How to Lower Your Car Insurance Bill For Massive Savings

This post about how to lower your car insurance is sponsored by Metromile.

Car driving on the open road

When I was a kid, we used to take super long road trips.  I had an uncle who lived way up in the Gaspé Peninsula in Quebec.  My parents used to drop me off there every year for summer vacation.  I used to love it because it is such a beautiful place and my aunt and uncle used to spoil me. One thing I didn’t love though was the drive.  It took 20 hours to get there.  We would make many stops along the way, but it was still long, especially for a kid.

Nowadays, I still take road trips with my family.  Although we love to travel,  we don’t tend to venture too far from home when it comes to road trips.  I think the farthest we have driven was to Virginia Beach a few years ago.  In fact, we don’t do a whole lot of driving in general, which had me thinking about insurance.  We’ve had the same auto insurance company for over 10 years.  Have you ever thought about how to lower your car insurance bill? Just the other day Philip was saying that we need to get quotes from other companies because of the fact that we don’t drive a lot, plus we both have good driving records.

In doing some research, it seems like If you don’t drive much, you’re basically covering the costs of insuring drivers who put tens of thousands of miles on their odometers each year. In fact, statistics show that 65% of drivers actually subsidize the remaining 35% of higher mileage drivers. How is that fair? Fortunately, there is a company that is doing things differently.  The company is called Metromile Car Insurance and they offer per-mile insurance pricing which means that drivers only pay a few cents per mile with a low base rate each month for full coverage.

Who Benefits from Per-Mile insurance?

Anyone who drives less than 10,000 miles per year could benefit from Metromile Car Insurance’s per-mile pricing of auto insurance. Drivers routinely face higher than normal costs for insurance due to traffic, crime, rough urban roads, tourist drivers and congestion, all of which raise auto insurance rates. People who can benefit from this type of insurance include students, people who work in stationary locations most of the week, retirees, empty nesters, city commuters and urban residents who keep a car for emergencies but mostly drive only to move their cars to the opposite side of the street for street cleaning. For these people, per-mile insurance could provide astonishing financial savings. In fact, most low-mileage drivers save an average of $500 per year on auto insurance.

The biggest risk factor in driving is how many hours you spend on the road, so low-mileage drivers deserve lower prices. Insurance companies usually ask for an estimate of how many miles you drive annually, but they don’t usually verify the mileage or change your rates much based on your response.  Metromile uses a special device called the Metromile pulse to app to track miles.  This device plugs into the standard OBII port of your vehicle and is used to track mileage and provide car data, such as driving stats, engine health and car location. It’s even been used to recover stolen cars!  Once you have the device installed, you can keep track of your mileage using the app. The app tracks your mileage so that you only pay insurance for the miles you actually drive each month.

how to lower your car insurance bill - metromile ios app

Many drivers worry that discounted, per-mile insurance probably comes with strings attached, more red tape and other restrictions. but all these worries are groundless because the claims process is just as simple as with ordinary insurance policies. Your per-mile rates stay the same no matter how little or how much you drive. So that means if you decide to take a road trip, You don’t have to worry because with their per-mile insurance,  the miles charged is capped at 150 miles a day, so you aren’t charged for the miles you drive above your per-mile rate.  This revolutionary pricing model offers extraordinary benefits for low-mileage drivers. This is the way that auto insurance should be; you shouldn’t have to subsidize drivers who keep the wheels turning almost constantly.  Metromile allows you to pay while you’re driving, and not pay while you’re just lounging around spending time with your family.

Right now Metromile is only available in California, Illinois, New Jersey, Oregon, Pennsylvania, Virginia, and Washington. If you live in one of these areas and have been thinking about how to lower your car insurance bill,  visit their website to get a quote and see how much you can save.

__________________________________________________________________________________________________________ Disclosure of Material Connection: Some of the links in the post above may be “affiliate links.” This means if you click on the link and purchase the item, I will receive an affiliate commission. I am disclosing this in accordance with the Federal Trade Commission’s 16 CFR, Part 255: “Guides Concerning the Use of Endorsements and Testimonials in Advertising.”

About the author

Diane

Diane is a New Jersey-based writer and blogger. She is a wife and the mom of a 9-year-old little boy. Through her blog, she wants to inspire moms to find Zen in their lives while offering practical tips and other valuable information to help families deal with everyday issues. Contact her at dianenassy@gmail.com