Saving on car care and maintenance is something we all need to do. This is especially true for younger enlisted personnel in the Military, and I know that first-hand from time spent raising a family on an Airman’s salary. Using the right synthetic oil can literally improve your MPG by up to 1 MPG in some cases, and that adds up to hundreds of dollars a year for some drivers! Small stuff like this helped us be frugal and actually save a little money on an E3 salary. But there’s another way to save on car costs that service members should be aware of.

Finding discounts on car insurance is one goal of every car owner and driver. Once drivers leave their youth behind and develop a safe driving record, finding discounts that are large enough to matter can become difficult since insurance companies put them in higher risk categories. One area for discounts that a driver in the military can receive is sometimes overlooked. For those who serve in the armed forces, most car insurers offer discounts and other features that can help military personnel deal with limited budgets.


Car insurance rates are affected by military pay grade.


Generally, as people are promoted in the military, the discounts available for car insurance get deeper. Pay grades of E-4 or higher will usually get a noticeable discount. Insurance companies view higher rank as meaning less car insurance risk. When purchasing insurance, make sure to discuss this with your agent or broker. By getting quotes from multiple agents when shopping for car insurance, you can increase the likelihood that you will find the companies that offer the best discounts to military personnel.

Check out these insurance discounts listed on NerdWallet for more info:


military rank and car insurance discounts


There are some companies that will give similar discounts to veterans and those who have retired from the military.


The insurance applications do not always ask about this. If it is not in the preliminary paperwork, have the agent investigate which companies he or she represents that may offer this type of discount. While these discounts may not be as significant as those who are currently serving, consideration is given for prior service to the country.


National guard and reserve military duty also counts for car insurance discount.


Because the status of these people can change quickly, they are treated about the same as active duty personnel for car insurance rate reductions. The industry standard for discount to this type of military duty is about 15 percent. If you are activated to full time, make your insurance provider aware and your discount may go deeper. If you are called to serve in a hazardous area, most companies have special discounts available.



A special insurance service is available to men and women while they are serving outside of the United States.


An insurance feature that pauses your coverage can be activated when you have to store your vehicle while you are serving overseas. Without this option, you would be forced to either pay for insurance that you are not using or cancel your insurance until you return. The problem with canceling the insurance is that companies charge a penalty for drivers who have a gap in their car insurance coverage. By pausing the insurance, you avoid the gap and your premiums are suspended during your away time.