Why Pleasure Drivers Pay Lower Rates On Car Insurance
Posted on: 4 June 2017
Insurance companies base auto insurance rates on risk levels, and they take many factors into consideration when calculating quotes for drivers. One factor they consider is how a person uses his or her vehicle. If the person commutes to work, he or she is likely to pay more than a person would pay if he or she drove only for pleasure. People who use their cars for pleasure will pay less for insurance, and here are a few things to understand about this:
What is pleasure driving?
There are two main classifications when it comes to the way people drive. The first type is commuting, and this is the type that often requires a lot of driving each day. People who commute to work typically drive a lot more than people who are in the other classification of driving, which is called pleasure driving.
Pleasure driving is a term used in the insurance industry to refer to people who do not commute to work. These individuals still drive; however, they are not typically putting on thousands of miles a month or year. They drive for fun, and this is why they are referred to as pleasure drivers.
Who falls into this category?
People who fall into the category of pleasure drivers are often people who work from home. These individuals may still drive each day; however, they are not driving to and from work every day of the week. People who are retired may also fall into the category of pleasure drivers, simply because they probably do not put a lot of miles on their cars.
Why do pleasure drivers pay lower rates?
There are several main reasons pleasure drivers will pay lower rates on their auto insurance policies, but the main one is due to the lower risk level insurance companies place on them. When people drive for pleasure, they are not usually in a hurry, and they probably avoid driving during rush hours. On the other hand, people who commute to work might be in traffic all the time during rush hour. This increases the chances they will get in accidents, and this places them at a higher risk level.
If you believe that you may fall into the category of being a pleasure driver, you may want to talk to an insurance company like Manassero Insurance Agency Inc to see if you would qualify for a discount. Many insurance companies base drivers on this by asking how many miles they drive per year. If you drive less than a certain amount, you may qualify for a lower rate on your policy.
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