Julian Edgar, 50, has been writing about car modification and automotive technology for nearly 25 years. He has owned cars with two, three, four, five, six and eight cylinders; single turbo, twin turbo, supercharged, diesel and hybrid electric drivelines. He lists his transport interests as turbocharging, aerodynamics, suspension design and human-powered vehicles.
Insurance where you pay only for the distance you travel!
An Australian company has launched a car insurance scheme where your annual insurance cost depends on how many kilometres you travel.
This is significant for those who drive only to public transport, and also for those who choose to own multiple cars and drive each only for its best purpose.
The website is self-explanatory and I found the quoting quick and easy – and very interesting!
As you’d expect, it is beneficial only if the car does less than the average number of kilometres, but for those cars, it looks like insurance costs can be way lower than the current norm.
on August 21st, 2008 at 9:10 am
As with ANY insurance product.. Read the fine print (PDS) and make sure that the policy conditions, limitations and exclusions etc are right for you… Too late to say “Ohh I didn’t understand” once you have had the claim..
on August 21st, 2008 at 2:47 pm
I have contacted the company mentioned and saved 60% on my insurance billl for the year. And no, I dont work for the company.
A great option for those who dont use the car to get to work.
on August 21st, 2008 at 8:39 pm
Mmmm. $250 + $13-30/1000km/yr.
on August 22nd, 2008 at 9:54 am
OK let me declare up front that I work for the PR company helping launch of this product. And let me also declare that this product is not for everyone. It’s for people who drive less than the average for their age, area and gender. Obviously I’m biased but putting on my average Joe consumer hat on for a moment I think it’s great that finally there is an insurance company who is prepared to shake up the industry, No longer will those travelling far less than others in their age group and area have to subsidise those driving far more than them. It’s going save a lot of money for some of us – at least we now have another choice. Check it out for yourself you may be surprised.
on August 23rd, 2008 at 1:06 am
If I had a car that was worthy of any more than 3rd party property insurance I would be using pay-as-you-drive without a shadow of a doubt. Its about bloody time someone acknowledged that not everyone does enough driving to justify $2000 premiums.
Now if only a company would come up with a product that makes it cheaper to insure one driver who owns many cars.
on October 7th, 2008 at 10:54 pm
Thanks for this…I found their site then was trying to find some reviews etc…what I really want to know is WHAT IS THE AVERAGE KMS per year?
on March 21st, 2009 at 10:44 am
No cheaper, infact more than Budget Dicect Ins.
To many restrictions too
Cheers
G
on March 26th, 2009 at 8:07 am
mjphoto,
Average Km is considered by most motoring publications as approx 15,000 to 20,000 pa
However, prestige & luxury cars are often lower than this and Exotics even lower, where as commercial vehicles are higher..
on August 31st, 2010 at 9:50 pm
I think that’s great since it gives lot of savings to those who own more than two cars and those who seldom use their car. It’s a good scheme and exciting!