Can You Buy Auto Insurance by the Mile?

Did you know that you can actually choose to pay for your automobile insurance by the mile? If you didn’t, then don’t feel bad; this money saving little secret is something that few people are aware of. Despite the fact that many don’t know about it, there are many automobile insurance providers that allow their customers to pay for their insurance based on the amount of miles they accumulate. Such a policy enables drivers to pay only for the insurance that they actually use. Most providers don’t consider how often you drive and simply charge you a flat, yearly rate. If you have a vehicle, however, that you don’t drive often or use only for special occasions, then a by the mile insurance provider is a great way to save money and to avoid overpaying for cars that you don’t use all that often. Even those who work long days or nights and keep their cars parked safely most of the day can benefit from these programs.

There are quite a few insurance providers to choose from that offer by the mile rates. The original company to offer this program, Milemeter, is considered to be one of the best. This provider gives you six month policies. Your coverage with this company and with others like it is based on the amount of miles you think you will drive. You can choose between 1000 and 6000 miles for each policy term with each provider. If you overstep your miles, however, be aware that your insurance policy will not be effective. Therefore, it’s important to be honest with your provider about the amount of miles you think you will put on your car. In the event of an accident, you’ll be glad that you told the truth. Mileage is taken when you sign up for such a policy, so there’s really no way to get out of a dangerous and possibly expensive lie.

The company mentioned above, Milemeter, is not your only choice when it comes to choosing by the mile automobile insurance. Though Milemeter has a solid reputation in the automobile insurance industry, it may not be the right fit for you, your car, and your particular needs. As such, make sure that you look at a lot of different providers that offer this unique insurance and that you request rate quotes from all of them. You can use your free rate quotes to find the most affordable provider that offers the best coverage for your vehicle.

Keep in mind, as well, that some traditional providers do have by the mile programs, though these are not usually widely advertised. If you’re working with a traditional company, don’t be afraid to ask if they have any by the mile programs available that you can switch to for a particular vehicle. Switching policies is often a lot less hassle than switching providers altogether if you can avoid it. Also, make sure that you only insure those cars that you don’t drive that often in this manner.

2 Responses to “Can You Buy Auto Insurance by the Mile?”

  1. Can you direct me to any other by the mile auto insurance providers in Texas besides MileMeter?

  2. Hi, Kermit. MileMeter isn’t the only player in Texas. You can try Snapshot from Progressive.

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