Submitted by: Chickie Maxwell
Car insurance companies are constantly changing their rates and insurance plans in order to offer the best options available. Keeping up with these new plans and trends can be exhausting and is nearly impossible; however, some of these new trends can be quite rewarding and can save you money on car insurance. Here is a look at some of the leading insurance plans that are fairly new but quite unknown to the general public.
There is a fairly new insurance plan in which few people know about but is quite interesting. Imagine having the ability to pay for car insurance based on how many miles you drive per year. This could be beneficial for people who drive few miles compared to other people. For those who drive lots of miles, this is not something to get excited about. For those who do drive few miles, this may be something that you want to get more information on. The pay-as-you-drive insurance trend is popular because it does not check normal things that affect your insurance score such as driving history. The pay-as-you-drive plan is also only for newer cars that are equipped with OnStar. Insurance companies keep track of the mileage that your vehicle has and your driving habits. By monitoring your driving habits using telematics technology such as OnStar tracking, insurance companies determine whether you can pay less for your insurance.
This pay-as-you-drive insurance plan is very detailed and depending on the insurance companies, different aspects of your driving habits are measured and monitored. For example, the Progressive and Allstate insurance companies take detailed driving patterns to determine how much you have to pay. They examine you braking and acceleration patterns to see if you are more likely to get into fender benders. Those who have a tendency of accelerating a lot faster or constantly braking at high speeds will more than likely pay higher insurance rates. They also look at the time of the day that you are more likely to drive. Those who drive late at night or early in the morning are expected to pay a little more for their insurance because driving at these hours means that you are more likely to be tired or fatigued. Even though there is less traffic at these hours, insurance companies consider the fact that falling asleep at the wheel is more dangerous than heavy traffic.
Teenagers with new driver’s licenses can benefit from this insurance plan if they know that they will be careful. Teenagers tend to pay higher prices with their insurance plans because they are more likely to have accidents. By joining in on the pay-as-you-drive plans, teenagers can prove that they are not part of the teenagers who drive with bad habits. By driving safely and not driving too late at night, teenagers can benefit from great prices. On the other hand, teenagers who drive with bad habits could end up paying very high prices. The pay-as-you-drive plan is dependent on your own driving habits and how safe you drive as an individual.
This new insurance trend seems great for those who drive well but it is not all it’s made out to be even for good drivers. Some people do not agree to use this plan because of the reduced privacy. Insurance companies begin following your every move and can figure out exactly what time you are driving during the day and how dangerously you drive. Some people argue that insurance companies may use this information against them by eventually raising prices for bad drivers without notice. Although this plan seems very good for careful drivers, it reduces your amount of privacy and can be annoying for people who enjoy going for drives late at night. It is a good insurance trend for some drivers but for those who want more freedom with their vehicle, this may not be the best insurance plan available. For further information regarding auto insurance and auto insurance plans, please visit http://MyReviewsNow.net Shop At Home.
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