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What is Usage-Based Insurance?
- What is usage-based insurance? When should I consider usage-based insurance?
- Usage-based insurance (UBI), also referred to as pay how you drive or pay as you drive, is a type of automobile insurance which, depending on the specific insurer’s program, measures how far a vehicle is driven, where it’s driven, and/or how it’s driven. In Alberta, (UBI) is a voluntary product offering drivers the opportunity to earn discounts or rewards based on safe driving behaviours. UBI encourages safe driving behaviours by providing the driver with feedback based on driving data to reduce instances of unsafe driving (such as distracted driving) and the frequency and severity of accidents.
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