Pay-Per-Mile Car Insurance in Illinois

According to AAA’s most recent American Driving Survey, the average driver logs about 30 miles per day. Initially, that might not sound like much, but it quickly adds up to over 10,000 miles annually. If you drive anywhere close to this much, pay-per-mile car insurance in Illinois probably isn’t your best auto insurance option.

However, if you drive under 30 miles each day and fewer than 8,000 miles yearly, pay-per-mile auto insurance is a much better choice than a traditional car insurance policy. You could save hundreds and possibly even thousands of dollars every year by investing in this type of insurance in Illinois.

Are you intrigued? Keep reading to learn everything you need to know about pay-per-mile insurance.

What Is Pay-Per-Mile Car Insurance?

Pay-per-mile car insurance goes by many names, including pay-as-you-go and pay-as-you-drive insurance. But no matter what you choose to call it, this innovative type of insurance instantly sets itself apart from other auto insurance options.

On the surface, pay-per-mile car insurance is similar to a traditional car insurance policy in that it can provide collision, comprehensive, and uninsured motorist coverage options. Other features like liability coverage and roadside assistance are also usually included in an insurance policy for low-mileage drivers in Illinois.

However, one distinct difference separates this kind of car insurance from a standard insurance policy: Pay-per-mile insurance prices are based on the miles you drive each month. The less time you spend behind the wheel, the lower your insurance payments will ultimately be.

Pay-per-mile car insurance policies have only been around for about 20 years, but they’ve already become hugely popular among those with vehicles in Illinois who don’t drive much. If this sounds like you, you’re the perfect candidate for a pay-per-mile policy!

How Does Pay-Per-Mile Auto Insurance Work?

Besides offering cost savings on car insurance that you will undoubtedly appreciate, you will also enjoy how easy it is to understand how pay-per-mile auto insurance works. Its simplicity is another factor that makes it an enticing option for those shopping for new car insurance policies.

When you first sign up for a pay-per-mile insurance policy, an insurer like Insurance Navy will begin by determining your daily or monthly rate, also called your base insurance rate. This rate will stay the same each day or month based on:

Your age
Your vehicle’s make, model, and year
Your driving history
Your credit score

An insurer will also calculate the per-mile payments you will make each month, depending on how many miles you put on your vehicle’s odometer. You will make monthly payments to your insurer tied to the miles you drove during the previous 30 days.

The beauty of pay-per-mile insurance is that you maintain control over its monthly cost. Many drivers in Illinois love the freedom this gives them over their insurance premiums.

How Do Insurance Companies That Offer Pay-Per-Mile Insurance Track Your Miles?

When you invest in a pay-per-mile insurance policy, you must report the miles you drive each month to your insurance company. Many major insurance companies have found that asking drivers to install special devices to track their miles and consumer behavior, like driving speed, idle time, and harsh braking, is the most effective way to monitor how often drivers use their cars.

Unfortunately, not all drivers in Illinois feel comfortable with these arrangements. Some devices that insurance providers use to calculate pay-per-mile payments also track drivers’ whereabouts. While you can usually turn off this feature, it isn’t always a given.

If you don’t like the idea of your auto insurance company tracking you and collecting data related to your location, auto insurers like Insurance Navy offer a fantastic alternative. Instead of installing a plug-in device to track the miles you drive monthly, you can snap a picture of your odometer every month with your smartphone to keep us in the loop about your mileage. We make paying for pay-per-mile car insurance as simple as that!

What Are the Benefits of Pay-Per-Mile Insurance?

Pay-per-mile car insurance in Illinois isn’t necessarily for everyone. If, for example, you’re commuting to work each day or routinely driving your kids all over town, you may not wish to take advantage of pay-per-mile insurance. It could cost you more than traditional auto insurance coverage.

However, if you don’t drive your car every day, you may be rewarded handsomely every month with pay-per-mile insurance. The following benefits come with this type of auto insurance policy.

Provides Similar Coverage to Traditional Car Insurance Programs

Some people believe that pay-per-mile car insurance must provide less coverage than traditional car insurance programs because of its comparatively low cost. You will be happy to hear that this is not the case!

While every pay-per-mile policy differs, most provide the same full coverage you would get from a traditional policy. This includes collision, comprehensive, liability, and uninsured motorist coverage. It may even include roadside assistance.

You won’t need to worry about the average pay-per-mile insurance policy providing lackluster coverage. If you’re ever involved in an accident and have this insurance model, it should give the same coverage delivered by a more traditional insurance option.

Offers Standard Insurance Coverage Options With Low-Mileage Discounts

When you have pay-per-mile car insurance in Illinois, you will pay a fixed monthly base rate. This number is based on everything from your age to your credit history, and it won’t change much every month.

Your driving mileage will change, and this number will affect the payments you make to your insurance company.

As long as you don’t drive significantly more than anticipated, you should save your fair share of extra money every month with pay-per-mile insurance. Some drivers in Illinois save thousands of dollars by switching from a typical car insurance policy to a pay-per-mile plan.

