Pay As You Drive - FAQs

There’s no need for you to keep any records yourself as we get a report of how many kilometres you drive from Tracker, the company that supplies the SkyTrax unit placed in your car.

In the past it became clear to us that most customers do not know what distances they typically travelled each month. This led to a reasonable portion of our new customers underestimating their monthly kilometres when buying our product resulting in premiums that were higher than expected. To alleviate this problem we introduced multiple DrivePlan Options (DrivePlans 500, 750, 1000, 1250, 1500 and DriveMax) as well as Grace Period Kilometres.

At inception of the policy, Pay As You Drive will credit your DriveSave Account with one extra months DrivePlan Kilometres (called Grace Period Kilometres). Then, each month, Pay As You Drive will monitor the distance travelled by the insured vehicle and will advise you whether the vehicle is on the correct DrivePlan or not. The Grace Period Kilometres serve as a safety net in case you have underestimated the insured car’s typical monthly mileage when first becoming a customer.

The Grace Period Kilometres are free and can only be used in the first two months of the policy after which time; any remaining Grace Period Kilometres will expire.

A range of DrivePlan Options are available that should, if the correct DrivePlan is selected, ensure your fixed monthly premium caters to your usual monthly mileage consumption with a minimal variable premium (DrivePlus rate) in the event that you travel more than the DrivePlan Kilometres.

If you consistently travel more or less than the DrivePlan Kilometres included in your option you might want to give our Customer Services team a call (0861 01 02 03) so that we can migrate you to a more appropriate DrivePlan Option.

In the event that you do not use all the kilometres available in your selected DrivePlan Option the unused kilometres are held in your DriveSave Account for future use. You might want to consider whether deliberately accumulating some kilometres in your DriveSave Account may be good planning for that holiday trip or simply to ensure that the occasional high kilometre month doesn’t result in an unexpectedly high additional premium.

The DriveSave Account is in essence your kilometre “bank” account with all kilometre transactions being recorded in the DriveSave Account.

A feature of our previous product was that you lost any kilometres you didn’t use in a specific month. By introducing the DriveSave Account into our product we are now able to “save” and keep record of any unused kilometres for your use in the future.

So, yes, this new feature provides our customers with greater transparency and value for money than the previous version of the product.

All premiums are collected on the first working day of the month apart from the first premium which will be discussed with you when you become a Pay As You Drive policy holder.

If you sell your car, we will cancel the insurance on the existing vehicle as per your instructions and replace the sold vehicle with a new vehicle or, if there is no new vehicle, simply cancel the policy.

Please note that the SkyTrax unit comes with a three year contract between yourself and Tracker and the contract terms need to be fulfilled – even if you sell the vehicle.

The SkyTrax unit can also be transferred to your new car for a small fee. If the new buyer wants to keep the Tracker in the car they can take out a new contract with Tracker.

Remember, with Pay As You Drive you only pay for the kilometres you travel so the less you travel the more you save – and that’s in addition to the saving on fuel and wear and tear.

You will receive a monthly trip log and statement which will indicate the premium due for any DrivePlus Kilometres travelled – that being the kilometres travelled in excess of the packaged kilometres in your DrivePlan. The DrivePlus premium will be collected with your usual premium in the following month.

We have no doubt that being able to scrutinise all your monthly trips is something only the analytical customers will enjoy doing. But even if you’re not an analytical type of customer, you might find cost saving opportunities by checking out how many unnecessary trips you travel on a monthly basis.