Going over the Insurance Mileage Limit...?

I have ACSC(AAA) and they base rates on miles traveled. Years and years ago the "average annual miles" was 10,000 miles. Now it is around 12,000 miles a year. It is logical that if you drive say, 20,000 miles a year that your chance of being involved in a fender bender(your fault or not) rises, so your rates may rise too.

This is not a "LEGAL" limit that can be used against you in a civil suit for negligence.

ACSC has a much lower annual average usage for RVs than DDs. We do drive long distances during some of our trips but our rates do not change if we exceed the average for one year. If we exceeded the average for a few years, I'm sure they would want to know why.

A few years back we drove over 13,000 miles in our RV and because my daily driver is my towed and the odometer racks up mileage towing or driving, when we renewed our coverage there was a premium increase for the towed. I sent them a letter explaining 13,000 miles was not driving but towing, they reduced the premium to the previous years level.

We have been retired for a long time and our average miles driven was well established when our DD and family moved 50 miles away. The average annual mileage increased for my wife's car and they questioned why. Sent info, no increase.

Most insurances have a guideline for setting the average premium, check workmen's comp insurance rates, construction workers pay way more than painters or carpet layers, they have more injuries so it costs more.

When I insured my RV, the agent asked how many miles a year. More miles meant more money. When I said under 7,000 a year, he said if I ever had a claim, they would check the mileage to be sure I wasn't going over that limit. Of course, they can't tell if I have a huge year, they can just check the average. Since I have about 23,000 miles on a 7 year old RV, that averages out to less than 4,000 per year, so I am good.

Duck wrote:

Bamaman1 wrote:
When asked, tell the truth. If not asked, keep your mouth shut.

X2
Don

X3. Back when I had hair I worked only a few miles from home. Some years later and I started working a fair distance away. I called the agent to ask about that and he said he didn't hear me say anything about working farther from home. :p

kcmoedoe wrote:
I am surprised no one worries about the loophole a mileage limited policy could create. What if you ran into a van full of doctors, ....

I would be more worried about a van full of lawyers.

I am also curious, how much actual money are you going to save?

Adjusting the milage limits on different vehicles in the past has saved me $200 or more per year. That is two tankfuls of diesel, i.e. one camping trip!

The Op used the term RV. Never specified if it is a a motor home, travel trailer or pick-up camper. Only a MH has an odometer.

I am surprised no one worries about the loophole a mileage limited policy could create. What if you ran into a van full of doctors, were sued for millions, and the insurance company's investigation found you had driven 10,000 miles on your 3,000 mile per year policy? I have no idea what the legal ramifications are, but at the very least I would lose a lot of sleep wondering what was going to happen. At some point I am reasonably sure they could deny coverage citing a fraudulent application. I would do a whole lot of due diligence before I would take on a policy where I know I am going to operate outside the specified terms.
I am also curious, how much actual money are you going to save?

Our company sends a form for us regarding the mileage. It says if they do not hear from us they will assume a certain number. Since that number is lower than what I put on the car, I don't return the form and let them assume the lower number.

We have mileage limits on car and truck. Agent calls every year and asks for odometer readings then our annual rate is adjusted for the next year.

We have mileage limits, agent looks at average over the years, not at just one year. Chris

Bamaman1 wrote:
When asked, tell the truth. If not asked, keep your mouth shut.

X2
Don