Posted on 21 Dec 11
More than 70 million drivers in the U.S. potentially are leaving car insurance savings on the table, according to the findings of a new survey released today by Progressive® Insurance. The survey questions, commissioned by Progressive and asked by Harris Interactive, were designed to estimate the potential number of people who could save on car insurance. Harris conducted the telephone survey among 1,003 U.S. adults in August, with results weighted to reflect the U.S. adult population.
Drivers can tap into those potential savings by taking advantage of usage-based insurance programs like Snapshot from Progressive. Snapshot rewards safe drivers with a discount of up to 30 percent on car insurance. According to Progressive, customers in the Snapshot program who have earned discounts have already saved more than $30 million, an average of about $150 per driver per year.
Progressive has found that drivers who drive less, more safely and during safer times of day are most likely to earn a discount. Among the findings from the Progressive survey:
- 50 percent of respondents say they drive less than 12,000 miles per year, even lower than the national average of 13,476 miles per year (source: U.S. Department of Transportation);
- 84 percent of drivers define themselves as cautious (49 percent) or defensive (39 percent); and
- 88 percent are never or rarely on the road between the hours of midnight to 4 a.m. – the most dangerous hours to drive as defined by Progressive.
When you combine all three of these key driving behaviors, 39 percent of all U.S. drivers – or more than 70 million drivers – may be eligible to receive a discount on their car insurance.
"Good drivers should pay less for their car insurance – that’s something nearly everybody can agree on," said Richard Hutchinson, general manager of usage-based insurance at Progressive. "Our data shows that more than 70 percent of all Snapshot drivers now enjoy extra savings, which is one reason why our program continues to grow so quickly."
Snapshot discounts are based on real-time collection of a customer’s driving habits. The Snapshot device is a small, sleek piece of advanced engineering that uses telematics and plugs into a car’s onboard diagnostic port. The Progressive survey found that 63 percent of American drivers would allow their auto insurer to gather this real-time information if it led to possible savings.
Progressive’s own data, based on an analysis of more than one million daily trips and nearly 3 billion driving miles, suggests that not only do safe drivers save money with Snapshot, but Snapshot customers are 20 percent less likely to receive a ticket for a moving violation and 10 percent less likely to be in an accident.