When you are talking about auto insurance in Oregon, very similar to the Renewal or Prior Insurance discount, the Transfer discount is a reduction in the price of your auto insurance that a car insurance company will offer as an enticement to get you to switch to their company and away from where you have your insurance now.

silver haired business woman sitting at glass desk image created by Grok AIThe discount goes by several names but may behave differently as time goes on. A true transfer discount will remain applied to the policy for as long as it is in force. My favorite one is the New Customer Discount that goes away over the next year. I almost always get a call after the first six months from a policyholder asking why their insurance went up. First, I review the renewal offer to be sure the client has received no new tickets and is not being charged for new accidents or claims. If everything is the same as when I first started their policy, there are only two possible explanations for the increase. A rate change that applied across the board for everyone or a reduction in the percentage of discount for being a New Customer.

The Transfer Discount works much the same way. The companies offer low prices, and as you make changes to your policy, such as taking off an old car and adding a new one, they slowly chip away at that discount until it no longer applies to any new driver or car.

I really miss the Renewal Discount. Some of my older auto insurance customers remember a time when the longer you held onto a policy, the cheaper it got. Car insurance companies rewarded you for loyalty. Many offer incentives to keep you as a customer by offering uncancelable policies or accident forgiveness after you’ve been with them for a number of years. One company I know of will put you at the head of the line when you call in as it recognizes your phone number in the system and they know you’ve been a loyal customer for, say, five years or more.

Call your independent insurance agent to see which companies offer this Transfer Discount. It can be as much as 25% off the company’s normal entry-level prices, and could save you some real money on your first six months of insurance. At Pulse Insurance, we will do everything to make sure you get all the discounts we can apply, and let you know what you can do to be approved for more!