Why doesn’t my insurance company offer mileage based insurance?

Why do some states not offer the Milewise pay-per-mile insurance with Allstate?

Answer provided by
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Shannon Martin
Answered on Jul 09, 2021
Shannon is an expert in personal lines liability insurance with 13 + years of insurance industry experience. She also served as a special insurance liaison to AARP members for 6 of those years. She is a graduate of UL Lafayette and currently resides in NY with her family. Shannon is also an amateur juggler, ukulele player, and is a time travel paradox theory enthusiast.
“Mileage-based or pay-per-mile insurance has many benefits for people that drive infrequently or only short distances, but not every company offers this option in every state.
Your state department of insurance regulates all of the insurance carriers in that state. Each state has specific regulations that insurance companies must follow in order to do business in that state.
In order for a company to offer mileage-based insurance in your state, they would need to submit a proposal of the type of policy and how they intend to rate the policy for review by the insurance department.
Because every authorized insurance company is required to file their insurance rates with the state department of insurance for approval, either your company has not sought approval in your state yet for this type of insurance, or the state has not yet granted approval.
If you are looking for ways to save money on your car insurance, consider using an online comparison tool like Jerry to find the best rates for you.”
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