People that drive will do anything to try and save money as the cost of driving goes up and down. Some have opted for public transportation, even more have joined carpools. Despite the fact that these are big ways to chip away at the price of gas, in no way does it solve the problem as a whole.
While these options might save on fuel consumption, there are still other costs associated with driving and owning a car, such as insurance. No matter how a person tries to reduce his/her driving they are still charged a full price for auto insurance.
A lot of insurance agencies are considering new insurance plans. There is a new plan that some states are trying, pay per mile auto insurance.
The premiums for this kind of insurance would be based on how much many miles that you drive. A plan such as this would stand to benefit drivers and insurance companies alike. For drivers that don't use their vehicles as much, there is no need for them to pay for full coverage auto insurance.
These drivers would be able to have additional power over the costs associated with their car insurance plans. Driver discounts for those that travel less miles makes complete sense to insurance companies. Both insurance companies and customers will see a price cut.
What type of system would be enforced to determine the number of miles that one drives? They have to protect themselves against scammers that will try to manipulate the system.
Although nothing is official, one possibility includes the installation of an odometer that is linked to the insurance company and sending all information about the amount of travel that you do or perhaps even using something like a GPS unit.
Since this is a pay per mile engagement, the less that a person drives the less their payments would be. Drivers that can keep their travel miles at under 15,000 would stand to see the biggest savings.
With many people driving less, this will be a perfect solution for them and a great way to save some money. However, this is currently only available for persons in Arizona, Indiana, Illinois and Pennsylvania.
While these options might save on fuel consumption, there are still other costs associated with driving and owning a car, such as insurance. No matter how a person tries to reduce his/her driving they are still charged a full price for auto insurance.
A lot of insurance agencies are considering new insurance plans. There is a new plan that some states are trying, pay per mile auto insurance.
The premiums for this kind of insurance would be based on how much many miles that you drive. A plan such as this would stand to benefit drivers and insurance companies alike. For drivers that don't use their vehicles as much, there is no need for them to pay for full coverage auto insurance.
These drivers would be able to have additional power over the costs associated with their car insurance plans. Driver discounts for those that travel less miles makes complete sense to insurance companies. Both insurance companies and customers will see a price cut.
What type of system would be enforced to determine the number of miles that one drives? They have to protect themselves against scammers that will try to manipulate the system.
Although nothing is official, one possibility includes the installation of an odometer that is linked to the insurance company and sending all information about the amount of travel that you do or perhaps even using something like a GPS unit.
Since this is a pay per mile engagement, the less that a person drives the less their payments would be. Drivers that can keep their travel miles at under 15,000 would stand to see the biggest savings.
With many people driving less, this will be a perfect solution for them and a great way to save some money. However, this is currently only available for persons in Arizona, Indiana, Illinois and Pennsylvania.
About the Author:
To learn more go to Low Cost Auto Insurance and Discount Auto Insurance. Chimezirim Odimba helps people save on insurance.
No comments:
Post a Comment