What Is the Claims-Free Discount?

Do you have a a clean driving record? You could be eligible for the claims-free discount. Learn more about it here.
Reporting accidents can cost you the claims free discount

Do you take pride in having a clean driving record? Your insurance company will be happy about it, too. If you go three to five years without any insurance claims, your insurer may apply a discount to your rates. This is what some insurers call the “claims-free discount.”

Your claims history is a major factor in how much you pay for insurance. Any time you file a claim, it costs your insurer time and money. This is why it’s worth it for insurers to reward you for avoiding any claims.

This article will teach you all about the claims-free discount. You’ll learn how it works and whether you qualify. We’ll also give you an idea of how much the reward can save you. Finally, we’ll list specific insurers that offer it.

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How the Claims-Free Discount Works

Discounts go a long way toward lowering your car insurance rates. Each one slashes a percentage off of your costs. Many are very easy to qualify for. Stacking several discounts at once can make a huge difference.

The claims-free discount can help you save on your auto insurance. All you need to do is avoid any claims for three to five years (the same amount of time they stay on your record). This refers to any insurance claim you file with your company

Some insurers have a specific discount. Others will simply lower your rates automatically if you avoid any incidents. This benefit may also take on another name, such as the accident-free discount.

Many providers also have a “safe driver discount.” This commonly takes your claim history and driving record into account. However, it’s not quite the same benefit as claims-free. The latter focuses only on whether you’ve filed a claim or not.

How Much the Claims-Free Discount Saves You

As with many other discounts, savings vary if you’re claims-free. It’ll mainly depend on your insurer. At times, the more years you go without a claim, the more you save. According to Progressive, drivers with a clean driving history save an average of 31%. To be sure how much you can save, speak with an agent or company representative.

Which Companies Offer the Claims-Free Discount

Only a few major insurers specifically list a discount. However, many companies will reward you for going for at least three years without an accident. Below are top insurers who either have a claims-free discount or will offer you an incentive for avoiding accidents:

Liberty Mutual

Liberty Mutual offers a claims-free discount. You must avoid claims on your record for three to five years to qualify. The insurer doesn’t say how much you can save with this benefit. Be sure to speak with your agent or contact the company directly to find out about exact savings.

State Farm

With State Farm, you’ll get a reward for going accident-free for at least three to five years. The company doesn’t list a savings amount on its website. You’ll need to reach out to your agent to see how much you can save.


Progressive rewards its customers for avoiding accidents. There isn’t a specific discount, but the insurer says it’ll lower your rates if you stay out of an accident for at least three years. Customers save an average of 31% with this reward.


GEICO offers an accident-free reward. If you go accident-free for five years, you can save up to 22% on your car insurance.


Amica provides a claims-free reward. To qualify, you must go three years without filing a claim and have at least one person on the policy with 39 or more months of driving experience. The exact savings are unclear. Be sure to speak with an agent or Amica representative to learn more.

Frequently Asked Questions

Q: How far back do insurance companies look at your driving record?

A: You can expect most insurers to look back on the last three to five years of your record. Some may consider up to seven years. If you had an accident or filed a claim within the last three years, chances are you won’t get a claims-free or accident-free discount.

Q: Will my claims-free discount go away if I have an accident?

A: If you get into an accident or need to file a claim, you may lose your reward. Each insurer will have different rules regarding this. At times, a minor claim, such as for roadside assistance, won’t result in losing your benefit. Be sure to ask your insurer about this before you file a claim.

Q: How many years do I have to go claims-free to get the discount?

A: In general, you need to go at least three to five years before you receive any type of savings. Each insurer sets a different limit on this. For example, Progressive wants you to go three years before you see any markdown. On the flip side, GEICO requires at least five years without an incident.


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