New type of insurance means West London drivers could pay less for car insurance

New type of insurance means West London drivers could pay less for car insurance


Up to 19 million lower mileage drivers are being overcharged for car insurance according to new research from By Miles, the pay-by-mile car insurance provider, and MoneySuperMarket.

The analysis of 2.5 million quotes highlighted that UK motorists driving between 5,000 and 6,000 miles a year pay an average of £233 more for their car insurance than those driving up to 12,000 miles.

On average, cars in West London are driven just 5,578 miles a year, so this borough’s residents are some of those most impacted and could be paying over the odds for their car insurance.

Of course, it makes total sense that Londoners cover fewer miles in their cars. Parking in the capital is difficult and thanks to an extensive public transport system, in many cases it’s both quicker and easier to take a tube or bus (or even an Uber) rather than jump in your own car.

Owning a car’s still convenient though. We all need to escape the city sometimes: to do that big supermarket shop or pilgrimage to Ikea, chauffer the kids around or make that annual trip to the dump.

Last year, By Miles, a new Hammersmith-based firm, launched the UK’s first real time pay-by-mile car insurance policy as a fairer alternative for lower mileage drivers. Policyholders pay a fixed annual fee to cover their car whilst it’s parked. After that, they simply pay for the miles they’ve driven at the end of each month – a bit like a mobile phone bill.

James Blackham, co-founder and chief executive of By Miles, said “Car insurance is a product that’s barely changed in 30 years. We’ve made a policy that’s fairer for people that don’t drive much. Every extra mile you drive adds to the risk of a claim, and we think it’s about time infrequent drivers were rewarded for driving less.” 

So, if you drive under 150 miles a week – and many of us who live in London or commute to work actually drive much less – there’s a good chance that this type of car insurance could net you substantial savings. 

When you do leave the city for that weekend escape, the cost for mileage is capped at 150 miles so there’s no penalty for suddenly deciding to drive further than usual. Also, the price of the policy is capped at 10,000 miles per year – so you can drive as much or as little as you like and you’ll never pay for more than that.

Cover with By Miles is fully comprehensive, your No Claims Discount is guaranteed as standard, and there’s an app that provides useful extras, like calculating journey and petrol costs and reminding you where you parked the car. 

To get a quick idea of your quote in less than a minute and see if you could save, visit As a reader of KCW Today, you’ll also get £20 in credit* when you buy a policy.

*£20 credit is redeemable for free miles and is not transferable, refundable or convertible into cash. This offer is valid until 31 August 2019. This offer is not valid when used with any other offer or in conjunction with a comparison site. Read our terms at By Miles Ltd is authorised and regulated by the Financial Conduct Authority (FCA) number 773046. Trustpilot rating correct as of 28 June 2019.

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