Today, GMAC Insurance and OnStar announced the roll-out of their Low-Mileage Discount Program which can reduce insurance cost for Corvette owners subscribed to OnStar! Essentially, the concept, applicable to owners of Corvettes and other OnStar equipped vehicles, enables those who drive less to pay less on their auto insurance.
The opt-in program is the first of its kind leveraging state-of-the-art technology using OnStar to allow customers who drive fewer miles to benefit from substantial savings. Eligible active OnStar subscribers simply sign up to save on their premiums (up to 54%) if they drive less than 15,000 miles annually. Since the pilot program began, 10,000 participants have enrolled in the Low-Mileage Discount program.
Under the program, new customers receive an automatic 11% discount, as well as the GMAC Insurance OnStar Subscriber Discount, upon enrollment (existing customers receive a discount based on historical mileage). With the subscriber’s permission, the odometer reading from his or her monthly OnStar Vehicle Diagnostics email is forwarded to GMAC Insurance. Based on those readings, the company will decrease their premiums using discount tiers corresponding to miles driven. There is no additional reporting, downloading or monitoring required, and no additional data is gathered or used for any purpose other than to help manage transportation costs. Customers who drive more than 15,000 miles per year are not penalized. In fact, all OnStar customers receive a discount for simply having an active OnStar subscription.
"Customers who drive less should pay less, and this program allows customers to use technology already in their vehicles to give them the discounts they deserve," said Gary Kusumi, president and CEO, GMAC Insurance. "Giving consumers the power of cost control is a welcome advance, especially as people manage their transportation costs more closely in the midst of fluctuating gas prices. The program also encourages people to limit unnecessary driving, helping the environment in the process."
The number of Corvettes with OnStar was not reported, but currently there are 4.8 million total subscribers to OnStar.
[ Detroit News ]
[ AutoBlog ]