Making Modern Car Insurance Work for More People

Metromile's data-driven pricing can evaluate driving risks better than traditional car insurance — and save you money. We think good drivers shouldn’t have to pay a lot for car insurance.

At Metromile, we’re out to make insurance fairer and more personalized to you.

I joined Metromile because it’s a different kind of insurance company. By harnessing new technology, so customers only pay for the miles they drive, we could change car insurance from a blunt instrument into one that’s finely tuned. We could also help to level the playing field for everyone.

The key premise that powers our insurance — the majority of people who don’t drive a lot should pay less because they’re less likely to get into accidents — was just the first step. Now in select states, we’re taking the next step by factoring in the quality of miles driven. That means that our pay-per-mile insurance will consider the behavior behind each mile, in addition to the number of miles.

As with pay per mile, factoring in the quality of miles driven can result in car insurance that much more closely reflects actual risk, which means a fairer rate for all of our customers.

It might be helpful to think of Metromile’s approach to pricing insurance in terms of three layers. 

1. Getting to know you

We begin by learning about you, your vehicles, and your driving record, and look for ways to reward you with a low price to start. Most insurers stop here; I should know, as until recently, I spent more than 14 years working at a large insurance company.

2. Custom billing

The second layer unique to Metromile is the monthly bill. Instead of a typical flat-rate insurance bill like you’d find elsewhere, we break ours into a low base rate and a per-mile rate, giving you more control over how much you pay for car insurance

Idling in the driveway isn’t as risky as cruising down the highway, and we believe there’s no need to charge drivers as if it is. Pay per mile also enables us to adapt our insurance to your driving habits and lifestyle as it changes.

3. Rewarding good driving

Finally, in select states, we also look for good driving. Our analysis shows that many of our customers can receive meaningful discounts if we consider how they drive in addition to how far they drive. For example, if your average speed is safer than most, we think you should have a better price. Rest assured, we consider trends over time and not individual instances or trips.

The bottom line

Metromile considers how people drive to create more opportunities to save on car insurance in select states. It doesn’t sit right with us that safe drivers have to pay too much for car insurance. 

As our pay-per-mile insurance improves, we want to give you more control over how much you want to pay. Our goal is to customize insurance so that it is more affordable and customer-centric.

Jesse McKendry is the vice president of insurance at Metromile. He oversees the company’s insurance product management. Before Metromile, Jesse spent 14 years in insurance product management and marketing at a major insurance company and has also spent nearly a decade in auto supply chain and logistics, including Daimler and General Motors.