What happens if I do more miles than your Insurance allows?

Typically, the higher your annual mileage, the higher your car insurance premiums will be. This is because insurance companies assess risk, and spending more time on the road increases the likelihood of accidents. Consequently, high-mileage drivers are often perceived as posing a greater risk than those who drive fewer miles.

When obtaining insurance, you’ll be asked to provide an estimated annual mileage. It’s crucial to provide an accurate figure based on your driving habits. However, if your circumstances change and you end up driving more miles than initially estimated, you should inform your insurer promptly.

Adjusting Your Mileage:

If your circumstances change significantly, such as a longer commute due to a job change, resulting in higher mileage than originally estimated, you must inform your insurer. Failure to do so could impact your ability to make a claim.

Most insurers allow policyholders to adjust their mileage if it was underestimated or if circumstances change. However, significant underestimations or deliberate misrepresentations may lead to complications or higher premiums.

What Constitutes Low Mileage?

According to the Department for Transport, the average mileage for private cars was approximately 6,600 miles in 2022, up from 5,300 miles in 2021. However, these figures were lower than the 2019 average of 7,400 miles, likely due to COVID-19 lockdowns. Generally, anything between 0 to 6,000 miles annually may be considered low mileage.

Consider Pay-Per-Mile Insurance:

For drivers without previous MOT certificates to gauge their average mileage, pay-per-mile insurance can be an option. Also known as telematics or black box insurance, this involves installing a device in your vehicle to monitor driving habits and mileage. Premiums are then calculated based on usage.

While pay-per-mile insurance can be cost-effective for young or new drivers, it may not suit everyone. Exceeding expected mileage in a month could result in higher costs, and some policies penalize driving during certain times, potentially increasing expenses for commuters.