What is a future effective date and how does it make my car insurance cheaper?

I am car shopping and the insurance agency told me that if I set up a new policy with a future effective date, I could get a discount. What does this mean?

Answer provided by
avatar
Shannon Martin
Answered on Apr 13, 2021
“Some insurance companies offer a policy discount if you pay for the policy before you need the coverage to go into effect—usually between 10 and 30 days, depending on the company. If you know the date when you will be taking ownership of the new car, you can set up the policy ahead of time.
This discount can also apply at your policy renewal if you are shopping for car insurance quotes online and looking to switch insurance carriers. Check with your insurance agent to see if you qualify for this discount.
If you need help finding multiple carriers with an “”early shopper discount,”” give Jerry a try! This free app will help find all the discounts for you with up to 45 companies. “
thumb-up

Did this answer help you?

Ask us a question by email and we will respond within a few days.
thumb-up

Have a different question?

You can meet us at our office and discuss the details of your question.

Easiest way to compare and buy car insurance

√
No long forms
√
No spam or unwanted phone calls
√
Quotes from top insurance companies