Auto insurance

Discount offered for driving low annual miles

Thursday, November 16, 2017by  Jaime Layng

parked car under dust coverQ: My driving pattern has changed and I no longer use my vehicle as much as I used to. Will that help my insurance premiums?

A: Depending on how much you drive, there may be savings available via PEMCO's Low Mileage Discount.

I often take calls from customers who've recently retired, changed jobs, or moved to a new address, asking if there's any way to cut their insurance premiums in response to these changes. While retiring or changing jobs doesn't reduce your insurance premium on its own (unless you become a school employee – we offer discounts for those!), changes to your driving habits that result from retiring or other life changes might do the trick.

Beginning in early 2017, PEMCO changed from gauging your vehicle's daily usage to its annual mileage, and in conjunction with that change we introduced the Low Mileage Discount,* which applies if you drive your vehicle less than 8,000 miles annually.

Whether you have a motorhome or convertible sports car that you drive only a few times each summer, an old pickup that makes three trips to the dump each year, or a garage full of vehicles and not enough drivers to use them all, we may be able to find you some additional savings. Contact PEMCO or your agent today to review the usage on each of your cars!

Related article: Buying minimum car coverage isn’t the best value​​

Find more answers to car insurance questions in our FAQs.

*Discount available if your policy has renewed February 10, 2017, or later.

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