different auto technologies their policyholders use.