Most U.S. Drivers Unfamiliar with Pay-As-You-Drive Car Insurance
Nov. 6, 2013—Although nearly 70 percent of American drivers say they are better drivers than others, 58 percent of Americans are unfamiliar with pay-as-you-drive (PAYD) car insurance, according to a new InsuranceQuotes.com report.
InsuranceQuotes.com found that roughly two-thirds of drivers who sign up for PAYD car insurance are saving money, but only one percent of all drivers have signed up for the service.
PAYD insurance programs, which base premiums on mileage, driving habits or both, are available from numerous insurance companies in more than half the country.
According to the report, 37 percent of drivers said they would never consider PAYD insurance, while an additional 35 percent said they would only sign up if they were offered a premium discount of 25 percent or greater.
Regarding which factors these programs track, the report found that Americans are most confused about drinking and driving (only 35 percent knew this was not tracked), hard braking (37 percent knew this was tracked), and the time of day you drive (42 percent knew this was tracked).