Do Dash Cams Lower Car Insurance Costs?

Car dashcams are gaining massive traction worldwide with dashcam footage widely accepted in insurance claims, but do they help reduce car insurance costs?

While the answer isn’t a straightforward "yes," the benefits of using dashcams are undeniable and far-reaching.

These devices add safety or convenience to your drives and, if used correctly, can yield considerable financial and practical benefits, along with better insurance deals.

If you are an individual driver, dashcams can help you prove innocence during disputes or accidents, potentially preventing unjust penalties or premium hikes.

Fleet owners, however, have long recognized the value of dash cams.

Beyond exonerating drivers, dashcams are instrumental in training personnel to adopt safer driving habits. One lesser-known but impactful benefit of dashcams is their ability to indirectly influence insurance rates.

Even without direct discounts, the ability to mitigate disputes and expedite claims makes dash cams a smart investment for any driver.

In this article, we’ll explore how dashcams impact insurance premiums, their role in claim processes, and why they’re an essential addition to every vehicle.

Let’s dive in.

How Dash Cams Impact Car Insurance Rates?

A dashcam, or dash camera, records real-time footage of road activity that car insurance companies can use to investigate accidents instead of eyewitness testimony. You can install these devices yourself or hire a professional. They're usually mounted on windshields or dashboards, recording both inside and outside the vehicle.

Modern dashcams often feature dual lenses to capture both the road and the car’s interior, allowing for all-around coverage.

Insurance Discounts: Myth or Reality?

Do insurers provide discounts for dashcams? It depends on where you live.

UK Drivers: In countries like the UK, several insurers offer discounts for drivers who install dash cams, recognizing their role in reducing accident disputes and fraudulent claims.

US Drivers: In the US, discounts for dash cam usage are rare. Some insurers may consider it a positive safety feature but don’t explicitly reduce premiums based on dash cam installation alone.

Savings Vary By Provider

Discounts may be modest (ranging from 10% to 30%), depending on the insurer, your age, and location.

Useful Tip: Contact your insurer to discuss whether a dashcam qualifies for a discount or provides indirect benefits for your policy.

How Much Can a Dash Cam Save You?

According to a study by the National Highway Traffic Safety Administration (NHTSA), clear evidence like dash cam footage can significantly lower the cost and duration of insurance claims.

Even without explicit discounts, dash cams can indirectly save you money by:

Strengthening Your Case in Claims: Dashcam footage can provide irrefutable evidence, protecting you from wrongful blame.
Preventing Premium Hikes: Avoid fault attribution in accidents that could otherwise increase your rates.
Qualifying for Usage-Based Insurance Programs: Some insurers reward safe driving habits, which dash cams help document.

Benefits of Dash Cams for Insurance Claims

Dash cams are especially valuable when it comes to insurance claims.

They can:

Clear Evidence: Resolve disputes with recorded proof.
Faster Claims: Insurers often resolve claims faster when reliable evidence is available.
Deter Fraud: Dash cams deter scammers attempting “crash-for-cash” schemes, where drivers intentionally cause accidents to claim insurance money.
Promotes mindful driving: Distractions abound behind the wheel and a driver might glance down to either tune the radio or look for directions, both of which are risky instances of distracted driving. When driving, interruptions are inevitable, but dashcams help drivers stay focused on the road.

Are insurance-approved dashcams legitimate?

There’s no official “insurance-approved” dashcam, however, you can choose one based on your budget and needed smart features. For drivers seeking a dash cam that is reliable and feature-rich, Akeeyo dash cams are an excellent choice.

Here’s why:

720° Footage
GPS Tracking
Parking Mode
User-Friendly Design
Heat and cold resistance
G-sensor
Affordable Pricing

Tips for Maximizing Insurance Benefits with Dash Cams

To get the most out of your dashcam, consider these tips:

Install Correctly: Position it for a clear, wide view of the road.
Maintain Regularly: Regularly update firmware and clean the lens.
Notify Your Insurer: While discounts aren’t always guaranteed, it’s worth mentioning.

Are dashcams worth it?

Yes, car dashcams are totally worth it, however, their true worth depends on how you use them and the model you select.

For frequent drivers or fleet owners, the advantages of a reliable dashcam far outweigh the initial costs. If you’re considering one, focus on models that suit your needs and prioritize features that will benefit your driving habits and insurance claims.

Choosing a best value dash cam

Selecting a dashcam that balances performance and affordability is key to ensuring you’re prepared for any situation on the road. Akeeyo stands out as a trusted choice, offering reliable dash cams packed with smart features at a competitive price.

While it's tempting to fall for the cheapest options, beware of low-quality models that produce grainy footage. In insurance claims, poor video quality can undermine your ability to provide clear evidence, with some providers even rejecting subpar footage.

Likewise, using a mobile phone or a GoPro as a substitute for a dedicated dash cam is not advisable. These devices can be distracting and unsafe to operate while driving, and their footage often doesn’t meet insurance company requirements.

Akeeyo dash cams, on the other hand, feature top-notch technology, including HD recording, night vision, GPS tracking, and G-sensor – all designed for extra convenience and safety.

Explore our range of dash cams today and start recording with confidence!

Frequently Asked Questions (FAQs)

Do all US insurers accept dashcam footage as evidence?

Most insurers accept dashcam footage as supporting evidence in claims, but it’s essential to check with your provider for specific guidelines.

Are dashcams legal?

Yes, dashcams are legal but be mindful of state-specific laws regarding audio recording. In some states, consent from all parties involved may be required.

What’s the best dash cam for both affordability and quality?

Akeeyo combines top-tier features with budget-friendly pricing, making it an excellent choice for drivers looking for something reliable to lower their car insurance costs.

Final Thoughts

While dash cams don’t always guarantee lower insurance premiums, they offer undeniable benefits in ensuring safety, providing evidence, and supporting claims. With features like high-definition recording and GPS tracking, dash cams like those from Akeeyo are a valuable investment for every driver.