3 Lesser-Known Auto Insurance Discounts You May Be Eligible For

For many people, owning a car isn't a luxury -- it's a necessity. If you're in this boat, then you're probably painfully aware that auto insurance is an unavoidable expense, too.

The average U.S. driver pays $1,553 a year for auto insurance, says U.S. News & World Report. But different factors will help determine what premium rates you end up with. These include the cost of your vehicle, your driving record, and where you live.

You may be struggling to keep up with your auto insurance premiums on top of your seemingly never-ending string of bills. So if that's the case, shopping around with different insurers might help you carve out a lower rate. But you may also want to look into these lesser-known discount opportunities and see if any might apply to you.

1. A low mileage discount

These days, many people are working remotely and, as such, are not using their vehicles for commuting purposes. If you don't put a lot of mileage on your car, then you may be eligible for a low mileage discount.

Some car insurance companies will allow you to pay for your insurance by the mile. This type of arrangement could work to your financial benefit if you really only use your car for tasks like running errands or the occasional trip into the office or to see family. Talk to your insurer to see what options are available.

2. A driver safety discount

The idea of having to sit through a defensive driving course may not seem so appealing. But the upside is that you might not only develop strategies for safe driving but also, score yourself a discount on auto insurance in the process.

Some auto insurers will give you a discount if you take a driver safety course. But don't just sign up for any course. Instead, talk to your insurer so you know which types of courses are approved. You don't want to waste your time and money on a course that won't result in money off of your premiums.

3. A good student discount

Being a good student could result in scholarships that lower the cost of your studies. But it could result in lower auto insurance costs, too.

Progressive, for example, offers a discount for full-time students under the age of 23 who can maintain at least a B average. In most states, that shaves 10% off of the cost of insurance.

Talk to your insurance company about the discounts it has for students. And if there aren't any, you may want to switch to a different insurer, especially if you have several years of studies ahead of you and you know you tend to get good grades.

Auto insurance is a cost you can't avoid if you need a car. But that doesn't mean you can't lower that expense to give yourself some breathing room. It pays to look into these discounts, especially if you've been struggling to keep up with your premium costs.