Insurance Insights: Pay As You Drive
Good drivers who don’t log many miles on their vehicles may be interested in “pay-as-you-drive” automobile insurance. This program, which is offered by a number of insurance companies, requires the installation of a tracking device that can earn discounts of up to 50% on auto insurance premiums depending on mileage, the times of day that the policyholder drives, braking patterns, speed, and other factors. Pay-as-you-drive is tailor-made for drivers with good safety records, who have short commutes to work from home, and who use their vehicles on a limited basis. In essence, the program rewards people for good driving. Those deserving of this benefit do not mind being monitored, The system is also useful of tracking teenage drivers in the household.
Pay-as-you-drive insurance is beneficial in several ways. First, the insurance discount lowers transportation costs. Second, it encourages consumers to drive less and drive green, reducing vehicle emissions and contributing to worldwide environmental efforts. To learn more, please call our office. Whether it’s home, auto, or business insurance, our office designs and develops total insurance programs. We also feature insurance for woodworkers, entertainment businesses, and schools.
Quick Tip: The pay-as-you-drive insurance discount was first developed in the U.K. and then adopted by a few insurance companies in the U.S. It is not available in all states.