Eligibility > Mileage Tracking
Our Select policies have limits ranging from 2,500 to 5,000 annual miles. You're free to choose the annual mileage limit that best serves your needs.
Why Report Mileage?
Limiting annual mileage helps us offer significantly reduced rates on superior coverage.
When Do I Report Mileage?
For our general information and to help us assess your automobile’s condition, we ask for a current odometer reading along with your Select application. When your application has been approved, an odometer statement will be completed. This reading, taken at the beginning of your policy period, will be used as your beginning annual policy mileage.
Adherence to mileage limits is a condition of policy renewal. When your policy is up for renewal, another odometer statement will be completed. This reading will be used to calculate your annual mileage and to determine if you are operating within mileage limitations.
Why Isn’t An Exact Annual Mileage Counted?
An exact annual mileage would be close to impossible to determine.
In order to review an exact 365-day period, we would have to require that an odometer statement be completed on a specific day exactly 365 days after the first reading. If a policy holder was not able to comply on the exact day, a non-renewal of policy would be required.
There would also be a problem with our “non-renewal window.” If a policy holder is abusing the mileage limit and the policy must be non-renewed, we have an obligation to provide advance notice of the non-renewal (exact timing is statutory and varies by state). This allows the policy holder time to correct any errors in mileage readings or to place coverage elsewhere. An exact 365-day annual mileage reading would remove our “non-renewal window” for policy holders who are unable or unwilling to follow the annual mileage limits.
What If I Disagree With Your Annual Mileage Calculation?
We know there are many factors that affect annual mileage reporting, so we don’t just look at raw numbers. If there is a dispute with an annual mileage calculation, we are open to listening to reasonable explanations and will take them into account when reviewing your annual mileage. The following are samples of factors we take into account:
- For the first policy year (only), the beginning odometer statement and the renewal odometer statement will only be about nine months apart.
- Depending on the beginning date of the policy, the first year’s mileage calculation might not factor in winter storage (i.e. we may project mileage based on X miles per day; however, the automobile will be placed in storage for the winter months).
- If the automobile’s odometer reads in kilometers, we can perform a conversion with no problem.
Will My Policy Be Canceled If The Annual Mileage Limit Is Exceeded?
If you exceed the annual mileage limit of your policy, we are willing to discuss with you any reasons the annual mileage was not met and any options that may be available to you.
If the mileage overage is reasonable, your policy may be increased to the next highest annual mileage limit for the current year and the following year. If the mileage overage is unreasonable and we can’t offer a policy that accommodates your mileage usage, then the policy may be non-renewed.
If excessive mileage is accumulated due to a pre-planned, Club-sponsored event or pleasure trip, we may discount the mileage driven if you inform us about the trip in writing, in advance. It’s important to note: we must be able to review your request in advance.
May I See An Example Of How You Calculate Annual Mileage?
- On January 1, 2007, a beginning odometer statement of 10,000 miles is provided.
- On October 3, 2007, an odometer statement of 13,501 miles is provided for the renewal process.
- The number of days between readings is determined as 275 days.
- The number of miles driven between readings is determined as 3,501 miles.
- Dividing the number of miles driven by the number of days elapsed, gives us an average of 12.73 daily miles driven (3,501 / 275 = 12.73).
- Multiplying the average daily miles driven by 365 days, gives us a projection of 4,647 annual miles driven (12.73 x 365 = 4,647).
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