It’s available to those of our existing customers who already have a telematics based car insurance plan.

Pay as you drive. “pay as you drive” (payd) insurance strives to directly tie insurance premiums to the number of miles driven. Unlike other plans, your premium for ‘pay how you drive’ is calculated based on your driving behaviour. You agree that you will not submit information you consider sensitive or that identifies another person.

It uses a telematics device to monitor how often the car is used depending on the total number of kilometres covered. You’ll pay a low monthly rate, plus a few cents for each mile you drive. When your account reaches its minimum balance, it's automatically replenished via the credit card on file.

The new insurance policy is called pay as you drive. like the name suggests, the scheme is all about charging premiums based on the usage and mileage of the car. Progressive 's snapshot program personalizes your car insurance rate based on your actual driving. That means you pay based on how and how much you drive instead of just traditional factors.

Some people don't use their cars much. Your driving will be reviewed periodically and your premium or cost per mile will then be adjusted accordingly. $29 + ( 450 x 6¢) = $56.

How does pay per mile car insurance work. Our ‘pay how you drive’ is our telematics based car insurance plan for which the premium is calculated on how you drive. 1 this paper describes payd concepts,

Pay as you drive is a kind of comprehensive car insurance plan that charges a premium based on the usage of the car. While each insurance company has its own version of this technology, there are some common elements of these programs that may inspire you to check out a “pay how you drive” program. Read online books or download pay as you drive full books.