DriveWise is not really a great discount

Getting a 20% or 25% or  30% discount sounds like a great deal when you are paying $1,500 per year for car insurance - right?    A 30% discount is $450! WOW.

But when you think about it, the person who qualifies for the 30% discount is actually, in a way, getting screwed,

Think of it this way

• Someone that drives normally, to work and back, has a social life and takes some 'pleasure drives' can drive about  20,000 km per year.  This person might have a premium of $1,500 which on a pay per use basis is about 7.5 cents per km for insurance.
  
• Someone that drives very little (the retired weekend driver), might drive 3,000 km per year.  If this person qualifies for the 30% discount they will pay $1,050 per year which n a pay per use basis is about 35 cents per km for insurance.

So, the normal risk (average) driver pays 7.5c/km while the low risk driver pays 35c/km.

The supposed low risk driver pay 467% more for car insurance
on a pay per use basis than does the regular driver.

So, what kind of a discount is that?

Maybe we should have a standard pay per use model based on the distance you drive.

Maybe a standard 8 cents per kilometer.

That would make sense.