If you are tired of paying a high car insurance premium, as if anyone isn’t, it may be time to choose a different type of plan, a pay as you drive car insurance plan. This type of plan can be helpful because it focuses specifically on charging you less, if you drive less.

How it Works

The pay as you drive car insurance plan is different from one provider to the next. However, these plans can be outstanding in terms of what they can offer, if you fit the profile of a driver. Here’s how they work. You install a device in your vehicle. This device does not interfere with your driving ability, but it helps to monitor your driving. It watches how much you drive for example. In addition, it monitors how you drive, specifically in the areas of how you accelerate and how you brake.

How You Benefit

If you are one of the people that will benefit from this plan, you will end up paying less overall. To get that lower cost, you need to know what the plan is looking for. In this type of car insurance plan, the fewer miles you drive, the lower your premium will be. The safer you drive (in terms of braking and accelerating for example) the lower your premium is. Of course, this also helps you to save on gas (since accelerating slower and braking slowly help your vehicle to use less gas.)

Where You Can Get Them

Not all car insurance companies actually offer this type of plan, but those that do are becoming more popular. More people are looking for ways to save on car insurance and this is helping to make pay as you drive plans more in demand by drivers. Some of the larger insurance companies are not offering these plans. However, note that this type of plan is not available in all states just yet. To find out if your state has insurance providers offering pay as you drive car insurance plans, contact your state’s insurance regulators to ask. You can also get quotes for this type of plan online.

Why should you bother with pay as you drive car insurance plans? The answer is simple. These plans can save you up to 30 percent off your current premium costs if you drive under 15,000 miles per year and drive safely. That is a huge savings when it comes to car insurance. Virtually anyone will benefit from it, but not everyone will benefit from this type of plan. Therefore, talk to your insurance provider to find out if you qualify.