Renters insurance is already one of the most affordable types of insurance—but many renters still don’t realize how many discounts they qualify for. Whether you’re moving into a new place or looking to reduce your current premium, there are several smart ways to lower your costs without losing essential coverage. This guide walks you through the most effective ways to get discounts on renters insurance and maximize your savings.
Why Do Renters Insurance Companies Offer Discounts?
Insurance companies offer discounts to reward renters who reduce risk. When your home is safer, more secure, and well-maintained, you’re less likely to file a claim—so your insurer offers price breaks in return.
Common reasons renters receive discounts include:
- Reduced risk of theft or fire
- Fewer potential liability claims
- Strong credit or responsible financial behavior
- Long-term customer loyalty
- Bundling multiple policies
The more ways you show you’re a low-risk renter, the more you can save.
1. Bundle Renters and Auto Insurance
One of the biggest and easiest discounts comes from bundling. When you purchase renters insurance from the same company that insures your vehicle, you may save 10–25% on both policies.
Bundling provides benefits like:
- Lower premiums
- One point of contact
- Simplified billing
Always compare bundled pricing across insurers—bundles aren’t always the cheapest overall deal.
2. Improve Home Security
Adding safety features to your rental can qualify you for meaningful discounts because insurers see secure homes as lower risk for theft and damage.
Common security-related discounts include:
- Deadbolt locks
- Security alarms
- Smart home alarm systems
- Video doorbells
- Monitored security services
- Smoke and CO detectors
- Sprinkler systems
Most insurers offer 5–15% off for homes with verified security systems.
3. Install Fire Safety Equipment
Fire-related claims can be expensive, so insurers reward renters who take steps to reduce fire risk.
You may earn discounts for having:
- Working smoke detectors
- Carbon monoxide detectors
- Fire extinguishers
- Sprinkler systems
- Heat sensors
Even if your landlord provides some of these, you still benefit from the discount.
4. Maintain a Good Credit Score (Where Allowed)
In many states, insurers use credit-based scoring to help determine premiums. A higher credit score often means lower insurance costs.
States that restrict or ban credit scoring for insurance:
California, Maryland, Massachusetts, and Hawaii.
If you live elsewhere, improving your credit score may directly reduce your renters insurance cost.
5. Choose a Higher Deductible
You can lower your premium by choosing a higher deductible, such as increasing from $250 to $500 or $1,000.
A higher deductible:
- Reduces your monthly cost
- Signals lower risk to insurers
- Works best for people who rarely file claims
Only choose a deductible you can comfortably afford in an emergency.
6. Stay Claims-Free
Just like with auto or home insurance, renters may qualify for claims-free discounts after going a certain number of years without filing a claim.
Avoid filing small claims when possible. Paying minor issues out of pocket often prevents rate increases and keeps you eligible for discounts.
7. Use Smart Home Devices
Many insurers now reward renters who use technology designed to prevent damage or theft.
You may receive discounts for:
- Smart water leak detectors
- Motion sensors
- Smart smoke detectors
- Wi-Fi security cameras
- Smart door locks
Smart home discounts usually range 5–10% depending on your insurer.
8. Pay Your Premium in Full
Paying your annual premium upfront instead of monthly often results in:
- Pay-in-full discounts
- Lower administrative fees
- More predictable costs
These discounts typically range from 3–8%.
9. Take Advantage of Loyalty Discounts
Insurers value long-term customers. After being with the same company for 2–5 years, you may qualify for loyalty-based savings.
Discounts may increase over time, especially if combined with bundling or claims-free status.
10. Ask for Affinity or Membership Discounts
You may qualify for additional discounts if you’re part of certain:
- Alumni groups
- Professional organizations
- Labor unions
- Military groups
- Employer programs
These discounts aren’t always advertised—always ask.
11. Reduce Risk Factors in Your Rental
Some rental features increase insurance risk. If you can reduce or eliminate these risks, your insurer may offer a better rate.
Examples include:
- Living in a gated or secured community
- Renting in a building with modern wiring and plumbing
- Staying in a first-floor or safer floor unit
- Ensuring your landlord maintains the property
Even choosing a building with a doorman or onsite security can qualify you for discounts.
12. Shop Around Regularly
Renters insurance premiums change, and companies evaluate risk differently. Shopping around:
- Helps you find better deals
- Reveals new discount options
- Ensures you’re not overpaying
Experts recommend comparing prices every 12–24 months.
Final Thoughts
Renters insurance is affordable—and with the right discounts, it becomes even more cost-effective. By bundling services, installing safety features, improving credit, choosing smart devices, and staying claims-free, you can significantly reduce your premium while maintaining strong protection for your belongings and liability.
Use this guide to maximize your savings and ensure you’re getting the best value on renters insurance.