Does high mileage make your insurance go up?
Asked by: Neha Lowe DVM | Last update: March 28, 2025Score: 4.9/5 (8 votes)
Will my insurance go up if I drive more miles?
The fewer miles you drive, the less likely you are to be involved in an accident. Driving fewer miles also reduces wear and tear on your vehicle, which can lead to fewer mechanical failure-related claims. Insurers often ask how many miles you drive. The more miles you drive, the higher your rate could be.
Will insurance total a car with high mileage?
Excessive Mileage or Age
When a vehicle is older or has excessive mileage, it has less cash value than a newer vehicle with a lower odometer reading. Your car may be declared a total loss for these reasons alone, even if the damage seems insignificant.
Is insurance cheaper with lower mileage?
Savings also vary state-to-state. In California, where insurance companies can only rate policies based on insurance history, marital status, ZIP code and driving experience (including annual mileage), drivers saved 32% on their insurance for halving their mileage from 15,000 to 7,500.
Does insurance actually check mileage?
Generally speaking, insurers will ask you for an estimate of your total mileage, but they might also take an annual odometer reading for verification purposes as well. If they choose to use databases or repair shops' information, they could have an accurate odometer reading at any point in time.
How much does your insurance go up after an accident
Does high mileage affect car insurance?
If you drive a lot, insurance companies will charge you higher premiums because they're taking on more risk. Generally, anything over the U.S. average annual mileage (roughly 14,000 miles) is considered high and will result in a rate hike.
Does mileage change insurance cost?
Yes, your average miles driven annually impact car insurance rates, but how much can vary significantly depending on your state, vehicle usage and insurance carrier. Generally, the less you drive, the lower your car insurance rate may be.
What is the best mileage for insurance?
In general, you'll see the most savings if you drive less than 5,000 miles annually. According to Insure.com, someone who drives 10,000 miles annually will pay 4% less than someone who drives 12,000 miles. Driving 7,500 miles annually could reduce your premiums 10% compared with driving 10,000 miles.
Does high mileage devalue a car?
Generally, the higher the mileage, the lower the car's value. This is because high-mileage vehicles are perceived to have experienced more wear, increasing the likelihood of repairs and maintenance needs.
What two other factors can affect the cost of your insurance?
Some factors that may affect your auto insurance premiums are your car, your driving habits, demographic factors and the coverages, limits and deductibles you choose. These factors may include things such as your age and your driving record.
At what mileage is a car considered high mileage?
Often, 100,000 miles is considered a cut-off point for used cars because older vehicles often start requiring more expensive and frequent maintenance when mileage exceeds 100,000.
Is it better to have a car totaled or repaired?
The only time it would be worth repairing is if it's an older vehicle with very low mileage and in great condition except for the damage caused by the accident because the actual damage may not be serious but substantial enough to total it cause the vehicle has a low resale value to begin with and therefore it doesn't ...
What happens if your mileage is high?
What are some of the issues of a car that has reached “maximum mileage”? The main issue of a car that has reached “maximum mileage” is reduced performance. Parts such as spark plugs, filters and air conditioning systems may start to wear out, which can cause the car to sputter or even stall.
What is an average mileage per year?
On average, Americans drive 14,263 miles per year according to the Federal Highway Administration.
How many miles on a black box?
There is no monthly mileage limit. You can keep track of how many miles you've done versus how many miles you estimated via your driving feedback.
What is AAA mileage discount?
Verified mileage discount
Save up to 19.1%(depending on a vehicle's annual mileage) for supplying current odometer readings when requested.
What kind of mileage is too high?
Traditional wisdom used to warn car buyers to keep away from vehicles with over 100,000 miles. Put simply, though, the 100,000 mile-marker is no longer a good indicator for buying used. If a vehicle has been properly maintained, it can last several hundred thousand miles.
Why shouldn't you get a car with high-mileage?
“Vehicles with over 100,000 miles typically face more frequent issues with major components such as the engine, transmission and suspension. The average cost of engine repair or replacement can range from $3,000 to $8,000, while transmission repairs can cost between $1,800 and $3,400.
At what mileage should I sell my car?
60,000-70,000 miles: Most manufacturers' powertrain warranties expire in that range, and the second major maintenance is scheduled to occur. Selling before reaching those benchmarks will get you a better price for your car than selling afterward.
Are high mileage cars expensive to insure?
However, high-mileage drivers pay about 38% more for auto insurance than do low-mileage drivers overall. The only factor that could majorly increase your rate as a high mileage driver is your location. California is the only state in which exact mileage is a more substantial rating factor than other states.
Is 15000 miles a year a lot?
A wary buyer should use as a general rule of thumb that most cars are driven 12,000-15,000 miles per year. If a vehicle is 10 years of age, it should have between 120,000 miles and 150,000 miles on the odometer.
Does your car insurance go up if you drive more?
From California to New York, all states have varying car insurance rates because insurance companies look at geographic factors such as crime rate, number of auto accidents, and weather conditions to determine your premium. Miles You Drive: The more you drive, the more likely you will get into an accident.
Is car insurance cheaper if you don't drive much?
While several factors influence your car insurance cost, you may pay a lower premium if you drive less. That's because insurers may consider you a lower risk of filing a car insurance claim if you spend less time on the road. Many insurers incentivize low-mileage drivers by offering discounts on their premiums.
Do you have to report mileage to insurance?
While insurers will typically request that their policyholders provide estimates of their annual miles driven, the companies are allowed under California to verify mileage by accessing various state databases. Typically, insurers will request this information when a policy is written and/or upon renewal.