Nationwide Wins Best Pay-As-You-Go Car Insurance

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Jul 31, 2024, 10:21 ET

TAMPA, Fla., July 31, 2024 /PRNewswire/ -- AutoInsurance.org recently published its list of the best pay-as-you-go car insurance providers. Pay-as-you-go car insurance is a recent option in the insurance world. Instead of paying a set monthly premium, policyholders pay a rate based on how many miles they drive.

Nationwide Rates #1 Pay-As-You-Go Insurer

Nationwide ranked as the best pay-as-you-go provider for several reasons.

First, they offer up to a 40% discount based on good driving habits. Second, they're available nationwide. Many of the other top contenders only sell policies in a few states. Third, drivers aren't punished for road trips as mileage consideration is capped at 250 miles a day.

Allstate Makes #2 Spot

Allstate takes the second spot for pay-as-you-go insurance. It's the cheapest option for high-mileage drivers who wish to participate in this type of program. They offer up to a 25% discount for good driving habits, and, like Nationwide, they cap the daily miles at 250, so driving 1,000 miles in one day during a road trip won't result in a skyrocketing premium.

Allstate's program is only available in 21 states, so it's not as widespread an option as Nationwide.

MileAuto Comes in #3

MileAuto isn't nearly as well-known as the other top companies. Still, AutoInsurance.org awarded them a position near the top.

One of MileAuto's best features is its privacy allowance. It does not require drivers to participate in monitoring through an app or installed device, which is one of the leading reasons people opt away from usage-based programs.

Its per-mile rate is one of the lowest, but it does not offer a daily cap on miles, so drivers will pay for every mile they drive. Since it only writes policies in 11 states, most United States residents will be ineligible for coverage.

Popularity of Pay-As-You-Go Car Insurance

Melanie Musson, a nationally recognized insurance expert with AutoInsurance.org, explains, "People want to pay an insurance premium that accurately reflects their risk. If they don't drive much, they don't want to pay as much as someone who drives a thousand miles weekly."

Pay-as-you-go is an excellent fit for many drivers, not just those who drive few annual miles.

Check out AutoInsurance.org's entire guide here: 8 Best Pay-As-You-Go Auto Insurance Companies (2024).

SOURCE AutoInsurance.org