Nationwide launches pay-per-mile auto insurance solution

Nationwide has launched a new auto insurance solution which lets consumers pay for the miles they have driven.

SmartMilesSM uses a small device to track the miles driven by a vehicle members can track their miles through a member portal.

Nationwide members that have multiple cars can select a different insurance policy for each vehicle, offering more personalised products for households. An example offered by the insurer was a family which has a car used to commute to work and a second car which is seldom used would be able to select the SmartMilesSM on-demand insurance to lower premiums on the car that rarely driven.

There is a 250-mile daily mileage cap, which means if a driver wishes to go on a road trip, they would not be able to use the SmartMilesSM policy.

Policy holders can receive a 10 per cent discount for safe driving after their first renewal. However, there are no contracts or long-term requirements for the SmartMilesSM insurance program.

The service is currently available in Illinois, with plans to launch in other states over the year.

Nationwide associate vice president Teresa Scharn said, “SmartMiles was developed to provide a program that allows our customers the freedom to control their auto insurance expenses based on how much they drive and how safe they drive.

“Whereas most insurance companies’ mileage-based insurance programs look only at miles driven, Nationwide’s SmartMiles telematics program takes many factors into account, creating a more personalized offering, which is revolutionary to the auto insurance industry.”

Copyright ? 2019 FinTech Global

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