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The Less You Drive, the Cheaper Your Car Insurance Premium Is

June 18, 2021
3 mins
A hand is seen gripping the steering wheel while the car sits in traffic

Finding an inexpensive car insurance policy that suits your coverage needs can be daunting. Insuring a vehicle isn’t cheap, but there are ways to reduce the costs.

The best way to get a cheap premium is to maintain a clean driving record – having no collisions or serious traffic violation convictions like, for example, a distracted driving conviction. Your driving record is one of several factors insurers weigh when determining your premium. The other factors they look at include the type of vehicle you drive, how many kilometres you drive annually, whether you use the vehicle for commuting to work or not, your age and gender, and where you reside.

Ask yourself, how much do you use your car? The more kilometres you drive annually raises the risk of getting into a car accident, therefore, you’ll pay a higher premium. If you use your vehicle to get to work each day and especially if have a long commute, that too will up your rate.

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The benefits of driving less

It’s not always possible to go about your daily business without driving a car, but if you can find ways to get around driving daily or long distances, there are benefits to be had for driving less, including:

  • You’ll save money on fuel.
  • You can probably save funds on vehicle maintenance.
  • Your vehicle’s lifespan will be extended.
  • There’s less of a chance you’ll get into a car accident.
  • Driving a gasoline-powered vehicle less means you’ll be helping the environment.
  • You’re less likely to get caught in mind-numbing traffic jams.
  • Less driving means less stress (and driving can be stressful).
  • You have more time to exercise. For example, walking or riding a bike to work is terrific exercise.
  • You’ll have more time to read, work, or socialize while travelling.
  • You don’t have to worry about getting a parking ticket.
  • If you consume alcohol, you can enjoy a drink and not worry about driving while impaired.

Usage-based insurance: pay less for driving less

If you don’t typically drive a lot, signing up for a usage-based insurance (UBI) program might be the right choice for you. Some car insurance companies offer UBI programs that allow you to pay-as-you-go. In other words, your premium price is determined by how many kilometres you drive each year. Other UBI programs focus on safe driving habits and provide discounts for consistently demonstrating safe driving behaviours such as obeying the speed limit. Either program type usually includes an enrolment discount for drivers who sign up.

No matter how much you drive, one of the best ways to find an affordable car insurance policy is to take advantage of getting quotes from a broad range of insurers using RATESDOTCA’s free online premium comparison tool. Explore your options and get the coverage you need that suits your budget.

Liam Lahey

Liam Lahey is a versatile marketer with experience as a staff and freelance writer for many business and technology publications and newspapers. He previously worked as the editor and media spokesperson for RATESDOTCA, handling home, auto, and travel insurance topics.

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