Credit Karma launches Karma Drive, a simple way to qualify for an auto insurance discount in as few as 30 days

With Karma Drive, Credit Karma members in the U.S. can see if they qualify for a discount on a new auto insurance policy from Progressive Insurance

Dec. 17, 2020 OAKLAND, CALIF. – Credit Karma, LLC, the consumer technology platform with more than 110 million members in the U.S., Canada and U.K., continues expansion of its auto insurance offerings with the launch of Karma Drive, a usage-based insurance savings opportunity from Progressive® for Credit Karma members in the U.S. Karma Drive allows members an easy opportunity to potentially obtain an auto insurance discount based on their actual driving, with no requirements to purchase a new policy before seeing how much money they can save. 


Karma Drive equips its U.S. members with an easy opportunity to save on their auto insurance by collaborating with the usage-based insurance leader, Progressive Insurance.  As Americans return to the roads and start heading back to work, there is no better time to see if their driving might qualify them for savings on a new auto insurance policy. Beyond potential savings opportunities, Karma Drive will equip consumers with driving insights and provide feedback to make them more aware of their driving behaviors.

“For many of our members, a vehicle is their largest and most costly asset,” said Rory Joyce, senior director of product, Credit Karma Auto. “Karma Drive delivers on our vision to bring transparency, fairness and accuracy to our members’ auto expenses with an easy opportunity to potentially save money on their auto insurance. Plus, it might even help them become more aware of ways to be a safer driver.” 


Credit Karma members can access a 30-day driving trial, directly from the Credit Karma app, where they will receive continuous real-time, rich feedback on their driving. During the trial, members just drive with their mobile phone on them — no additional app to download or telematics device required. In as few as 30 days, members are alerted if they qualify for a discount on a Progressive auto insurance policy, if they are not already a Progressive policy holder. Typically, usage-based insurance opportunities are attainable after a consumer purchases a policy, but with Karma Drive, members get to see how much they could save without purchasing a policy. 


Just like Credit Karma is known to provide members with actionable insights and tips to help them build their credit, Karma Drive does the same to help them improve their driving habits, with the goal of helping members qualify for a policy discount. Saving money has never been easier — no additional apps to download, plug-in devices to install or agents to call, just hit the road and check the Credit Karma app for driving feedback and a potential premium discount offer from Progressive. Karma Drive is currently available in 39 states and will  expand to 41 states in 2021.1

“Progressive continues to innovate and make it easier for good drivers to save on auto insurance. We are thrilled to collaborate with Credit Karma to bring this unique value proposition to their customers,” said Jim Haas, Progressive’s Usage Based Insurance Business Leader. “This is an exciting opportunity for potential auto insurance savings on a platform that consumers trust and visit regularly to seek financial guidance.” 

This news comes on the heels of Credit Karma’s growing strides in the autos business, which has seen triple digit growth in 2020 as many consumers have turned to Credit Karma to help them take control of their finances during these trying times. More than 16 million members have synced their vehicles with the platform. Credit Karma plans to build on this momentum in 2021 as it bolsters its auto insurance experience by launching new and innovative ways to deliver more consumer choice and savings opportunities in the auto insurance space. 

Credit Karma remains an independent party with no plans to become an insurance carrier. Instead, Credit Karma partnered with Progressive, the pioneer of usage-based insurance, to deliver its members an easy way to save money on their auto insurance. 

To capture and analyze driving signals in the Karma Drive experience, Credit Karma partnered with Zendrive, the leading Mobility Risk Intelligence platform that enables insurance partners to accurately predict and underwrite risk.

1Karma Drive is not available in the following states: AK, AL, CA, HI, MA, NC, NY, VA, WA, FL, SC

Auto, homeowners, and renters insurance services offered through Credit Karma Insurance Services, LLC (dba Karma Insurance Services, LLC; CA resident license #0172748).

About Credit Karma, LLC 

Founded in 2007 by Ken Lin, Credit Karma is a consumer technology company with more than 110 million members in the United States, U.K. and Canada, including almost half of all U.S. millennials. While best known for pioneering free credit scores, the company’s members turn to Credit Karma for everything related to their financial goals, including identity monitoring, applying for credit cards, shopping for loans (car, home and personal), high-yield savings accounts and now checking accounts through our bank partner, MVB Bank, Inc., Member FDIC — all for free. Learn more about how Credit Karma members are making financial progress on Instagram, Facebook and Twitter.