As people look for ways to cut back during the recession, many are cutting back drastically on the number of miles they drive. According to the Federal Highway Administration, within the past 13 months, Americans have traveled upwards of 112 billion fewer miles.
Pay-As-You-Go insurance is an auto industry-pricing model that rewards drivers with insurance discounts based on the number of miles driven. The concept of Pay-As-You-Go insurance programs is based on the simple notion that those who drive less, pay less.
Between the economy, the green movement and drivers looking to curtail unnecessary driving habits, the driving forecast for 2009 shows a decline in the number of miles driven.
Continue reading "Driving Frequency Drops: People are Driving Less"
Going green has proven to be more than just a trend; for many it is a permanent lifestyle change. The same can be said for the millions of Americans who don't own a hybrid, but are instead driving fewer miles as part of the effort to reduce CO2 vehicle emissions and stop global warming. Now auto insurance companies are rewarding drivers for doing their part to save the environment by offering those who drive less an opportunity to pay less on their auto insurance premiums.
Continue reading "Consumers Drive Less and Drive Green Without a Hybrid"
It would take an 81-cent-per-gallon increase in the gas tax to achieve the 6.5 percent reduction in miles driven that pay-as-you-drive insurance programs would achieve. -Brookings Institute Learn More
If the state of California implemented a pay-as-you-drive insurance program, it would result in an eight-percent decrease in driving from light-duty vehicles. -Brookings Institute Learn More
Nearly two-thirds of Californian households would receive an insurance discount under pay-as-you-drive insurance with an average savings of $276 per vehicle per year.
-Environmental Defense Fund Learn More
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