Backup cameras are a standard feature on new vehicles. But do insurance companies give you a discount for having a backup camera?
Keep reading to find out everything you need to know about insurance discounts for backup cameras – including whether or not you can save money by having a backup camera.
No Insurance Companies Currently Offer a Discount for Backup Cameras
As far as our research shows, no insurance company in the United States offers a discount on vehicles with backup cameras.
Yes, backup cameras can reduce the risk of an accident. However, there are no specific discounts linked to backup cameras – just like no major insurance company offers a discount for using a dashcam.
The reason is simple: as of May 1, 2018, all new vehicles sold in the United States are required to have rearview cameras, according to NHTSA regulations. The policy was implemented to reduce the risk of backup accidents, which are particularly common against children and the elderly.
Backup cameras help increase a driver’s range of vision. They have a proven ability to reduce the risk of certain backup accidents. Obviously, however, they’re no replacement for physically turning around and checking your surroundings – and they’re not designed as a replacement.
For similar reasons, the NHTSA has also mandated that automatic emergency braking be standard in all new vehicles by 2022.
Why Don’t Insurance Companies Give Discounts for Backup Cameras?
When all new vehicles have a standard safety feature, it’s rare for insurance companies to offer a discount specific to that feature.
No insurance company gives a discount for having a driver airbag, for example, because this has been a standard vehicle feature for decades. Some insurance companies do give discounts for side airbags and other airbags because there are not standard safety features.
Of course, you could argue that backup cameras save money for car insurance companies. A driver with a backup camera is less likely to make a claim than a driver without a backup camera. However, insurance companies don’t always work logically: no insurance company currently offers a discount for using a dashcam, for example, despite the fact that dashcams can save insurance companies a considerable amount of time and effort during an investigation.
Will an Insurance Company Offer a Discount for Backup Cameras in the Future?
You can find some reports of car insurance companies offering small discounts for dashcam users – so it’s certainly possible that an insurance company will offer a discount for rearview cameras in the future.
However, given the fact that rearview cameras are now standard features on new vehicles, it seems less likely we’ll see a discount for backup cameras in the near future.
Backup Cameras Can Still Save You Money on Car Insurance
Car insurance companies do not provide a discount for backup cameras. However, backup cameras can still save you a significant amount on car insurance.
If a backup camera saves you from a single at-fault accident, for example, then that backup camera just saved you thousands of dollars. You avoid paying your deductible today. You avoid higher insurance rates in the future.
Because of these advantages, a backup camera may be a good investment regardless of the insurance discount.
Insurance Companies May Offer an Indirect Discount for Backup Cameras
Insurance companies use hundreds of factors to determine your car insurance premiums.
Your insurance company also looks at your vehicle’s make, model, and safety record. A vehicle with fewer reported accidents and a higher safety rating may have lower average insurance premiums than another vehicle.
Let’s say your insurance company is comparing policies for you and another driver who has the same age, gender, and driving record. You drive a car with a backup camera. Your car has been linked to no backup accidents involving children and the elderly over the past three years. The other driver’s car has been linked to multiple incidents. In this case, it’s certainly possible for you to receive a discount – although again, hundreds of factors go into each car insurance quote.
We can’t find any insurance companies offering a specific discount for a backup camera. However, it’s certainly possible that buying a vehicle with a backup camera will indirectly help you save money on car insurance.
No insurance company in America currently offers a discount for using a backup camera. It seems unlikely they will offer this discount in the future, as all new vehicles are now required to have backup cameras according to the NHTSA.
However, backup cameras can still save you a significant amount of money on car insurance by reducing the risk of an accident. They also have a proven ability to reduce the risk of inadvertent backup collisions. For these reasons, a backup camera may be a good investment regardless of the lack of insurance discount.