MyRate

I received this colorful box in the mail a few days ago.  I’ve signed up for the Progressive MyRate program.  I give Progressive all sorts of data about my driving habits & they give me between 5% and 25% off my insurance premiums.  Inside the box, there was a wireless thingy I plugged into my car’s computer (that’s tech talk…) that wirelessly transmits my driving behavior back to Progressive.  It’s not a GPS – they don’t know where I’m driving.  But they know when I’m driving, how fast I’m driving, and how fast I’m braking/accelerating.  They tell me that soon I will be able to log into the Progressive web site and view my driving habits and how much my next discount will be.  I get 5% off just for participating in the program.  But I really don’t have any idea what the criteria is to receive the other 20% off.  Local blogger Aaron Landry posted about the algorithm in 2005, but I wouldn’t be surprised if it’s changed since then.

At any rate, I’m going to give it a shot.  I dunno if I’ll really save any money, but it’s a step in the right direction towards usage-based insurance, so I’ll stick with it for at least 6 months.
Anyone else participating in this program?  Thoughts?  How much did YOU save?

5 comments to MyRate

  • GenghisKhan

    Big Brother is Watching… Of course, all that means is that I'd never get any kind of insurance break ever based on statistical data from my current, past and future driving behavior. Overall, though, sounds like a cool piece of tech. It'll be interesting to see how it treats you! If it can speak to you with comments like, "Reuben, if you slow down 5MPH, you will save 3% on next month's premium", now, that'd be cool!

  • ooh. that would be cool. I'm convinced that if you give people clear financial incentive, they will change their behavior. Like on the dashboard instead of an RPM dial, it should tell you how much your driving is costing you right now. SWEET.

  • Mike

    MyRate still isn't available in my state. Please keep us posted on how it works. I am curious on whether it does give good feedback on how to lower your insurance rate or not. I also wonder how easy it will be to lower your rates or conversely will one day of bad driving mess up a whole term…

  • I've never heard of this program. How did you become a part of it? Did they ask you, or did you ask them? I currently have Progressive as my car insurance provider, so it seems like it'd be easy for me to participate and (hopefully) save some money.

    P.S. As far as your comment goes, I agree that people would be willing to change their behavior if money was involved.

  • According to wikipedia, myrate isn't available in Washington, yet.