Could you benefit from pay-by-mile Car Insurance

Traditional Car Insurance is not designed to benefit low mileage drivers. Millions of motorists around the UK who drive less than 7,000 miles per year are paying significantly more than those who spend more time on the road.

After extensive research pay-by-mile car insurers found that the most popular mileage bracket chosen by drivers was between 5,000 and 6,000 miles and while you would assume that less time spent on the road would equate to less risk and therefore , lower premiums, they actually found that those who fell into this bracket were quoted on average around £215 more than motorist completing 11,000 to 12,000 miles a year, this is because in order to keep premiums affordable for higher mileage drivers many car insurers spread the cost across all their customers. This means those who drive less often actually end up paying more to subsidies the increase risk that comes with being a higher mileage driver.

Who is the higher risk?

Despite low-mileage drivers paying in excess for their premiums it is actually the higher mileage drivers are statistically more likely to make a claim on their policy. Those driving 12,000 miles per annum  were found to be 50% more likely to make a claim in the past 5 years compared to those driving under 7,000 miles.

what can be done to rectify this ?

Things are changing after research highlighted this issue a request was made to the Association Of British Insurers to extinguish low mileage penalties and insurers to review their pricing to offer greater transparency in pricing and consider adjusting premiums to reflect the reduced risk levels of those who drive less frequently.

How it Works 

Each driver is given a fixed annual cost or a base fee . The cost of your cover will then determine how many miles you drive which will be added on top of this initial fee, giving the  driver the  charge of how much they pay based on the number of miles they cover.

To help keep track each policyholder is sent a Tracker which is easily plugged in under the cars dashboard, if you have a connected car this can be done without a tracker. You can then download an app or access your online dashboard to see the cost of your journey.

Key Benefits 

  • Fair Flexible Cover
  • Transparent pricing
  • simple billing and reminder system
  • quick quote
  • no extra charge for no claims discount (this comes with the policy)
  • on board car medic
  • Find my car feature

To find out more about the cover and for a transparent,unbiased discussion as to whether this policy could be for you call Daulby Read Insurance Brokers:  01244 311 033 or email