5 Things You Need To Know About Usage Based Insurance

Updated: Sep 27, 2021

There are five basic things that you need to know about UBI because it is available for everyone and it totally depends on you.


Paying for insurance can be one painful expense. You never want to use your insurance but you are definitely glad that it is there. With that, this article aims to provide you with information on usage based insurance and why it is a good idea for you to get one.


1. Usage Based Insurance (UBI) is an option available for everyone


A usage based insurance (UBI) is a kind of insurance option that is offered by insurance providers which tracks your driving skills and aims to look at your driving scores. If you have a good driving record, it could result in lower car insurance rates.

2. UBI takes into account the totality of your driving records


Licensed and insured drivers who have good driving records can enjoy the UBI option. It generally includes measures of speeding, harsh braking, mileage, time of the day you drive, acceleration records, and every driving score that you may have. Generally, the better driver you are, the better rates may be given to you.


3. UBI may use cumulative driving data


Accumulated driving data is one of the best ways to get an idea of how much your UBI can be. Some cars already use technology that tracks driving data. Some drivers also make use of systems that are required by their insurance providers in order for them to track the driving data such as the car’s on-board diagnostics