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USAA Offers the Cheapest Low-mileage Car Insurance for $78 a month, but Erie Insurance and Auto-Owners Insurance Also Have More Affordable Rates.
Auto Insurance For Low-mileage Drivers
In this article, we at the Guides Team will cover the best car insurance companies for low-mileage drivers, including those companies that offer low-mileage discounts, pay-per-mile insurance and usage-based insurance.
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The Guides team is dedicated to providing reliable information to help you make the best decision about your car insurance. Because customers trust us to provide objective and accurate information, we have developed a comprehensive rating system to create our stock of top quality car insurance companies. We have collected data on many auto insurance providers to provide companies on different types of positions. After 800 hours of research, the result was an overall rating for each provider, with insurers getting the most points at the top of the list.
In our review of insurance premiums, we found that several providers also offer lower rates for low-mileage drivers. We analyzed car insurance rates for 35-year-old drivers who drive 12 miles per year and 6,000 miles per year.
Below are the seven cheapest insurance companies with the lowest rates for average-mileage and low-mileage drivers, according to our rating. These car insurance premiums are based on a standard insurance policy, without taking telematics or low-mileage discounts into account.
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With low-mileage car insurance, you can save money by driving less. This is because you are less likely to get into an accident and cost the insurance company money if you don’t drive as much as other policy holders.
If you are looking for cheap car insurance, there are two types of low mileage auto insurance worth considering:
According to the Federal Highway Administration, drivers put about 13,500 miles on their cars per year on average. Technically, anything below that number is below average. However, to see the lowest rates based on your mileage, you will need to drive about 8,000 miles or less per year.
There are three ways to save on car insurance if you don’t drive a lot. You can take advantage of low-mileage discounts, pay-per-mile insurance or usage-based insurance.
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Keep in mind that we’re talking about mileage over time, not the number of miles on your odometer. In other words, your car must not have less than 8,000 miles on the odometer for you to qualify for low-mileage insurance – you just need to drive less than 8,000 miles each year.
The easiest way to save with low-mileage car insurance is to get a quote from your provider. Not all companies offer low-mileage discounts. They usually offer discounts if you drive less than 7,500 or 8,000 miles a year, about 21 to 22 miles a day.
If your average mileage has changed since last year, it’s a good idea to reach out to your agent to see if the company offers a low-mileage discount. Companies that don’t advertise low-mileage discounts may consider your mileage when updating your rate, too.
Pay-per-mile plans are designed to give drivers the best options for low-cost car insurance. With these plans, your rate is tied directly to your mileage. These programs usually include a minimum rate and a monthly mileage rate. Programs that track your mileage with a plug-in device or mobile phone.
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Pay-per-mile programs also cap the number of miles charged per day, which means you can take a road trip without worrying about a $1,000 insurance bill. A few leading pay-per-mile providers are:
Another way to save money with low-mileage car insurance is a test-based plan like Snapshot® from Progressive. Application programs track driving behaviors such as hard braking, late-night driving and speeding.
Many of these programs also consider mileage as a major factor in determining your discount. While usage-based options are not advertised as low-mileage car insurance plans, people who drive less often save more. Safe driving programs that count distance or miles driven into your score include:
Keep in mind that these programs track some things over mileage, so you may not save money if you have bad driving habits. That said, it might be a good idea to look at program-based programs if you want coverage from another provider that doesn’t offer a mileage discount or a pay-per-mile program.
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Low-mileage car insurance is available to those who drive less than 8,000 miles per year. Several companies offer low mileage auto insurance through discounts and pay-per-mile insurance. Keep in mind that these programs track some things over mileage, so you may not save money if you have bad driving habits.
It may be a good idea to look at the terms of use if you want coverage from another provider that doesn’t offer a mileage discount or a pay-per-mile plan. We recommend reaching out to companies for free car insurance quotes before deciding on an insurance provider.
There are different ways to take advantage of low-mileage car insurance. Finding the right insurance for your situation can take some comparison shopping. You should be comfortable not only with the provider’s price, but also with its coverage and customer service. You can use our free quote tool to compare insurance prices.
If you qualify for USAA and drive less than the average person, you can get a good rate with a low-mileage car insurance discount. Members of the military, veterans and their immediate family members may qualify for USAA car insurance.
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USAA ranks as one of the cheapest car insurance companies overall and has a great customer service record.
Progressive doesn’t have a specific low-mileage discount, but it does offer the Snapshot usage-based program, which factors mileage into your balance. Snapshot is one of the most widely available application-based programs in the US.
Progressive was the third largest auto insurance company in the country in 2020, according to the National Association of Insurance Commissioners (NAIC), and recorded more than $33 billion in revenue that year.
To get low-mileage car insurance discounts, you usually need to drive less than 7,500 or 8,000 miles per year. However, some companies may offer discounts if you drive fewer miles than the national average of 13,500 miles per year.
Car Insurance Under $50 A Month
USAA, Safeco Insurance, American Family Insurance, Farm Bureau and PEMCO offer low mileage discounts. Discounts may vary depending on your mileage and your state.
Car insurance may or may not be cheaper if you drive less miles. It’s only cheap if you find a company that takes mileage into account in setting your base rate, offers a low-mileage discount, offers a pay-per-mile plan or offers usage-based insurance that uses mileage as a benchmark.
If you drive less than 25 miles a day, find out if your car insurance company offers a low-mileage discount. You can also consider usage-based discounts that track your driving or pay-per-mile plans.
Because customers trust us to provide objective and accurate information, we have developed a comprehensive rating system to create our stock of top quality car insurance companies. We have collected data on many auto insurance providers to provide companies on different types of positions. The result was an overall rating for each provider, with insurers who won more points than the list. If you want to cover your car with a small amount up front, then the cheapest insurance no deposit program can be the answer. Not every carrier has deposit auto insurance coverage, but there are several that do. This article explains in detail how to get cheap auto insurance rates with no down payment required.
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In recent times, car insurance rates have risen and are set to rise in the foreseeable future. For drivers who qualify, it’s still possible to get good coverage at affordable rates. These include plans with no deposit and monthly rates starting as low as $39. Just enter your zip code to compare online quotes and answer a few simple questions. Everything takes about 3-4 minutes.
A no-down-payment policy means that the auto insurance company considers your down payment as a deposit. The total payment amount will be divided into equal payments. You will not be required to make a deposit, just the first one each month for your cover to start.
With a cheap car insurance no deposit plan, your first monthly payment will be considered your payment. No deposit policies spread the cost of your car insurance over the course of a year, making it look like you’re not paying a deposit.
Many people mistakenly think that they will get the first month of free car insurance with this type of plan. These are just lies. With a cheap car insurance no deposit plan, you still have to make a down payment before your policy is processed. There is no insurance company that offers free auto
