Mileage-Based Commercial Insurance
Pay for insurance based on your actual mileage - a smarter approach for transportation businesses.
Innovative Insurance for the Modern Transportation Business
Mileage-based insurance (also known as usage-based insurance or pay-per-mile insurance) represents a fundamental shift in how commercial transportation insurance is priced and delivered. Instead of paying a fixed premium regardless of how much your vehicles are driven, mileage-based insurance ties your premium directly to your actual usage.
At InsureLimos.net, we're pioneering this approach for transportation businesses of all types, including:
- Limousine services
- Taxi operations
- Transportation Network Companies (TNCs)
- Non-Emergency Medical Transportation (NEMT)
- Bus and motorcoach operators
- School bus contractors
- Sprinter and van services
- Medical day care transportation
Why Mileage-Based Insurance Makes Sense
Traditional commercial auto insurance charges the same premium regardless of how much you drive. This means:
- Seasonal businesses pay the same rates during slow periods
- Low-mileage operators subsidize high-mileage operators
- No financial incentive to reduce unnecessary driving
- Premiums don't adjust to business fluctuations
- One-size-fits-all pricing regardless of actual risk exposure
How Mileage-Based Insurance Works
Our mileage-based insurance program combines advanced technology with flexible pricing:
Telematics Technology
Our program uses state-of-the-art telematics devices to accurately track mileage:
- OBD-II Devices: Plug-and-play devices that connect to your vehicle's diagnostic port
- Mobile Apps: Smartphone-based tracking options for certain vehicle types
- Integrated GPS Systems: Works with existing fleet management systems
- Electronic Logging Devices (ELDs): Integration with mandated ELDs for applicable vehicles
Premium Structure
Your premium consists of two components:
- Base Premium: A fixed amount that covers comprehensive, collision when parked, and other non-driving risks
- Per-Mile Rate: A rate multiplied by the number of miles driven each month
This structure ensures you only pay for the coverage you actually use while maintaining protection even when vehicles are not in operation.
Billing and Reporting
Our transparent billing system keeps you informed:
- Monthly Billing: Pay for the previous month's mileage
- Detailed Reports: Access comprehensive mileage reports by vehicle
- Online Dashboard: Real-time access to mileage data and costs
- Predictive Analytics: Forecasting tools to help budget for future insurance costs
Coverage Options
Our mileage-based program offers the same comprehensive coverage as traditional policies:
- Auto liability
- Physical damage (comprehensive and collision)
- Uninsured/underinsured motorist
- Medical payments
- Passenger liability
- Hired and non-owned auto liability
Benefits of Mileage-Based Insurance
Our mileage-based insurance program offers numerous advantages for transportation businesses:
Cost Savings
Reduce your insurance expenses:
- Pay Only for What You Use: Lower costs during periods of reduced operation
- Seasonal Flexibility: Ideal for businesses with seasonal fluctuations
- Fleet Optimization: Identify underutilized vehicles that may be costing you in insurance
- Route Efficiency: Financial incentive to optimize routes and reduce unnecessary mileage
Risk Management
Improve safety and reduce claims:
- Driver Behavior Insights: Optional tracking of speed, harsh braking, and other safety metrics
- Safety Incentives: Potential rate improvements for safe driving practices
- Accident Reconstruction: Detailed data to help determine what happened in the event of a claim
- Theft Recovery: GPS tracking can help recover stolen vehicles
Business Intelligence
Gain valuable insights into your operations:
- Utilization Analysis: Understand how your vehicles are being used
- Cost Allocation: Accurately assign insurance costs to specific trips or services
- Maintenance Optimization: Schedule maintenance based on actual mileage
- Environmental Impact: Track and reduce your carbon footprint
Competitive Advantage
Stand out in the marketplace:
- Pricing Flexibility: More accurately price your services with better cost control
- Environmental Responsibility: Demonstrate your commitment to sustainability
- Technology Leadership: Show clients you're adopting innovative solutions
- Safety Commitment: Highlight your investment in safety technology
Mileage-Based Insurance Calculator
See how much you could save with our mileage-based insurance program:
Your Estimated Savings
This calculator provides an estimate only. Actual savings will depend on your specific circumstances, driving patterns, and underwriting factors. Contact us for a personalized quote.
Frequently Asked Questions
Common questions about our mileage-based insurance program:
Is mileage-based insurance right for my transportation business?
Mileage-based insurance is particularly beneficial for:
- Businesses with seasonal fluctuations in activity
- Operations with lower-than-average mileage for their vehicle type
- Fleets with varying utilization across vehicles
- Companies looking to incentivize efficient routing and reduced mileage
- Businesses seeking more predictable insurance costs tied directly to operations
Our insurance specialists can help you determine if this program is right for your specific situation.
How is my privacy protected with telematics devices?
We take your privacy seriously. Our standard mileage-based program only tracks:
- Miles driven
- Time of day (for rating purposes only)
- Vehicle location (only accessible in the event of theft)
We do not track or store detailed GPS routes unless you opt into our enhanced risk management program. All data is encrypted and secured according to industry best practices, and we never sell your data to third parties.
What happens if a telematics device malfunctions?
If a device malfunctions or stops reporting, we'll contact you immediately to arrange a replacement. During any period where mileage cannot be tracked due to technical issues on our end, we'll estimate your mileage based on your historical average or apply a default rate that ensures you're not overcharged.
Can I switch back to traditional insurance if I prefer?
Yes, you can switch back to a traditional fixed-premium policy at your renewal date. We understand that business needs change, and we offer flexibility to ensure you always have the most appropriate coverage structure for your operations.
Is there a maximum monthly charge?
Yes, we offer capping options that set a maximum monthly premium regardless of mileage. This provides the benefits of mileage-based pricing while protecting you from unexpected cost spikes during unusually busy periods. Ask your agent about our various capping options.
Ready to Pay Only for the Miles You Drive?
Contact us today to get a customized mileage-based insurance quote tailored to your specific needs