Press release from Business Wire
Safe, Low-Mileage Drivers Can Save More, Faster with New Pay As You Drive® Program from Progressive
Monday, April 11, 2011
MAYFIELD VILLAGE, Ohio (Business Wire) -- More than a quarter of a million drivers have participated in a program to get personalized car insurance rates by sharing how, how much, and when they drive with Progressive's optional Pay As You Drive insurance discount program, a form of insurance also known generically as usage-based insurance. Now, with Snapshot SM, the newest version of the program formerly known as MyRate®, Kansas drivers can save up to 30 percent on their insurance after just 30 days of driving. Drivers currently enrolled in the optional program are already saving an average of $150 per year. In addition, customers only need to share six months of driving data.
This cool Snapshot gadget from Progressive won't cost you a cent, but it could save you up to 30 percent on your car insurance. (Photo: Business Wire)
How it Works
- After drivers sign up for the Snapshot program, we send them a device that fits in the palm of their hand and plugs into the on-board diagnostic (OBD) port of their car. The device records and sends the driving data to us.
- After 30 days, customers will find out if they're eligible for a discount – up to 30 percent – based on their driving habits and will see that discount applied to their policy. People who drive less, in safer ways and during safer times of day are more likely to get a discount.
- At the end of the six-month policy term we determine the renewal discount and the customer returns the device to us.
- We may periodically check in with customers to get an updated picture of their driving by asking them to plug in the device again.
- The Snapshot program is available to Kansas drivers who buy policies from Progressive.
- Customers can log in to their policy on progressive.com during the six-month period the device is plugged in to see how their driving habits affect their rate, and, if they choose, make changes that could lead to greater savings. Customers will also see whether they are on track for a discount after 30 days.
- Snapshot is voluntary and customers can opt out at any time. It won't make customers' rates go up.
- The Snapshot device measures how, how much and when customers drive their vehicle. It doesn't have GPS, so it doesn't track a vehicle's location.
Snapshot is yet another Progressive “first,” reflecting the company's longstanding culture of innovation and superior customer service. Among its long list of industry breakthroughs, Progressive was the first to offer claims service at the scene of an accident, the first to offer online auto insurance purchasing, and the first to offer Name Your Price®, an innovative, easy-to-use online tool that helps customers choose the coverage package they want at a price that fits their budget.
Snapshot represents the next generation of usage-based insurance, which creates a personalized insurance rate based on a customer's actual driving habits. Progressive has been awarded a series of patents on the methods and systems used in Snapshot, creating a program that's unmatched in its advanced technology, security, and ability to optimize discounts for customers.
Richard Hutchinson, Progressive's general manager of usage-based
“Snapshot is easier to understand and more attractive to drivers. We know from our research that this version will be more appealing because drivers can save money after just 30 days instead of six months. Plus, customers only have to give us a snapshot of their driving for one policy period, then they don't have to worry about the device anymore.”
- Snapshot website: http://www.progressive.com/snapshot/
- Flo demonstrates Snapshot: http://www.youtube.com/user/progressive?feature=mhum#p/c/564BB00F03B469A4
- Snapshot images for download: http://www.flickr.com/photos/progressive_insurance/sets/72157624777233319/
The Progressive Group of Insurance Companies makes it easy to understand, buy, and use auto insurance. Progressive offers choices so consumers can reach us whenever, wherever, and however it's most convenient for them—online at progressive.com, by phone at 1-800-PROGRESSIVE, or in-person with a local agent.
Progressive offers insurance for personal and commercial autos and trucks, motorcycles, boats, recreational vehicles, and homes. It's the fourth largest auto insurer in the country, the largest seller of motorcycle insurance, and a leader in commercial auto insurance. Progressive also offers car insurance online in Australia at http://www.progressivedirect.com.au.
Founded in 1937, Progressive continues its long history of offering shopping tools and services that save customers time and money, like Name Your Price®, the Snapshot DiscountSM, and a concierge level of claims service.
The Common Shares of The Progressive Corporation, the Mayfield Village, Ohio-based holding company, trade publicly at (NYSE:PGR).
Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=6677402&lang=en
Brittany Senary, 440-395-7249