National Survey Reveals Pay-As-You-Go Insurance Sits Pretty with Financial-Minded Drivers

Projected driving habits align with Pay-As-You-Go Insurance opportunities

As financial problems and the turbulent nature of the economy sit at the forefront of peoples' minds, many are looking to cut back on any dollar-devouring superfluities - inflated auto insurance premiums among them. A national survey by GMAC Insurance explored respondents' planned driving habits for the following year, and found that 30 percent of drivers surveyed planned to drive less. This finding coincides with a national trend as noted by the Federal Highway Administration, citing that within the past 13 months, Americans have traveled 112 billion fewer miles.

The national survey conducted by GMAC Insurance is an annual survey that polls over 5,000 licensed American drivers, asking participants if they would pass the written DMV exam if taken today. This year's results indicated that drivers might need to brush up on their safe driving habits, with roughly 41 million Americans struggling to understand the rules of the road.

Although the survey indicated that a good chunk of drivers plan to cut back on the number of miles driven, the idea of an insurance discount rewarding them for driving less, such as Pay-As-You-Go insurance, does not appear to have entered their minds. According to the GMAC Insurance survey, 93 percent of respondents had never heard of a Pay-As-You-Go insurance pricing model for auto insurance. However, one-in-three drivers (35 percent) said they would enroll in a Pay-As-You-Go insurance program, such as the GMAC Insurance Low-Mileage Discount, if given the option.

Pay-As-You-Go insurance programs reward drivers by distributing insurance discounts based on particular drivers' annual mileages - those driving the least obviously receiving the largest discount on their auto insurance premiums. The concept of a Pay-As-You-Go insurance program would allow drivers who already plan to drive less a way to reduce expenses and help add another dimension to their savings. The GMAC Low-Mileage Discount is available to eligible, active OnStar subscribers in 35 states who drive less than 15,000 miles annually. The Low-Mileage Discount could save them up to 54 percent^* on their auto insurance based on the number of miles driven. Plainly put, those who drive less, save more on their auto insurance.

There is zero penalty for customers who drive more than 15,000 miles per year, and all OnStar customers still receive an insurance discount simply for having an active OnStar subscription, even if they are not eligible for the Low-Mileage Discount.

As driving habits react to an ever-capricious economic environment, GMAC Insurance will be right there in the passenger seat working with drivers for the best possible, uniquely personalized auto insurance.

For more information about Pay-As-You-Go insurance, visit www.lowmileagediscount.com