diff --git a/credentials/insecure/insecure.go b/credentials/insecure/insecure.go
new file mode 100644
index 00000000000..7fc11717f76
--- /dev/null
+++ b/credentials/insecure/insecure.go
@@ -0,0 +1,74 @@
+/*
+ *
+ * Copyright 2020 gRPC authors.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ *
+ */
+
+// Package insecure provides an implementation of the
+// credentials.TransportCredentials interface which disables transport security.
+//
+// Experimental
+//
+// Notice: This package is EXPERIMENTAL and may be changed or removed in a
+// later release.
+package insecure
+
+import (
+	"context"
+	"net"
+
+	"google.golang.org/grpc/credentials"
+)
+
+// NewCredentials returns a credentials which disables transport security.
+func NewCredentials() credentials.TransportCredentials {
+	return insecureTC{}
+}
+
+// insecureTC implements the insecure transport credentials. The handshake
+// methods simply return the passed in net.Conn and set the security level to
+// NoSecurity.
+type insecureTC struct{}
+
+func (insecureTC) ClientHandshake(ctx context.Context, _ string, conn net.Conn) (net.Conn, credentials.AuthInfo, error) {
+	return conn, Info{credentials.CommonAuthInfo{SecurityLevel: credentials.NoSecurity}}, nil
+}
+
+func (insecureTC) ServerHandshake(conn net.Conn) (net.Conn, credentials.AuthInfo, error) {
+	return conn, Info{credentials.CommonAuthInfo{SecurityLevel: credentials.NoSecurity}}, nil
+}
+
+func (insecureTC) Info() credentials.ProtocolInfo {
+	return credentials.ProtocolInfo{SecurityProtocol: "insecure"}
+}
+
+func (insecureTC) Clone() credentials.TransportCredentials {
+	return insecureTC{}
+}
+
+func (insecureTC) OverrideServerName(string) error {
+	return nil
+}
+
+// Info contains the auth information for an insecure connection.
+// It implements the AuthInfo interface.
+type Info struct {
+	credentials.CommonAuthInfo
+}
+
+// AuthType returns the type of Info as a string.
+func (Info) AuthType() string {
+	return "insecure"
+}
diff --git a/test/insecure_creds_test.go b/test/insecure_creds_test.go
new file mode 100644
index 00000000000..81d5a5ba5d0
--- /dev/null
+++ b/test/insecure_creds_test.go
@@ -0,0 +1,124 @@
+/*
+ *
+ * Copyright 2020 gRPC authors.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ *
+ */
+
+package test
+
+import (
+	"context"
+	"net"
+	"testing"
+	"time"
+
+	"google.golang.org/grpc"
+	"google.golang.org/grpc/codes"
+	"google.golang.org/grpc/credentials"
+	"google.golang.org/grpc/credentials/insecure"
+	"google.golang.org/grpc/peer"
+	"google.golang.org/grpc/status"
+	testpb "google.golang.org/grpc/test/grpc_testing"
+)
+
+const defaultTestTimeout = 5 * time.Second
+
+// TestInsecureCreds tests the use of insecure creds on the server and client
+// side, and verifies that expect security level and auth info are returned.
+// Also verifies that this credential can interop with existing `WithInsecure`
+// DialOption.
+func (s) TestInsecureCreds(t *testing.T) {
+	tests := []struct {
+		desc                string
+		clientInsecureCreds bool
+		serverInsecureCreds bool
+	}{
+		{
+			desc:                "client and server insecure creds",
+			clientInsecureCreds: true,
+			serverInsecureCreds: true,
+		},
+		{
+			desc:                "client only insecure creds",
+			clientInsecureCreds: true,
+		},
+		{
+			desc:                "server only insecure creds",
+			serverInsecureCreds: true,
+		},
+	}
+
+	for _, test := range tests {
+		t.Run(test.desc, func(t *testing.T) {
+			ss := &stubServer{
+				emptyCall: func(ctx context.Context, in *testpb.Empty) (*testpb.Empty, error) {
+					if !test.serverInsecureCreds {
+						return &testpb.Empty{}, nil
+					}
+
+					pr, ok := peer.FromContext(ctx)
+					if !ok {
+						return nil, status.Error(codes.DataLoss, "Failed to get peer from ctx")
+					}
+					// Check security level.
+					info := pr.AuthInfo.(insecure.Info)
+					if at := info.AuthType(); at != "insecure" {
+						return nil, status.Errorf(codes.Unauthenticated, "Wrong AuthType: got %q, want insecure", at)
+					}
+					if secLevel := info.CommonAuthInfo.SecurityLevel; secLevel != credentials.NoSecurity {
+						return nil, status.Errorf(codes.Unauthenticated, "Wrong security level: got %q, want %q", secLevel, credentials.NoSecurity)
+					}
+					return &testpb.Empty{}, nil
+				},
+			}
+
+			sOpts := []grpc.ServerOption{}
+			if test.serverInsecureCreds {
+				sOpts = append(sOpts, grpc.Creds(insecure.NewCredentials()))
+			}
+			s := grpc.NewServer(sOpts...)
+			defer s.Stop()
+
+			testpb.RegisterTestServiceServer(s, ss)
+
+			lis, err := net.Listen("tcp", "localhost:0")
+			if err != nil {
+				t.Fatalf("net.Listen(tcp, localhost:0) failed: %v", err)
+			}
+
+			go s.Serve(lis)
+
+			addr := lis.Addr().String()
+			ctx, cancel := context.WithTimeout(context.Background(), defaultTestTimeout)
+			defer cancel()
+			cOpts := []grpc.DialOption{grpc.WithBlock()}
+			if test.clientInsecureCreds {
+				cOpts = append(cOpts, grpc.WithTransportCredentials(insecure.NewCredentials()))
+			} else {
+				cOpts = append(cOpts, grpc.WithInsecure())
+			}
+			cc, err := grpc.DialContext(ctx, addr, cOpts...)
+			if err != nil {
+				t.Fatalf("grpc.Dial(%q) failed: %v", addr, err)
+			}
+			defer cc.Close()
+
+			c := testpb.NewTestServiceClient(cc)
+			if _, err = c.EmptyCall(ctx, &testpb.Empty{}); err != nil {
+				t.Fatalf("EmptyCall(_, _) = _, %v; want _, <nil>", err)
+			}
+		})
+	}
+}