Car Insurance Pay As You Go: Smarter Coverage for Modern Drivers

Pay-as-you-go car insurance or pay-per-mile car insurance is a form of usage-based insurance (UBI). Rather than paying a fixed monthly or yearly rate no matter how many miles you drive, this model charges you a base fee plus a per-mile fee for every mile driven. So, if you drive your car very little—maybe only to the supermarket or on weekends—you will not pay as much as the person who drives 50 miles every day.

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