Do Safety Features Really Lower Car Insurance?

By Justin Yoshizawa and the Mercury Team

Yes, safety features can absolutely help lower your car insurance. The safer your vehicle is, the less risk you pose to your insurance provider, which can lead to real savings. In this post, we’ll walk you through which technologies can help you save, what kind of discounts to look for, and how to get the most out of your car insurance policy.

Top Accident Prevention Features That Can Lower Insurance

Many modern vehicles come equipped with drive assist systems. What is drive assist? Also known as ADAS, it refers to a suite of features designed to prevent accidents and keep drivers alert. Luckily, these safety features can help reduce your premium via car insurance safety discounts.

Here are some of the top safety features that can lower car insurance:

Anti-lock brakes (ABS): ABS keeps your wheels from locking up when you brake hard. Insurers reward ABS-equipped vehicles because they tend to avoid spin-outs and severe accidents, especially in slippery conditions.
Electronic stability control (ESC): ESC automatically applies brakes to individual wheels if your car starts to lose traction. This helps prevent skidding and rollovers, especially during inclement weather and sharp turns.
Forward collision warning (FCW): This feature monitors the road ahead and warns you if you’re getting too close to the car in front, helping you avoid fender benders.
Automatic emergency braking (AEB): This feature brakes the vehicle automatically if you don’t respond to FCW, helping you avoid or reduce the severity of the collision.
Lane departure warning (LDW): LDW alerts you if your car starts drifting out of your lane without a turn signal. It helps prevent sideswipes and run-off-road crashes.
Blind spot detection: This feature keeps an eye on the spots you can’t see and gives you a warning if there’s a car hiding next to you. It’s a big help when changing lanes on a busy highway.
Rearview camera: This camera shows you what’s behind your vehicle when backing up, so you can avoid small fender benders.
Adaptive headlights: These smart headlights swivel to match the direction of your steering, helping you see better around corners at night.
Tip box: “These features are often found in newer vehicles or trim upgrades, and can pay for themselves in savings over time.”

Anti-Theft Features That Can Earn You a Discount

Installing anti‑theft features delivers the best of both worlds: a smart way to protect your vehicle and help reduce your car insurance rate. Here are a few that could help lower your premium:

Car alarms: They’re basic but effective tools that trigger a loud noise if someone tries to break in, helping scare off thieves. Many insurance companies offer small discounts just for having a factory-installed or certified alarm system in your vehicle.
GPS tracking systems: Devices like LoJack or OnStar help police quickly locate your vehicle if it’s stolen, which makes recovery much more likely.
Immobilizers/killswitch: These systems prevent your car from starting unless it detects the correct key or fob. This makes it much harder for thieves to steal your vehicle.
VIN etching: Etching your vehicle identification number (VIN) into the windows makes it much harder for thieves to resell your car. Plus, many police departments and crime prevention groups host free VIN‑etching events, so your local PD may even offer this service at no cost.

Do All Insurance Companies Offer These Discounts?

Not always. While many insurance companies offer discounts for safety and anti-theft features, the specifics can vary depending on your provider and even your state. Some insurers may automatically apply discounts for features like anti-lock brakes or car alarms, while others might require you to ask or submit proof.

“One of the biggest mistakes people make is assuming all discounts are available everywhere. Truth is, every state has its own set of rules. That’s why we always encourage policyholders to ask about what’s available in their specific region,” says Justin Yoshizawa, Sr. Director, Product Management, State.

You can also look up your state’s Department of Insurance to get a better idea of what’s available in your area.

If you’re in one of these states, Mercury Insurance has got you covered:

Other Factors That Can Lower Car Insurance Costs

Safety features are a great start, but they’re not the only way to save on car insurance. Insurers look at a variety of factors to calculate your premium, and some of them are well within your control. Here are savings opportunities that could help lower your costs even more:

High Safety Ratings

Vehicles with strong crash-test results from the IIHS or NHTSA are considered safer, and that typically translates to lower insurance rates. If your car has top marks, let your insurer know.

Bundling Policies

If you have homeowners or renters insurance, you can bundle home and auto insurance to score a multi-policy discount. It’s one of the easiest ways to save and streamline your coverage.

Clean Driving Record

A history of safe driving can really pay off. If you’ve avoided accidents, tickets, or other violations, you may qualify for a safe driver discount. The longer you maintain a clean driving record, the better your savings can be.

Good Credit Score

In many states, your credit score can affect your car insurance premium. A higher credit score typically signals financial responsibility, which insurers see as a lower risk. Keep your credit in good shape and you can secure better rates.

How to Maximize Your Car Insurance Savings

If your vehicle has safety or anti-theft features, or if you’re just looking to lower your premium, here are a few simple ways to make sure you’re not leaving money on the table:

1. Ask for a full list of available discounts

Your insurer might offer more discounts than you think. Ask your agent for a complete list of savings opportunities based on your vehicle, driving habits, and policy choices.

2. Provide documentation for added features

Installed a dashcam, VIN etching, or upgraded your car’s safety system? Make sure you show proof. Providing receipts or photos can help your insurer apply the right discounts.

3. Shop quotes with safety and anti-theft features listed

When shopping around for insurance, make sure you highlight your vehicle’s safety and security features. Some companies offer better savings for certain tech, and you won’t know unless you tell them upfront.

4. Consider upgrading safety tech in your current vehicle

If your car doesn’t have the latest features, it might be worth investing in a few upgrades, like blind spot detection or a rearview camera. These can make your car safer and might qualify you for extra savings in the long run.

Frequently Asked Questions

Take a look at some frequently asked questions about safety features and car insurance discounts.

Which features offer the biggest insurance discounts?

The biggest savings usually come from features that help avoid serious accidents, like automatic emergency braking (AEB), electronic stability control (ESC), and GPS tracking systems. Ask your insurer to see how much you can save with these features.

Are factory-installed features better than aftermarket for discounts?

In most cases, yes. Factory-installed features are built to manufacturer standards and are easier for insurers to verify. Aftermarket upgrades might still help, but you’ll likely need proof of installation, and not all insurers will give a discount for them.

Does adding a dashcam or parking sensor help?

They can, even though dashcams and parking sensors may not always qualify for a discount. Dashcams can provide video evidence if you’re in an accident, and parking sensors help prevent little bumps and scrapes, both of which can help keep your record clean.

Can I combine safety, bundling, and good driving discounts?

Absolutely! Most insurers allow you to stack multiple discounts. So if you have a safe vehicle, a clean driving record, and bundle your auto policy with home or renters insurance, you could save big on your premium.

Conclusion: Safety Features That Save Lives and Money

Wondering how to get cheaper car insurance without cutting corners? Start with your safety features. The more protected your vehicle is, the less you’ll likely pay for insurance. Safety and anti-theft features show insurers that you’re a low-risk driver, making cheap car insurance easier to find.

Want to see how much you could save? Mercury can help you take advantage of the discounts you deserve.

Justin Yoshizawa

Director of Product Management at Mercury Insurance

Justin Yoshizawa is Director of Product Management for Mercury Insurance, overseeing California’s personal lines, including auto, homeowners, landlord, and umbrella. He has led major initiatives such as the rollout of the aligned umbrella product across all Mercury territories and serves as a company spokesperson on auto-related topics. Yoshizawa holds dual Bachelor of Science degrees in Applied Mathematics and Applied Statistics from UC Santa Barbara.