Ask how many miles

If your mileage varies widely on an annual basis, discuss this exception with your car insurance agent. Otherwise estimating the mileage for your car insurance is relatively easy.

The initial mileage on your car becomes negligible once you buy your car insurance. So, after you report your beginning mileage you only need to determine how many miles you drive on an annual basis.

The US Department of Transportation estimates that the average driver racks up over 13, miles in a year. If you drive less than that, you might be able to get lower car insurance rates. Clock how many miles you drive to work and back and then calculate your annual usage for using your car for work.

Add personal usage to your mileage as well. It is also a good idea to include your annual road trip for your vacation. If you drive miles one way every summer to visit your aunt in a bordering state, add 1, miles to your insurance mileage estimate. The difference may not increase your insurance rate at all, but at least you will have appropriate insurance coverage. The insurance company is not going to hold you to every mile you estimate. They use your estimate to gauge if you drive 7, miles or less every year or if you drive more than 10, miles every year.

Some companies also use car insurance mileage brackets to determine how much your mileage will raise your rates. These brackets usually start at 5, miles and go up. What happens if I go over mileage on my insurance estimate?

Just be honest with your agent. If you are just taking a once in a lifetime cross country road trip, that is different than taking a new job in another town that will routinely put you over your estimate. It is in your best interest to give a fair assessment of your estimated mileage to your insurance agent so that your insurance rate is calculated correctly. If you are not a regular driver, your car insurance should be somewhat less than the person who wears out a car every couple of years.

Mileage of 7, or less annually is usually considered average and should garner you a fair rate. Shop around to avoid paying too much for your car insurance. Enter your ZIP now to compare car insurance quotes and find a company that gives you a break based on your mileage. Skip to content.

How does mileage affect my car insurance? Does mileage affect your car insurance? Miles driven affect car insurance rates because they increase risk, that is why insurance companies ask how many miles you drive for an insurance mileage estimate. The less you drive, the less you pay, so your insurance goes up with mileage.

Free Car Insurance Comparison. Usually, insurance costs more for a new car. Sturdevant declined to name the third party that apparently gathers odometer readings from state agencies. Little has changed in terms of stay-at-home requirements and many of us are still using our cars only occasionally. David Lazarus is an award-winning business columnist for the Los Angeles Times. His work runs in newspapers across the country and has resulted in a variety of laws protecting consumers.

Stocks close higher, but indexes still end week in the red. Real Estate. Amenities go wild at luxe apartments: Music studios, rooftop dog parks, bed making by app. All Sections. About Us. B2B Publishing. Business Visionaries. Hot Property. Times Events. Times Store. As the number of employed persons increases, so does the number of miles driven. The low price of fuel could also be responsible for the increase in the average annual mileage.

Drivers may actively make an effort to limit the number of miles they drive when fuel prices are high. But when fuel prices fall, they may feel more comfortable taking longer trips by vehicle. The rapid expansion of urban areas could be to blame, too. Developers are expanding these areas outwards to accommodate population growth. But people who live in these areas may need to travel further in order to get to work, school, or other destinations. As a result, this expansion could be responsible for the increase in the average mileage per year.

The lack of alternative transportation options is another factor that could be causing the average annual mileage to increase. Many populous cities lack affordable, reliable, and convenient public transportation options for residents. If these options were available, more residents may choose to use them rather than travel by vehicle, which would lower the national average miles driven per year.

According to the statistics, the answer is categorical for the vast majority of Americans, regardless of their age, geographical location, economic status or gender. Most Americans are simply driving an increasing number of average miles driven per year. With the average miles driven per year increasing, many Americans need a more fuel-efficient car to save money. According to the U.

This mile per gallon difference may seem insignificant, but it can lead to huge savings for the average driver. This opportunity to save could motivate more drivers to switch to a fuel-efficient vehicle. John quickly realized his lifestyle was out of sync with the terms of his new car lease.

These fees can quickly rack up and lead to hundreds or even thousands of dollars in additional costs. Fortunately, this does not mean that leasing a vehicle is out of the question for people who drive more than 10, or 12, miles per year.

There are high-mileage leases available, and one may be right for you. Find out whether you drive more or less than the average person by calculating your average annual mileage. There are several ways to best calculate the number of miles you drive every year. This of course only works if you bought the car new. For instance, say the car had 20, miles on it when you purchased it three years ago.

Now, it has 50, miles. This means you drove 30, miles in three years or about 10, miles per year.