Not everyone drives the same way. Some people are much more cautious than others, they do more or less kilometers, they even drive on different routes at night or during the day. However, most car insurance is priced by factors such as age, city or type of vehicle. In this way, the price of the policy that the user has to pay is usually fixed, regardless of how they drive. Therefore, a few years ago emerged the first pay as you drive insurance or what is the same, pay as you drive, which adapt to the user’s driving. Although in foreign countries such as the United States they have been used for quite some time, in Spain they are being implemented little by little.
These types of policies calculate the price of insurance based on the use that the driver gives to the vehicle, which allows good drivers to get much more competitive prices. For example, if you are under 23, the insurance fee is usually quite high, however, with this type of policy you could get a great saving if you prove to be a good driver. It would be just as useful to those drivers who use their vehicle to a lesser extent and perform very few kilometers a month.
How do I show my driving?
The methodology to take out pay as you drive insurance is quite simple. Normally, when contracting the policy the insurer installs an electronic device in your vehicle that measures how you drive. The device is usually placed free of charge and helps to calculate the premium taking into account whether or not the driver respects the speed limits as well as whether the driving is adequate or abrupt. Other factors that companies usually take into account are the number of kilometers that are usually made, if it is circulated by city or road and even if it is done at night or by day.
How do I pay the insurance premium?
Some of the insurers that offer pay as you drive car insurance in Spain allow you to adjust the premium month by month depending on the driving that the user performs.
Specifically, Generali, one of the insurers in Spain that offers this service indicates that once they calculate your premium based on the factors they consider, “50% of the premium is paid at the beginning of the term of the contract”. “The rest is gradually adjusted in installments spread over 11 months.”
On the other hand, MAPFRE offers this type of insurance to young drivers under the age of 30. Its range of YCAR policies is divided into five different types depending on the customer’s driving routine. This type of policy mainly benefits good new drivers or drivers under the age of 23, whose premiums are usually higher than the rest.
Car Insurance Benefits Pay As You Drive
Many insurers that offer car insurance pays as you drive promise discounts of up to 40% for using this modality. To do this, it is essential to meet the conditions they demand, especially to be a good driver. If you drive properly, you take into account the speed limit of each road or you drive a few kilometers and during the day, you will surely get a great saving with this type of policy, everything depends on your driving habits.