Monitoring your driving can help cut insurance costs

Published On: Apr 29 2014 06:37:36 PM EDT   Updated On: Apr 30 2014 07:20:00 AM EDT

Would you let your insurance company track your driving for a discount? More than a million drivers across the country are already taking part in pay-as-you-drive or usage-based insurance coverage from large providers, such as Allstate, Progressive and State Farm.

“Technology has come to almost every part of our life and auto insurance is no difference," said Angie Hicks, founder of Angie's List.

Hoping to save some money, Lyndi Cook enrolled in a program offered by her auto insurance company.

“Our next renewal coming up we saved ten percent on one vehicle and five percent on another,” said Cook.

Insurance experts say the majority of drivers enrolled save money by releasing information such as mileage, when they drive, how fast, and how hard they apply the brakes.

“I didn’t get a very good grade in braking (laughs) so I’m trying to be more aware of that now," said Cook as she laughed.

Some companies track data through a small device that plugs into a port under the car’s dashboard, while others log basic driving statistics using programs such as OnStar.

“It’s perfect for a young driver. If you have a young driver, a teen driver, and you want them to see how they are driving, what their driving history is, what their habits are – that’s a great way for a teen to look at their driving habits and correct those," said Ranjit Puthran, an Allstate Insurance agent.

Some drivers, however, feel the technology infringes too much on privacy and do not want insurance companies knowing everything about their driving habits. Angie’s List advises consumers to understand what information the company is tracking and how it will be used before enrolling.

"“It does not penalize you for your driving history. It only rewards you, those safe drivers that are driving safe. Right now the average savings for a safe driver is 10 percent," said Puthran.

There are other ways you can save on your car insurance. Talk to your agent. Many providers offer discounts for a safe driving record, low mileage, and bundling insurance plans.


The views expressed below are not those of News4Jax or its affiliated companies. By clicking on "Post," you acknowledge that you have read the Terms of Service and your comment is in compliance with such terms. Readers, please help keep this discussion respectful and on topic by flagging comments that are offensive or inappropriate (hover over the commenter's name and you'll see the flag option appear on right side of that line). And remember, respect goes both ways: Tolerance of others' opinions is important in a free discourse. If you're easily offended by strong opinions, you might skip reading comments entirely.

blog comments powered by Disqus