Drive Fewer Miles To Lower Auto Insurance Costs

Drive fewer miles to lower auto insurance costs

Let's face it: driving fewer miles reduces your chances of being in an accident. And if you're less likely to be involved in a collision, your auto insurance rate will be lower. If you want to lower your auto insurance premium, you should look into ways to reduce your mileage. After calculating your average number of miles driven, you can shop around for the best auto insurance quotes.

Depending on where you live, many of the nation's leading insurers offer low-mileage discounts to drivers. Check with your insurance agent to see if you qualify for a discount on your insurance premiums.

How to lower your auto insurance costs

Here are four ways to cut your mileage to save money on auto insurance:

  1. Make use of public transportation.
  2. Carpooling.
  3. Go for a bike ride.
  4. Walk.

If you live in a state where pay-as-you-drive (PAYD) auto insurance is available, you can purchase a policy based on the actual miles you drive rather than an estimated number of miles. PAYD insurance is available in more than 30 states. Before obtaining auto insurance quotes, check with your auto insurance provider to see if a program is available in your state.

Texas was the first state to provide "by the mile" auto insurance. California recently passed legislation allowing auto insurance companies in the state to offer lower rates to drivers who do not drive their vehicles frequently. Mileage can be verified by having insurance agents, mechanics, or smog check facilities record the data. Mileage can also be tracked using a device.

According to a Brooking Institution report, two out of every three American families would pay lower auto insurance premiums if they purchased insurance on a per-mile basis. Each household could save approximately $270 per vehicle. PAYD insurance may be an attractive option for senior citizens, low-income drivers, part-time workers, and others who do not drive frequently.

If you drive less than 1,000 miles per month or 12,000 miles per year, a pay-as-you-drive insurance plan may be right for you. If you drive more than 15,000 miles per year, this type of plan is not financially feasible. If you drive to work every day, use your car for work, or travel on weekends, a more traditional auto insurance policy would be more appropriate.

You're ready to shop around for lower auto insurance rates once you've done your research on the low-mileage plans available in your state. To get competitive auto insurance quotes from the nation's leading insurance providers, you can call agents in your area, contact insurance companies directly, or use Insuroma.com. To find the best insurance coverage at the best price, simply fill out a simple online form on Insuroma.com. Take the time today to protect yourself and your family.