How To Get a Pleasure Use Auto Insurance Discount (2024)
You may be eligible for auto insurance discounts for pleasure vs work mileage. Most companies offer a low-mileage discount for pleasure-use vehicles. Drivers with longer commutes pay $7.09 per month more on average than those who drive less. Auto insurance rates for pleasure or work don't have to be too expensive -- ask your provider about low mileage discounts to save another 15%.
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Daniel Walker
Licensed Auto Insurance Agent
Daniel Walker graduated with a BS in Administrative Management in 2005 and has run his family’s insurance agency, FCI Agency, for over 15 years (BBB A+). He is licensed as an insurance agent to write property and casualty insurance, including home, life, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. To ensure our content is accura...
Licensed Auto Insurance Agent
UPDATED: Oct 13, 2023
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Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Oct 13, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider. Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- One of the factors that go into the calculation of your premium is the number of miles that the car is driven daily
- If you use your vehicle for work purposes, you will need to get commercial or business auto insurance coverage
- Some companies provide auto insurance discounts for pleasure vs. work mileage, despite what you use the vehicle for
Does pleasure cost less for car insurance? Are there auto insurance discounts for pleasure vs. work mileage? Auto insurance companies do offer a different premium rate if you drive your car for pleasure versus commuting daily to work.
Commuting 30 miles each way to work on a daily basis will put a lot of wear and tear on your car much faster than the occasional grocery shopping trip, or beach day. Even the best companies will charge more if you drive more.
More time spent on the road translates into the possibility of more accidents and other damage occurring to your vehicle. Be truthful when your auto insurance company asks how often and for what purpose you drive your car.
If you tell them you don’t drive it to work to pay less for insurance, don’t drive it to work. If you get into an accident commuting to work and you’re paying the “pleasure rate,” your insurance company may decide to refuse your claim.
Don’t wait another moment to insure your car against possible damage, even if you rarely drive it. For auto insurance quotes for pleasure or work, enter your ZIP code in the box below and get auto insurance rates for pleasure or work.
What is the difference between pleasure and commute on auto insurance? Find out now.
What’s the difference between pleasure and commute on car insurance?
Pleasure Vs. Commute Insurance
Is car insurance cheaper for commute or pleasure?
If you have a longer commute to work each day, you’re going to be paying more for your auto insurance. It might not be as big of a factor as your driving record or credit history, but it does make an impact.
This table shows which companies offer low-mileage discounts on your auto insurance.
| Company | Low Mileage (x= available, -=unavailable) |
|---|---|
| 21st Century | - |
| AAA | x |
| Allstate | x |
| American Family | x |
| Ameriprise | - |
| Amica | x |
| Country Financial | x |
| Esurance | x |
| Farmers | x |
| Geico | x |
| Liberty Mutual | x |
| MetLife | x |
| Nationwide | x |
| Progressive | x |
| Safe Auto | - |
| Safeco | x |
| State Farm | x |
| The General | x |
| The Hanover | x |
| The Hartford | x |
| Travelers | x |
| USAA | x |
If your vehicle gets qualified as a pleasure-use vehicle, you will pay quite a bit less for your auto insurance. That’s because pleasure-use car insurance is cheaper, as if it’s used less frequently, you’re less likely to get into an accident.
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Cheapest Auto Insurance Companies For a Commuter
Is commute or pleasure cheaper when it comes to auto insurance? Take a look at the table below to see how your rates will change based on pleasure vs commute car insurance.
Average Annual Auto Insurance Rates by Commute
| Company | 10 miles commute/ 6,000 annual mileage | 25 miles commute/ 12,000 annual mileage |
|---|---|---|
| USAA | $2,482.69 | $2,591.91 |
| Geico | $3,162.64 | $3,267.37 |
| State Farm | $3,175.98 | $3,344.01 |
| American Family | $3,401.30 | $3,484.88 |
| Nationwide | $3,437.33 | $3,462.67 |
| Progressive | $4,030.02 | $4,041.01 |
| Farmers | $4,179.32 | $4,209.22 |
| Travelers | $4,399.85 | $4,469.96 |
| Allstate | $4,841.71 | $4,934.20 |
| Liberty Mutual | $5,995.27 | $6,151.63 |
As you can see, your rates with these major insurers will increase anywhere from less than 1 percent to 5 percent.
What do auto insurance companies consider a pleasure vehicle?
Although most of us would look at a Ferrari sitting in a garage and think of the pleasure of driving it to the beach, insurance companies judge the vehicle on how quickly the odometer turns over and not its head-turning capabilities.
The type of car factors into the price of your insurance premium, because insurance providers consider how difficult and expensive it will be to replace any damaged part.
