With the help of technology, many jobs can be done from home with ease. As a result, working from home has become increasingly popular within the modern workforce. Remote workers enjoy a host of benefits, like more flexibility, autonomy, and work satisfaction.

A lesser-known benefit of remote work is that you’ll pay less for car insurance. How is this a method on how to lower car insurance rates?

Let’s take a look.

Why Is Remote Work Trending?

Since 2005, remote work has increased by 159%. The rise of remote work has everything to do with technology. For many jobs, all you need is a laptop and a WiFi connection to transform your living room into a home office.

Furthermore, remote work is attractive to employees. Remote workers enjoy:

  • More flexible schedules

  • Greater autonomy

  • A customized work environment

  • Enhanced productivity

  • Increased work satisfaction

  • An average annual savings of $4,000

  • No rush-hour commute!

Due to the appeal of remote work, 73% of all teams are expected to include remote workers by 2028!

What’s In It For Businesses?

Furthermore, businesses are more open to letting their employees work from home, as it benefits them in the following ways:

  • It decreases office expenses on rent and equipment.

  • It reduces employee absenteeism.

  • It promotes greater employee retention due to increased work satisfaction.

  • It allows companies to pull from a worldwide talent pool.

As you can see, both employers and employees have incentives to embrace the growing popularity of remote work.

What Determines Your Car Insurance Rate?

So how does remote work relate to car insurance? When it comes to car insurance premiums, insurance companies consider many factors. These include:

  • Your age, gender, and marital status

  • Your credit score

  • Your driving record

  • Where you live

  • What kind of car you drive

  • Whether you bundle multiple policies

  • How often you drive

When you shift to working remotely, you have an opportunity to move the needle on that final factor.

Auto Insurance Work From Home Benefits

One of the first questions car insurance companies ask is how many miles do you drive for your daily commute? The average Americans’ round trip commute is 32 miles and lasts around 46 minutes.

By working from home, you eliminate this daily commute and significantly reduce your time on the road. By driving less and avoiding rush hour, you’re much less likely to get in an accident.

Auto insurance companies understand this and reward you by reducing your auto insurance premium.

How Much Will You Save On Auto Insurance?

So how much can you save on car insurance from working from home? It depends on your auto insurance company.

Give yours a call and let them know that you’ve started working from home. Ask your insurance agent what discounts they can offer.

Pay-Per-Mile Car Insurance

Not everyone has the option to work from home. For instance, if you work in retail, the service industry, or at a doctor’s office, it’s simply not possible. However, any reduction in your work commute will have positive impacts on your insurance premiums. That’s why you might consider moving closer to your workplace.

With most auto insurance policies, your premium is based on what mileage bracket you fall into. In other words, whether you drive 10,000 miles a year or 15,000 a year, if you fall into the same mileage bracket, you’ll be charged the same amount.

However, when you purchase a Pay-Per-Mile auto insurance policy, you only pay for insurance on the exact number of miles you drive. If saving money on car insurance is a priority, you don’t want to pay for any more miles than you have to. As a result, Pay-Per-Mile can be an attractive option.

How to Ask Your Boss If You Can Work From Home

If you don’t work from home yet, but you want to get in on the benefits, it never hurts to ask your boss. Here are some things you can try:

  • Ask to work from home a few days a week.

  • Ask to work from home on a trial basis.

  • Explain the benefits of remote work for businesses with data to back them up.

If these ideas don’t work, keep an eye out for remote positions in the job market.

Finally, if remote work simply isn’t on the table for you, just know that reducing your work commute by any amount can have positive impacts on what you pay on car insurance, as long as you keep your insurer updated on your mileage.

Get A Lower Car Insurance Premium Today

In addition to working from home, you can save money on expensive car insurance by doing your research and shopping around. Explore your auto insurance options by comparing rates from hundreds of car insurance companies below.

Online Auto Insurance makes it easy for you to compare and to find a policy that fits within your budget. By choosing the right auto insurance company and capitalizing on your remote work benefits, your auto insurance premiums will go down in no time.


Flex Jobs. 159% Increase in Remote Work Since 2005: FlexJobs & Global Workplace Analytics Report https://www.flexjobs.com/blog/post/flexjobs-gwa-report-remote-growth/

Flex Jobs. 6 Ways Working Remotely Will Save You $4,000 Annually, or More https://www.flexjobs.com/blog/post/6-ways-working-remotely-will-save-you-money/

Upwork. Third Annual “Future Workforce Report” Sheds Light on How Younger Generations are Reshaping the Future of Work https://www.upwork.com/press/2019/03/05/third-annual-future-workforce-report/

ABC News. Poll: Traffic in the United States https://abcnews.go.com/Technology/Traffic/story?id=485098&page=1

Gallup. Workers' Average Commute Round-Trip Is 46 Minutes in a Typical Day https://news.gallup.com/poll/28504/workers-average-commute-roundtrip-minutes-typical-day.aspx