Usage Based Auto Insurance

If you are a good driver, you may be able to benefit from lower insurance premiums. Many auto insurance providers are now offering pay as you drive car insurance policies that will base your auto insurance rates off of how good of a driver you are.

These usage based auto insurance policies come with a small device that you install in your vehicle and will track your driving habits. If you slam on your brakes or speed each morning to get to work, the device will record it and send the information back to your insurance company. You will then pay for your insurance premiums based on how well you drive.

Pay as you go auto insurance can work for many people, including:

• Parents of teen drivers – some of the usage based devices have a GPS component that will allow parents to track how safely they drive.
• People who work from home – the less you drive, the lower your rates will be. If you do not have to drive to and from work each day, you can enjoy lower auto insurance premiums than if you invest in a typical car insurance policy.
• People who do not speed – the more you speed, the less of a discount pay as you go auto insurance will offer you. As long as you stay at or just above the posted speed limit, the device will not register the excess speed, which means that you will be able to benefit from a lower auto insurance bill.

For all of your auto insurance coverage needs, contact the insurance professionals at Michelle Lim Insurance Services Insurance in Alhambra, California. As an independent insurance agency, we will work with you to ensure that you have the right amount of coverage, all at the right price to fit your budget.