Save Money: Low Mileage Discounts on Auto Policy

Posted in Auto Insurance , Save on Auto Insurance

February 7th, 2009

Since there is reliable public transportation around you and you work from home, you do not actually use the car very often. You may be able to save money on you car insurance by qualifying for a low mileage discount on your auto insurance policy.

Those who do not use their car often are at less risk for accidents, either big or small. Many car insurance companies may offer a discount to individuals in this category due to the lower risk factor. New technology such as GPS devices can actually track your mileage for a car insurance company, so you can take advantage of the discount if you qualify.

Those who participated in early studies of the GPS-backed option for a low mileage discount on auto insurance policies saved up to $500 a year on their costs. To some, this may seem like a violation of your personal freedom as the GPS device will allow the auto insurance company to track your whereabouts at any given time. But, you may find it worth the compromise to take advantage of the savings.

With a low mileage discount on an auto insurance policy, you can reap the benefits of using public transportation, carpooling, walking or working from home. Take advantage of this option if you do little driving each year.