AVL - Vehicle Insurance Discounts

In addition to the operational efficiencies gained by Automatic Vehicle Location (AVL), AVL

can also save your company money through discounts on vehicle insurance policies. Besides

the obvious positive effect monitoring operator speed and driving habits has on your insurance

costs, there is another immediate avenue to saving in this expense category. According

to InsWeb, an insurance information website, vehicle tracking systems qualify as anti-theft

devices and are “very effective in helping authorities recover (stolen) vehicles.” As such, they

can be another source of possible insurance discounts.

Currently, 12 U.S. states have mandated that insurance companies offer discounts for the

installation of anti-theft or vehicle location devices. These mandatory discounts range

between 5% and 35%, dependent upon the specific state and type of equipment installed.

Florida , Massachusetts, Pennsylvania, Illinois, Minnesota, Rhode Island, Kentucky, New

Mexico, Texas, Louisiana, New York and Washington.

In the states where there is no mandatory discount for anti-theft devices, a large percentage

of the major insurance companies are encouraging vehicle owners to install such devices by

offering discretionary discounts.

A sampling of these potential discounts are listed below.

Allstate (up to 20%)

Geico (up to 8%)

State Farm (up to 20%)

The Hartford (up to 15%)

Liberty Mutual (up to 35%)

The overwhelming majority of vehicle insurance companies offer some kind of discounts for

anti-theft devices, although specific policies regarding their application vary from company to

company. Contact you insurance provider for specific details about discounts on your existing

coverage.