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30 June, 08:13

If a driver with an insurance policy drives infrequently, it can

Raise costs

Lower costs

Create risk

Share risk

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Answers (1)
  1. 30 June, 10:42
    0
    If a driver with an insurance policy drives infrequently, it can lower costs.

    When you call and get quotes for your insurance, they always ask how many mile a month/year you drive. This lets them know how often you are actively driving on the road, where most accidents happen, and that in turn is a larger "threat" to them if something were to happen. When you pay for your insurance, you are paying ahead of time for something that you may need to use in the future. When they deem you as driving less and less risk for an accident to occur with you, your insurance cost is lower.
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