More and more people are catching onto the trend of pay as you drive motor insurance. There is one dominant usage based insurance company in South Africa and their customer base grows daily, mainly because people love the amount of money they save each month with this type of insurance.
Irrespective of the money being saved on usage based insurance each month, there is also the benefits regarding security. Naturally, you have a car insurance policy in place to ensure your vehicle is protected if it gets stolen, but there is another bonus to usage based insurance. The vehicle insurance company has to install a tracker on your vehicle in order for them to determine how far you have travelled each month. This benefits you AND the insurance company.
Firstly, the vehicle insurance company will have the peace of mind in knowing that if your vehicle is stolen, they will most likely be able to track it down. As a result of this, you will obtain a lower insurance premium. The tracking device is very good for your car. If you have signage on your vehicle indicating that you have a vehicle tracking system in place, thieves will be deterred from stealing your vehicle. The tracking system is extremely difficult to locate and deactivate!
As you can see, pay as you drive insurance is beneficial not only for your finances, but also for the security on your vehicle. Naturally, nothing is one hundred percent foolproof, and that is why it is advisable to also install other security measures on your vehicle. These can include an alarm, an immobiliser and a gear lock. This helps stop the thief in their tracks before they are even able to get away with your car, and will also help to lower your insurance premium.