Pleasure Use Car Insurance Explained

Pleasure use car insurance is a special type of insurance for certain vehicles. You may notice a ‘pleasure’ option when requesting a car insurance quote online.

What is pleasure use car insurance? Is it the right option for you? How much should pleasure use car insurance cost? Keep reading to find out everything you need to know about pleasure use car insurance.

pleasure use car insurance

What is Pleasure Use Car Insurance?

There’s no specific definition for a ‘pleasure use car’: definitions vary by insurance company.

Some insurers define ‘pleasure use’ based on your annual mileage, for example. Other insurance companies consider your vehicle a ‘pleasure use’ car if it’s not being used for a daily commute.

Other insurance companies don’t offer any type of pleasure use car insurance: all car insurance policies are bundled together.

You’ll often see ‘pleasure’ as an option on a car insurance comparison form. It might be listed alongside ‘farm’ or ‘business’. It’s one of several car insurance categories offered by most insurers.

To determine whether or not your vehicle is a pleasure use car, we recommend speaking with your insurance company. An insurance agent can explain the company’s definitions for a pleasure use vehicle.

Pleasure Use Versus Commuter Car Insurance

The typical American driver has a commuter car insurance policy. Insurance companies price their policies based on the assumption that you drive to and from work or school every day. They assume the car is your primary method of transportation, and their premiums are priced based on that assumption.

A pleasure use car, meanwhile, is a car that is driven only on weekends, or only very occasionally. It’s not a car driven multiple times per week.

A classic car or sports car not used for daily commutes, for example, could be considered a pleasure use car. Or, a driver who only uses his car for weekend grocery store trips and takes public transit to work could qualify for pleasure use car insurance.

As mentioned above, the definitions for pleasure use car insurance vary between insurance companies.

Some insurance companies only use mileage to determine pleasure use of a vehicle. If you drive fewer than 7,500 miles per year, for example, then you may be in the lowest risk driver category. Or, if you drive fewer than 10 miles to work and back every day, then you may qualify for cheaper car insurance.

We recommend requesting multiple car insurance quotes online to make sure you’re getting the best deal on pleasure use car insurance. Rates and restrictions vary widely between insurers.

How Much Does Pleasure Use Car Insurance Cost?

Pleasure use car insurance could lead to small savings on car insurance. In most cases, you can save 10% to 15% with pleasure use car insurance instead of ordinary car insurance.

If the average American spends around $1,400 per year on car insurance, for example, then pleasure use car insurance may be around $1,200 to $1,300 per year.

In many cases, pleasure use car insurance is roughly the same price as lower-mileage car insurance: you’ll save 10% to 15% each year, but don’t expect to cut car insurance premiums by 50% or more.

Which Insurer Has the Cheapest Pleasure Use Car Insurance?

Certain companies are known for offering cheaper pleasure use car insurance than others. Nationwide, GEICO, and USAA, for example, are consistently the three cheapest companies in the country for pleasure use car insurance. You can find pleasure use car insurance premiums for as little as $700 to $900 per year with these insurers.

Progressive, State Farm, and Farmers are also very competitive, offering pleasure use car insurance for between $800 and $900 per year.

Consider requesting a pleasure use car insurance quote from Liberty Mutual and Allstate, which also have competitively-priced pleasure use car insurance premiums.

Why Are Insurance Premiums Cheaper for Pleasure Use Vehicles?

Why do pleasure use vehicles have cheaper insurance rates than commuter vehicles? Like everything in insurance, it comes down to risk.

Pleasure use vehicles spend less time on the road each week, limiting the number of chances they have to be involved in an accident.

Pleasure use vehicles also avoid driving during rush hour, which is the time when the most vehicles are on the road. Rush hours have higher accident rates than non-rush hours. This reduces risk even further.

Can I Buy Pleasure Use Car Insurance for My Normal Commuter Vehicle?

Some policyholders come up with a clever plan: they tell their insurance company that they only use their car occasionally – despite the fact that they drive their car to work every day.

When you lie to your insurance company about vehicle usage, you pay cheaper car insurance premiums because you qualify for a low mileage car insurance plan or pleasure use car insurance policy. You can save hundreds of dollars per year.

However, this can quickly become a problem if you get into an accident or make a claim. Car insurance companies will investigate the claim or accident to verify you were following the terms of your policy. The insurer will look for any reason to avoid paying the claim. If the insurer discovers that you were driving the car to work every day when it only had pleasure use car insurance, then your claim could be denied.

Final Word

Compare car insurance quotes online today to get the best deal on pleasure use car insurance. Answer truthfully when the form asks how far you drive each day, or whether or not you commute to work every day.

If you only use your car occasionally, then you may qualify for pleasure use car insurance. You can save 10% to 15% per year with pleasure use car insurance compared to an ordinary ‘commuter’ car insurance policy.

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