Can You Get a Military Discount for Car Insurance?

Are you or a family member a current or former military service member? You could get a car insurance discount. Learn how it works here.
Military service member at home playing with his kid.

Are you a veteran or active service member? If so, you may qualify for a military car insurance discount. As they do for many other things such as being a homeowner or a safe driver, insurers also give special discounts to active or former military members. Depending on your company or state, you could save a certain percentage on your auto rates for your service.

Keep in mind that you’ll need to provide some proof of service. Also, each insurer and state will handle the discount in their own way. Some companies may not even offer it. And some states may not even allow it. The exact amount you save depends on your insurer and state.

It’s worth mentioning that some companies, such as USAA, exclusively offer car insurance to service members and their families. This typically comes with specific benefits and discounts for veterans, as well as competitive prices.

This article will dive into the military discount basics. This includes:

  • How to qualify
  • How much you save
  • Who offers it
  • Frequently asked questions

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How Military Insurance Discounts Work

Discounts are a helpful way to lower your rates. This is especially true if they’re higher than you think they should be. Many insurers offer discounts for various things like bundling policies, safe driving, and being a good student.

Then, of course, there’s the military discount. You can only qualify by being a current or former service member. Depending on your insurer, you also save if you’re on a policy with a close family member, such as a spouse or parent, who qualifies. Be sure to speak with your agent to learn more about what your provider offers.

As you might expect, you’ll need to prove that you served to qualify. This typically comes in the form of official documents, such as forms and letters. These papers often suffice as valid proof of your service:

  • Military orders
  • Certificate of discharge (DD Form 214)
  • NGB Form 22 for members of the National Guard
  • Leave and Earnings Statement (LES)
  • Letter of appointment to the academy

Companies With a Military Discount

Many major insurers reward active or former service members with lower rates. But not every company has this specific discount. Some insurers may also offer specific benefits to those who serve, such as savings if you’re suddenly deployed or need to keep your car on base.

These are some well-known providers that offer discounts to service members:

USAA

USAA offers auto insurance and plenty of benefits to US military members, veterans, and their families. This insurer also provides numerous savings opportunities to their customers. For example, USAA’s on-base discount can save you up to 15% on your coverage if you keep your car in a garage on the base.

GEICO

GEICO allows armed forces members to save up to 15% on their rates. This insurer also offers rewards for emergency deployments to designated imminent danger pay areas. You could also get a deal from GEICO for certain affiliations to groups, like:

  • Association of the United States Army (AUSA)
  • Armed Forces Benefit Association (AFBA)
  • Navy League of the United States (NLUS)
  • Navy Federal Credit Union (NFCU)

Contact your GEICO agent to find out more about the savings, as well as how you might qualify.

Liberty Mutual

You’ll save on your premium from Liberty Mutual if you were or currently are in the armed forces or Military Reserves. But they don’t say how much you save on your monthly rates. Get in contact with an agent to find out more.

Farmers

Like Liberty Mutual and GEICO, Farmers offers savings to active or retired military members. However, they don’t mention exactly how much you can save. Remember that it’ll likely vary by driver and situation. We recommend talking to an agent to figure out how much you can save on your Farmers policy.

Shelter

Shelter provides savings to active-duty service members in the state of Louisiana. The company also extends savings to spouses and children of active-duty military members. However, Shelter doesn’t spell out the savings on its website. So, you’ll need to contact the company directly to learn more.

Kemper

This applies to both members of the military and the National Guard. To qualify, you must be on active duty. There are few details about it on Kemper’s website. So, you’ll need to contact the insurer to learn how much you can save.

The above companies represent only a few insurers that reward you for your service. If you’d like to explore the savings from these discounts, compare quotes from several companies. One might fit your needs more than another.

We took a look at what the major providers offer service members. Check out our article on the best car insurance companies for military members and their families.

Louisiana Military Auto Insurance Discount

Many carriers, such as Progressive, State Farm, and Allstate, don’t offer a specific military discount. But the state of Louisiana has a law that requires auto insurers to lower the rates of active duty military residents by at least 25%. This applies to any carrier in Louisiana, even if they don’t provide the savings in any other states. To qualify, you must:

  • Be an active service member
  • Be a Louisiana resident
  • Have a spouse or dependent who lives in Louisiana while you’re out-of-state
  • Buy your car insurance in Louisiana

Frequently Asked Questions

Q: Is USAA only for military members?

A: Yes, only US military members and their families can get insurance from USAA. Per their website, the following are eligible family members who can join USAA:

  • Spouses
  • Widows or widowers
  • Former spouses who haven’t remarried
  • Children, including stepchildren

Keep in mind that siblings and parents of a USAA policyholder aren’t eligible to join. If you’re unsure about how to join, contact USAA directly to see if you’re eligible.

Q: Do veterans get insurance discounts?

A: Yes, they do. Veterans are almost always eligible to receive discounts from insurers.

Q: Do members of the military reserves qualify?

A: Yes, both active and retired members of the reserves qualify for military auto benefits.

Q: How do I prove to my insurance carrier that I’ve served?

A: You can prove your service by showing your insurer official documents, forms, or letters related to your service. This could be a discharge certificate, military orders, or even an academy letter. Double-check with your provider to see what types of proof they prefer.

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