Does Having Electronic Stability Control (ESC) Give You an Insurance Discount?
Last Updated on January 25, 2021
Many new vehicles have electronic stability control, also known as ESC. Your vehicle may have ESC, but does it give you an insurance discount?
Yes, some insurers offer discounts for vehicles with electronic stability control and other safety features. ESC is proven to reduce the risk of an accident, making you a less risky driver to insure.
How do electronic stability control car insurance discounts work? How much can you save? Find out everything you need to know about ESC car insurance discounts today in our review.
Yes, Many Insurers Offer Discounts on Electronic Stability Control Systems
Many insurance companies offer discounts to vehicles with electronic stability control.
ESC helps prevent vehicles from rolling over, skidding, or losing traction. Your vehicle may activate ESC when you turn sharply or when you slide on slippery roads.
ESC uses sensors and a computer to determine how your vehicle responds to your steering. If the system detects abnormalities, then ESC may automatically apply your brakes, helping you control your vehicle.
These systems became popular in the 1990s and 2000s. Starting in 2012, the United States began to require ESC on all new vehicles. ESC systems have been standard on new vehicles ever since.
How ESC Car Insurance Discounts Work
Electronic stability control car insurance discounts work in a similar way: insurance companies give you a discount if you drive a vehicle with an electronic stability control system.
Since all new vehicles now have ESC systems, insurers are less likely to offer a specific ESC discount. Most insurers analyze the overall crash data for your vehicle, using that information to calculate risk. If your vehicle is riskier to insure overall, then you’ll pay more for car insurance.
However, some insurers still offer a specific ESC system discount. Contact your insurer to verify the value of the discount.
How Much Can You Save with Electronic Stability Control?
Electronic stability control systems may give you a discount on collision coverage. Collision coverage is the part of your car insurance that applies to your own vehicle after a collision. It covers the cost of repairing or replacing your vehicle.
Some insurers will reduce the cost of collision coverage by 15% for having electronic stability control.
In fact, some studies show that vehicles with electronic stability control pay about 15% less for car insurance than vehicles without ESC. That doesn’t mean insurance companies specifically give 15% discounts for ESC, but it does mean these vehicles are statistically cheaper to insure than vehicles without ESC.
Compare quotes to find out how much you can save for having a vehicle with ESC. Many drivers are surprised to find they can save hundreds of dollars simply by switching to a new company. That’s why it’s important to compare rates.
Insurers Analyze Overall Risk to Calculate Premiums
Car insurance is complicated. Insurers balance risk and reward. They check your driving history, vehicle safety statistics, and countless other factors, then charge premiums based on those factors.
If you are more likely to cause an accident and make a claim, then you’ll pay higher rates for car insurance.
If your vehicle is dangerous to drive, more likely to cause an accident, and more likely to injure its occupants, then you’ll pay more for car insurance.
Statistically, vehicles with electronic stability control systems are safer to drive. They have built-in systems that reduce the likelihood and severity of an accident. That means the insurer is less likely to pay for car repair expenses, car replacements, medical bills, and other costs following an accident.
Ultimately, insurance companies check many factors before giving you a car insurance quote – including the presence of an electronic stability control system.
Which Companies Offer the Best Electronic Stability Control Discounts?
All insurance companies in the United States consider vehicle safety in their premiums. In other words, all insurance companies indirectly offer discounts to vehicles with electronic stability control systems.
In 2008, Farmers became one of the first auto insurance companies in the United States to offer a discount for electronic stability control systems.
Today, few insurers specifically give discounts for ESC, as ESC has been required on all new vehicles for nearly a decade, and ESC has been a standard feature on vehicles since 2012.
However, all insurance companies charge lower rates for safer vehicles. If your vehicle has ESC, you should pay significantly lower rates for collision coverage than a vehicle without ESC, all other things being equal.
How Do Electronic Stability Control Systems Work?
Electronic stability control systems use sensors and on-board computers to detect abnormal vehicle movement.
These sensors gather data from your tires and steering, and the computer interprets the data. If the computer determines you are swerving, skidding, or have lost traction, then the computer activates the electronic stability control system.
Your ESC system continuously monitors your vehicle’s response to your steering output. Based on that output, the system selectively brakes. The system could also raise or lower your engine power to help your vehicle keep steering correctly.
When the ESC system does its job, it prevents you from crashing or flipping over. It could prevent an oversteer that would have turned into a rollover, for example. It’s particularly proven to reduce the risk of rollovers in top-heavy vehicles – like SUVs.
Do Electronic Stability Control Systems Really Work?
Electronic stability control systems really work. They’re scientifically proven to reduce the risk and severity of accidents. That’s why ESC systems have been required on all new vehicles sold since 2012.
One study from the National Highway Traffic Safety Administration found that electronic stability control reduces fatal crashes involving a single car by 36%.
However, ESC systems are particularly valuable for top-heavy vehicles. That same study found that electronic stability control systems reduce fatal crashes by 63% for SUVs, pickups, and vans.
Meanwhile, ESC systems reduce the risk of a fatal single-vehicle roll-over crash even further, dropping the risk of a fatality by 70% for cars and 88% for all other vehicles.
In other words, electronic stability control systems are proven to save lives, reduce the risk of accidents, and reduce the severity of accidents in all vehicles. That’s why governments require electronic stability control systems – and that’s why insurers offer ESC discounts.
Final Word on Electronic Stability Control Systems and Insurance
Electronic stability control systems are popular, proven, and effective ways to save lives. They’re also an easy way to save money on car insurance.
Most insurers do not offer a specific discount for having electronic stability control. However, insurers consider ESC when calculating overall premiums. Studies show that vehicles with ESC pay about 15% less for car insurance than vehicles without ESC.
For all of these reasons, it’s important to compare quotes online to find the best car insurance based on your unique vehicle and driving history.