However, a pleasure vehicle is determined by the number of miles you drive it on an annual basis. Driving less than the limit for pleasure mileage means you most likely qualify for discounts!
Most companies use the 7,500-mile benchmark. If you drive the car less than that, it’s considered pleasure; if you drive the car more that, you’re billed a higher premium.
A pleasure vehicle might be used sporadically, or you may drive it daily. The difference is that you don’t drive it very far even on the daily basis, maybe to the commuter parking lot or the train station to catch mass transit to work.
Do I need commercial auto insurance for my work vehicle?
If you’re actually using your vehicle for work and not just driving it to work, you will need to get commercial or business auto insurance coverage.
This goes for people who drive their cars for jobs such as delivering food, taking customers to and from the airport, and making sales calls.
Your personal auto insurance policy won’t cover any accidents, damage, or theft that occurs on a work vehicle.
Work with your insurance agent to determine whether you need a commercial insurance policy for your work vehicle and, if so, how much coverage is necessary.
Whether you need personal or commercial insurance depends on who owns and drives the vehicle, how often you use the vehicle, and also the type, size, and weight of the vehicle.
If your business requires a higher liability limit than is typically available through personal auto insurance policies, then you’ll also need commercial insurance coverage.
If your work vehicle is owned by the business you work for, then you are not responsible for the insurance on that vehicle, your employer is. They can’t legally have you purchase the insurance on a work-owned vehicle.
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Do auto insurance companies offer discounts on commercial auto insurance?
Similar to personal auto insurance, providers offer some discounts on commercial auto insurance policies.
These discounts vary from business to business, but some examples are:
- Multiple lines
- Experienced driver discounts
- Length of business
- Multiple policies
- Good student
Keeping your business vehicle fleet parked in a safe location could help you save money, as well as installing safety features, such as alarms, on the vehicles.
Many auto insurance companies now offer commercial auto insurance, so the market is pretty competitive. Ask about discounts before you sign with an insurance provider.
Pleasure auto insurance could be right for you. Ready to buy auto insurance for pleasure or work? Type your ZIP code into the box and you’ll be able to find the companies offering auto insurance rates for your location right now. Which
Now you should know if car insurance is cheaper for commute vs pleasure. If you have anything to add or any questions, leave a comment below.
Frequently Asked Questions
What is a pleasure use auto insurance discount?
A pleasure use auto insurance discount is a type of discount offered by insurance companies to policyholders who primarily use their vehicles for personal, non-business purposes, such as commuting to work or running errands.
How can I qualify for a pleasure use auto insurance discount?
To qualify for a pleasure use auto insurance discount, you typically need to provide information to your insurance company about your vehicle usage. This may include details about your commuting distance, the frequency of business-related trips, and any other relevant information requested by your insurer.
What are the benefits of a pleasure use auto insurance discount?
The benefits of a pleasure use auto insurance discount may include:
- Lower premiums: By demonstrating that your vehicle is primarily used for personal purposes, you may be eligible for lower insurance premiums.
- Cost savings: Lower premiums can help you save money on your auto insurance expenses.
- Customized coverage: Insurance companies often offer specialized coverage options for pleasure use vehicles, tailoring the policy to fit your specific needs.
Are there any disadvantages to a pleasure use auto insurance discount?
While pleasure use auto insurance discounts can be beneficial, there are some potential disadvantages to consider:
- Limited coverage: Some pleasure use policies may have certain restrictions or limitations on coverage, particularly if you occasionally use your vehicle for business-related purposes.
- Proof requirements: You may need to provide evidence or documentation to prove that your vehicle is primarily used for personal purposes, which can involve additional paperwork and documentation requirements.
- Reduced flexibility: If your circumstances change and you begin using your vehicle for business purposes more frequently, you may lose the pleasure use discount and have to adjust your coverage accordingly.
How can I apply for a pleasure use auto insurance discount?
To apply for a pleasure use auto insurance discount, follow these steps:
- Contact your insurance company: Get in touch with your insurance provider and inquire about pleasure use discounts.
- Provide information: Be prepared to provide accurate information about your vehicle usage, including commuting distances, business-related trips, and any other details requested.
- Update your policy: If you qualify for the discount, your insurance company will guide you through the process of updating your policy to reflect the pleasure use discount.
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Enter your ZIP code below to view companies that have cheap auto insurance rates.
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Daniel Walker
Licensed Auto Insurance Agent
Daniel Walker graduated with a BS in Administrative Management in 2005 and has run his family’s insurance agency, FCI Agency, for over 15 years (BBB A+). He is licensed as an insurance agent to write property and casualty insurance, including home, life, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. To ensure our content is accura...
Licensed Auto Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.