|
Sara Routhier, Managing Editor and Outreach Director, has professional feel as an educator, SEO specialist, and content seller. She has over five years of experience in the insurance industry. As a research worker, data nerd, writer, and editor she strives to curate educational, enlightening articles that provide you with the must-know facts and best-kept secrets within the overwhelm global o … Full Bio → |
Written by
Sara Routhier Director of Outreach 
|
|
Cynthia Lanctot is an policy professional with ten-spot years of diligence experience. Cynthia is licensed in several states, and holds an associate degree in claims police, vitamin a well as a bachelor ’ s degree in English. Cynthia ’ s experience includes the New England and Northeast states. She presently works as a liability claims professional and an casual on-line contributor . |
Reviewed by
Cynthia Lanctot Licensed Agent 
|
editorial Guidelines : We are a rid on-line resource for anyone concern in learning more about car policy. Our goal is to be an objective, third-party resource for everything car indemnity related. We update our site regularly, and all message is reviewed by car indemnity experts .
A Concise Overview
- Although usage-based insurance is trending, it’s not required
- Usage-based insurance tracks data on how many miles you drive or how safe of a driver you are
- There are some serious risks involved with allowing insurance companies to track your driving using data
Usage-based indemnity programs are offered by car policy companies far and wide, but they are in no manner mandate. There are no car indemnity companies that don ’ deoxythymidine monophosphate admonisher your driving — but the choice of if they do or not is up to you .
Each indemnity company hosts its own adaptation of a usage-based program and uses its own software, devices, and systems to aid this plan. Keep read to decide if you should or should not allow your insurance company to collect this datum .
You aren ’ metric ton able to buy car indemnity from companies that don ’ thymine monitor your drive, but you can still find low-cost car policy near you. Enter your ZIP code and get free quotes today .
Which auto insurance companies don’t monitor your driving?
Auto policy companies that don ’ metric ton admonisher your driving do not exist. All cable car policy companies offer a policy that allows them to track your driving using a device that is implanted in your car or through an app that is downloaded to your telephone .
This concept is known as usage-based insurance. Either of the devices uses GPS and other location-tracking features to collect data. Things that are tracked include focal ratio, acceleration, braking, fomite custom, prison term of day, and distracted driving habits .
Although usage-based indemnity is trending, it is not required. You have to opt into the service and add it to your policy for an insurance company to track your driving habits .
Compare Quotes From top Companies and Save
Read more: The 7 Best Car Insurance Companies (2022)
Secured with SHA-256 Encryption
Secured with SHA-256 Encryption
What is usage-based insurance?
Pay-how-you drive, pay-as-you-go, and pay-per-mile are terms that some indemnity companies frequently use in place of usage-based. Usage-based insurance tracks data on how many miles you drive and how safe of a driver you are .
If you don ’ metric ton drive much, drive during the day, and otherwise obey the rules of the road, you can save money on your car insurance rates with car indemnity companies that monitor your drive .
however, if you are a bad driver, you will want to opt out of usage-based policy as it ’ s likely to raise your rates. bad car indemnity is more expensive than standard insurance .
What are some risks of usage-based insurance?
Each type of usage-based policy has different specifics which vary depending on which car insurance company tracks your data. There are pros and cons to this form of policy :
| Pros | Cons | |
|---|---|---|
| Good drivers can get cheaper rates due to safe driving habits | If you have a longer commute and are a safe driver, you may not be eligible for lower rates. | |
| Usage-based plans partially justifies auto insurers pricing quotes based on non-driving factors | Driving at night could put you at risk for higher-than-expected insurance rates | |
| You may be encouraged to use your car less, helping the environment and reducing the likelihood of a collision. | ||
| Get Your Rates Quote Now | #blank# | |
Compare RatesStart Now → There are many perks to using usage-based car insurance, but having an insurance caller admonisher and collect your driving data could be considered an invasion of privacy, which is why it is not a mandatary dowry of your policy .
cable car insurance tracking devices besides have dangerous risks when it comes to collisions .
If a collision were to happen and only one party is insured, your policy company can use the data from your tracking device to prove whether or not you contributed to the crash. If you did, you could be assigned a higher share of demerit and pay more out of pocket .
Raw datum from tracking devices can besides help your policy company make both parties try to split the fault, evening if one person is more at blame than the other .
The data from your tracking device can besides be shared by your insurance company with the other supplier involved in the collision. Auto policy companies can besides share your tracked data with third-party advertisers .
insurance companies are created to look out for those they insure, but they besides must work in the most profitable way for the company. This is why it ’ south important to protect your personal data.
Since there is no such matter as car indemnity companies that don ’ deoxythymidine monophosphate monitor your drive, constantly be sure to read your policy and opt out of any usage-based car policy discounts if you aren ’ t comfortable with sharing your data .
Find out which policy is best for you hera with our free comparison cock below. Enter your ZIP code and get free car policy quotes today .