Hybrid office workers can benefit from pay-as-you-go car insurance

Canadians who were fortunate enough to remain steadily employed throughout the pandemic racked up about $180 billion in savings, according to the Bank of Canada.

That’s because they were spending much more time at home and less time dining out, going to concerts, traveling, and commuting to work. As Canadians are now facing high inflation and word of an impending recession, they would benefit from finding additional savings wherever they can.

For those workers on a hybrid office model (commuting to the office just a few times a week), pay-as-you-go insurance can help lower auto insurance costs.

Pay-as-you-go insurance (also referred to as pay-as-you-drive) is a type of usage-based insurance that relies on telematics to track your mileage.  

The catch is that if you meet or exceed the program’s 12,000-kilometre annual limit, you won’t see a savings benefit. Drivers are charged a base rate for their initial 1,000 kilometres and then incrementally charged up to the maximum 12,000 limit per year.