Advertorial: What is pay-by-mile car insurance?

[vc_row][vc_column][vc_column_text]At the last count, PetrolBlog owned a dozen cars. It means it's fast approaching a car for every day of the week. Some live indoors, while some are exposed to the elements. Crucially, all cars are insured, even the ones that haven't been on the road for a while.

Car insurance can be expensive, although as you get older, the annual premium becomes less shocking. Fortunately, many of PetrolBlog's cars are covered by a single classic car policy, which is both cheaper and easier to manage. But that won't suit everyone, especially those driving modern cars.

Say, for example, you only require a car at weekends. This means you're paying for around 300 days when the car isn't being used. It could be financially beneficial to pay per miles driven.

Here, we look at By Miles, a UK-based company providing pay-by-mile car insurance. You can use this link to see if pay-by-mile insurance works for you.

What is pay-by-mile car insurance?

Pay-by-mile car insurance is designed for those who drive fewer than 7,000 miles a year – the price is based on the distance you drive.

You pay an annual fee to cover your car while it's parked. After that you just pay for the miles you drive. Your mileage is charged at the end of each month.

As well as comprehensive insurance, you can drive as much as you want – you’d never be charged for more than 150 miles a day or 10,000 miles per year. So if you drive 200 miles in a day, you’ll only be charged for 150 miles.

Is paying per mile cheaper?

While all quotes will depend on your individual circumstances, according to James Blackham, a co-founder of By Miles, motorists are paying too much because traditional policies don’t reflect the number of miles driven.

“Those who don’t drive as much are being treated unfairly. They’re being charged more to subsidise the insurance of higher mileage drivers. Pay-by-mile insurance means that people who drive less are rewarded, and rightfully pay less.”

What's a Miles Tracker?

You’ll be sent a Miles Tracker to measure the miles you drive. It’s about the size of a matchbox. It’s also quick and easy to plug into your car, so you won’t need an engineer to fit it. You’ll be fully covered from your start date and there’s no charge for the miles you drive before the Miles Tracker arrives.

The Miles Tracker also powers a range of features in a smartphone app, like theft tracking and scanning your car for faults Also, unless you get a court order, By Miles won’t report any speeding to the police...

Is the quote an estimate?

When you get a quote, By Miles will provide an estimate based on the miles you think you’ll drive in a year. Importantly, there’s no penalty for driving more or less than your estimated mileage.

It’s just pay-by-mile, so if you drive less, then you’ll pay less than the estimate. If you drive more, then you’ll pay more than the estimate.

What’s the catch?

A By Miles policy won’t suit everyone. If you drive more than 7,000 miles a year you can probably find cheaper car insurance elsewhere.

Also, policies are made for drivers aged 25 to 76, so it’s difficult to get cover outside this age range. Likewise there are a few restrictions, mostly around people with higher risk profiles, e.g. very expensive or high-powered cars or people with many claims and speeding tickets.

Does pay-by-mile car insurance work for you?

To find out more about By Miles and to see if pay-by-mile car insurance could save you money, click here.

PetrolBlog hasn't been paid to post this article, but use of the affiliate links could benefit the site. Thank you.[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_raw_html]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[/vc_raw_html][/vc_column][/vc_row]