Because insurance is regulated by the state, discounts for low miles may vary by location. California drivers typically receive a more substantial discount for driving with low mileage, for example, since California law restricts the number of factors unrelated to driving that insurers can use to set rates. No, Geico does not offer a specific discount for low mileage. However, Geico's premiums do take miles into account, since rates are an average of 27% lower for customers who drive 7,500 miles a year than for customers who drive 15,000 miles a year, according to data from WalletHub.
Allstate's Milewise is another pay-per-mile car insurance program that you should consider if you don't drive much and, as a result, want to save money on coverage. With Liberty Mutual's ByMile program, you only pay for the car insurance you need. A telematic device records the number of miles you drive and then bases your fare on the number of miles you traveled in the previous month. According to Liberty Mutual, ByMile users save an average of 25% compared to a traditional auto policy.
Nationwide SmartMiles is a pay-per-mile program that bases your monthly insurance premium on your miles. The less you drive, the less you pay for car coverage. Snapshot by Progressive is a usage-based car insurance program that tracks your driving habits through a connected device or mobile application. The Sfeco RightTrack program records mileage, driving time, and braking and acceleration speeds through a mobile application or a plug-in device.
Depending on your driving habits during the program's 90-day review period, you could receive a discount of up to 30%. You can also keep this discount for the life of your policy. People who drive less than 7,500 miles a year generally qualify for low mileage discounts on their car insurance. You should consider low-mileage car insurance if you are in any of the following situations, as it could make your policy more affordable.
While taking advantage of a low mileage discount may save you some money, there are more effective ways to lower your car insurance premiums and find the cheapest coverage options. Companies sometimes offer you a lower car insurance rate or offer you a discount if you don't drive much, as this reduces the risk of having an accident and of having it cost them money when filing a claim. Drivers can save money by buying car insurance with low mileage, but there may be better ways to reduce car insurance costs without adjusting mileage. To get low-mileage car insurance, you often have to tell your insurer how many miles you drive per year or let your insurer track how many miles you drive per year.
Here are the best discounts on car insurance with low mileage and the companies that can help you save money if you don't drive much. However, low mileage insurance is still complicated, so the best insurance for drivers with low mileage varies. Low-mileage car insurance is car insurance for people who drive less than a certain number of miles per year. In addition, Progressive rewards customer loyalty with discounts for insuring more than one car and combining several policies, such as home and car.
Especially if you have a fixed income, the money you save with a discount on low-mileage car insurance could make a big difference in your life. Car insurance companies consider people who drive less than 7,500 miles per year to be low-mileage drivers, generally speaking. For example, a low-mileage driver in California can save more money than a driver in New Jersey because California law requires insurers to use estimated mileage when determining premiums. Under California law, auto insurers are required to give second highest importance to drivers' annual mileage when determining their premiums, and driving history is the most important.