Car insurance is required by law and home insurance by many mortgages, so for those types of insurance, initial rates for a given coverage level should be uniform since demand and supply are understood quantities. Instead, they market policies on ancillary benefits, like roadside assistance, home warranties, etc.
Discounts for long term and importantly, lowrisk customers, are a way of securing future revenue by disincentivizing customers from shopping for lower rates elsewhere.
Discounts for long term and importantly, low risk customers, are a way of securing future revenue by disincentivizing customers from shopping for lower rates elsewhere.