Too many miles, too few miles – getting it just right
As Goldilocks found, it’s good to get things just right and it’s the same for car insurance. Insurance is all about calculating risk and it stands to reason that the more you use your car and the more miles you drive, the more likely it is that you’ll make a claim compared to if you only pop to the shops once a week as there are more opportunities for things to go wrong. So it’s important to be as precise as possible about the number of miles you do so that your insurance provider can more accurately price up your premium.
Working out how many miles you drive isn’t just about picking a random number out of the air – it’s important to consider the reality. It’s simple to work out (that’s what calculators were invented for) just work out where you drive to each day and tot it all up – don’t forget to add weekends away – statistics from the Department of Transport show the average driver of a privately owned car in the UK racks up 7,500 miles annually.
You might drive fewer miles if you’re a student and only drive when you’re back home for the holidays or if you’re retired and no longer need to commute to work (lucky you). But while driving fewer miles can be a good thing for your car insurance, driving too few, could have the opposite effect. Driving less than say 1,000 miles a year could result in slightly higher costs because you’re seen as not practised enough and unfamiliar with the roads.