Encourages Taking a More Eco-Friendly Approach to Driving

Are you someone who makes a concerted effort to drive as little as possible so your transportation habits don’t have too big of an impact on the planet? You can continue to do this — and do it even better than ever before — with a pay-per-mile insurance policy.

This policy might motivate you to start carpooling with others, taking public transportation, or even walking or riding a bike places rather than driving. You will like knowing that you’re saving money on car insurance by taking one of these steps while also doing your part to protect the planet through your eco-friendly approach to getting around.

Delivers More Flexibility Than Other Car Insurance Policies

Most of your monthly expenses don’t offer much flexibility. You likely pay a set fee to everyone from your current insurer to your favorite movie-streaming service. You can’t adjust that fee during months when money is tighter than usual.

Signing up for pay-per-mile car insurance is different because it allows you to reduce your monthly driving to save money on auto insurance payments. This is a breath of fresh air for those normally forced to pay astronomical auto insurance rates regardless of how much driving they do.

Who Should Consider Signing Up for Pay-Per-Mile Policies?

Not sure if pay-per-mile car insurance in Illinois is a good option for you? Keep a close eye on your vehicle’s odometer over the next month or two to see how many miles you typically drive. Consider signing up for a pay-per-mile policy if you’re driving much less than you realized.

Here are just some of the drivers who could benefit from this kind of car insurance policy:

People who work from home and don’t have to commute to and from their workplace each day
Students who don’t usually climb behind the wheel of their cars much throughout the week
Retirees who aren’t required to take regular trips to job sites as part of the workforce anymore
Those who find that using public transportation to get around is often their easiest option
Drivers with leased cars who must keep them under a certain number of miles each year

Why pay for auto insurance coverage you aren’t using day in and day out? Anyone who limits their daily time in a car is a potential candidate for pay-per-mile insurance.

How Much Does Pay-Per-Mile Car Insurance Cost in Illinois?

The cost of pay-per-mile car insurance in Illinois varies on a case-by-case basis. The price you pay for this type of auto insurance will depend on your monthly base rate and the miles you drive each month.

Let’s say, for instance, that your base monthly rate for pay-per-mile insurance is around $30, and your per-mile rate is five cents. In this case, your insurance policy will cost at least $30 monthly and more if you drive your vehicle during it.

But even if you drive 500 miles during a particular month, you should still find that your insurance payment will be on the lower side. You will pay the $30 base rate plus another $25 for your mileage for a total of just $55. Assuming you drive around 500 miles monthly, that works out to around $660 to insure your vehicle all year, comparable to the average monthly minimum coverage policy costs.

As you can see, investing in pay-per-mile coverage could serve as the answer to your prayers if you feel you’re spending too much money on a traditional auto insurance policy. It will deliver the protection you need at just a fraction of its usual cost.

How Can I Make the Most of a Pay-Per-Mile Auto Insurance Policy?

If you plan to sign up for a pay-per-mile auto insurance policy, make the most of it every month. Taking a few simple steps will keep your auto insurance costs low and minimize the wear and tear you put on your vehicle.

These steps will increase your cost savings after putting a new pay-per-mile policy in place:

Use a GPS to take the most direct routes to destinations when driving your car.
Consolidate your errands to ensure you’re taking the fewest trips possible in your vehicle.
Start carpooling to work or school or using public transportation to reduce your driving.

You might even want to check with your boss to see whether you can start working from home some or even all of the time. This could save you even more money on your monthly car insurance payments than you already will with a pay-per-mile plan.

Obtain Insurance Quotes for Pay-Per-Mile Policies From Insurance Navy

Does signing up for pay-per-mile car insurance in Illinois sound right for you? Insurance Navy can provide a quote to show how affordable a pay-per-mile policy is. We can also answer questions or address concerns about this type of auto insurance and demonstrate what makes us such a popular car insurance company among those looking for more than a standard insurance policy.

Contact us at 888-949-6289 to get more information from our knowledgeable, licensed insurance agents. We also offer over 25 Illinois locations for those wishing to hear more about our low rates and best-in-class service in person.

FAQs

Still have lingering questions about pay-per-mile auto insurance? Look for the answers below.

Is Pay-Per-Mile Car Insurance Worth It?

Yes, pay-per-mile car insurance is worth it for many people in Illinois. If you’re a remote worker, a student, a retiree, or someone who doesn’t enjoy taking your car out of the garage unless necessary, you could benefit from this cheaper car insurance option.

What Happens If You Drive Too Many Miles With a Pay-Per-Mile Auto Insurance Policy?

Driving too many miles with a pay-per-mile auto insurance policy will lead to higher-than-usual monthly payments. However, the great thing about this type of insurance is that you can minimize your driving and ensure you don’t break the bank on these payments.

What Is the Best Pay-Per-Mile Car Insurance in Illinois?

The best pay-per-mile car insurance in Illinois is available through Insurance Navy. It provides all the coverage of our traditional automobile insurance policies at a reduced rate. Find out how much a pay-per-mile policy will cost you by obtaining a quote from the auto insurance experts at Insurance Navy.