Paperless discount

A paperless discount is offered by many insurers when you agree to receive your policy documents, declarations page, bills and notices electronically instead of on paper. It is typically one of the smaller discounts on a policy, often a flat amount or a low percentage, but it requires no change in how you drive.

Insurers offer it because printing and mailing cost money. To qualify you usually consent to electronic delivery, keep a valid email address on file and manage the policy through an online account or app. Some insurers pair it with an autopay discount or a paid-in-full discount, and together they add up. Example: on a $1,500 annual premium, a 3% paperless discount saves $45 a year (hypothetical figures).

The trade-off is that important notices, such as a renewal offer, a premium increase or a cancellation warning, arrive only electronically and can land in a spam folder. Add the insurer to your safe-sender list and check your account before each renewal. Going paperless is separate from proof of insurance, although most states also accept an electronic ID card shown on a phone. See car insurance discounts: the complete list.