Pay as you drive insurance programs may reward some drivers for driving less. With the economy down, any chance to save on auto insurance is appreciated.
Pay-as-you-drive insurance sets your premiums based on actual miles driven and other driving habits. Drivers who participate in these programs also get discounts for avoiding violations and accidents, and for limiting time on the road during peak hours and late-night hours. The programs have been gaining popularity as weekly paychecks shrink and households struggle to make ends meet.
Progressive was one of the first major insurance programs to offer telematic based discounts. They were soon followed by State Farm and Allstate. As these programs add members, all three insurance groups have been extending the programs to additional states.
In order to take advantage of a telematics based insurance program, you will have to install a device in your car's diagnostic port. It will track how many miles you drive, how often you brake hard, and how smoothly you navigate turns. At this time, the privacy of drivers seems to be secure, despite these devices using wireless transmitters. Some industry analysts believe that this type of insurance may be the only option in the future.
Unfortunately, motorcycles do not have the required OBD-II diagnostic ports necessary for this type of tracking. If you want to save when insuring your bike, you may want to try Motorcycle Insurance Nevada or Motorcycle Insurance Georgia.
