Mile Auto Insurance Review: Is It Really Worth Your Money?

mile auto insurance

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Mile Auto Insurance is an auto insurance company that has made waves in the industry for their unconventional “pay-per-mile” insurance coverage. While this has drawn many low-mileage drivers towards the company, there is much scrutiny surrounding the authenticity and reliability of Mile Auto Insurance’s services. Online reviews on the Better Business Bureau (BBB) and Trustpilot reveal a mix of praise and criticism, setting a dichotomous stage for this car insurance company.

mile auto customers

While the auto insurance industry has always been subject to skepticism, the recent controversies surrounding debt consolidation have exacerbated the wariness of consumers. Many are questioning the hidden costs and potential pitfalls of “pay-per-mile” coverage. Despite the taste of skepticism in the air, Mile Auto Insurance continues to insist that their policies save customers money and provide adequate coverage.

These claims, however, have been met with mixed reactions. Some customers laud the savings they’ve experienced, while others express concern that the company’s mileage tracking system is flawed, leading to overcharges. This critical review aims to dig deeper into the operations of Mile Auto Insurance, and determine whether the company’s claims hold water.

In the vein of blockbuster thrillers, the truth about Mile Auto Insurance’s services remains shrouded in layers of complexity. The question remains, are their services a groundbreaking innovation or a cleverly disguised deception? Stay tuned as we attempt to unravel this modern-day mystery

Company Background

Mile Auto Insurance was founded in 2016 by Fred Blumer and Dave Clapper, with the mission to provide a novel auto insurance model that charges customers based on the miles they actually drive. This ground-breaking model, however, is not without its controversies, as we will explore in this review.

The company has its headquarters in Atlanta, Georgia, and is licensed to sell insurance in multiple states. Since its inception, Mile Auto Insurance has been striving to make a mark in the competitive insurance industry by positioning itself as an affordable alternative for low-mileage drivers. The company has made strides in terms of its market reach, but the road to success hasn’t been without bumps.

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A key milestone for Mile Auto Insurance was in 2020 when it received a $10.3 million funding round to expand its services. Yet, despite this influx of capital, the company’s practices have come under scrutiny.

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Photo Credit: Medallion Media Group

Several customer reviews and real-life testimonies have questioned the company’s mileage tracking system, with claims of inaccuracies leading to overcharges. This has led to comparisons with the infamous scenario in the movie “Office Space” where pennies are siphoned off into a separate account. Is Mile Auto Insurance guilty of similar practices?

Moreover, testimonies highlight a lack of transparency in their terms and conditions, leading to unexpected charges – a concern that further fuels the skepticism surrounding the company. The question remains: is Mile Auto Insurance truly a game-changer, or is it just another company making lofty promises without the follow-through?

Just like the plot of a thriller, the story of Mile Auto Insurance is filled with intrigue, suspense, and a fair amount of controversy. As we delve deeper into the company’s practices, products, and services, it becomes clear that potential customers need to tread with caution. The company’s ‘too-good-to-be-true’ premise may indeed be just that – too good to be true.


At the heart of Mile Auto Insurance’s offerings is their unique pay-per-mile insurance coverage. The premise is straightforward – you pay for the miles you drive. This model offers an economical option for low-mileage drivers who are left paying the same premiums as high-mileage drivers in traditional flat-rate policies.

However, the effectiveness and authenticity of this model have been called into question by various customers. One such interactive poll on popular forum Reddit saw users expressing their skepticism towards the mileage tracking system. Many believe that it is prone to inaccuracies, potentially inflating the miles driven and, consequently, the cost of the insurance.

Mile Auto Insurance’s mileage tracking system relies on a plug-in device, which reportedly measures the miles driven for billing purposes. However, reviews from BBB and Trustpilot suggest that this system may not be entirely accurate. There are reports of customers being charged for miles they did not drive or being billed for miles driven by previous owners of the car. Inflated bills and overcharges seem to be a recurring theme in the company’s reviews.

Furthermore, there’s a growing concern around the company’s terms and conditions, which some customers claim are not transparent enough. They argue that hidden in the fine print are clauses that could potentially be exploited to hike up costs, thus diminishing the benefits of the pay-per-mile model.

In essence, Mile Auto Insurance’s services, while seemingly revolutionary, have raised more questions than answers. Despite their claims of revolutionizing the auto insurance industry, the company has been met with a wave of skepticism and criticism. The pay-per-mile model, while attractive in theory, has evidently encountered several roadblocks in its practical application. It seems that Mile Auto Insurance needs to address these concern areas before it can truly be regarded as a reliable and economical insurance choice for low-mileage drivers.

Mile Auto Insurance: Risks and Controversies

Mile Auto Insurance, unfortunately, isn’t immune to the risks and controversies that often plague the auto insurance industry. There is a myriad of complaints and negative feedback associated with the company, both in terms of their services and their business practices.

One of the primary issues raised by customers is the accuracy of the mileage tracking system. Many have reported being overcharged due to inaccuracies in mileage recording. This, of course, directly contradicts the company’s promise of low-cost insurance for low-mileage drivers and raises questions about the authenticity of their services. Moreover, there are instances where customers have faced difficulty in disputing these overcharges, leading to frustration and dissatisfaction.

lower mileage drivers
Photo Credit: Medallion Media Group

In addition, the company is currently facing a class-action lawsuit filed by a group of customers alleging misrepresentation and overcharging. The legal challenge throws a shadow over the company’s integrity and paints a picture of potential deception. The outcome of this lawsuit could have a significant impact on the company’s reputation and future.

Apart from the lawsuit, individual complaints against the company on platforms like BBB and Trustpilot highlight issues with customer service, claim processing, and policy cancellations. These complaints, while not uncommon in the insurance industry, are concerning considering the relatively small size and recent entry of Mile Auto Insurance into the market.

To gauge your opinion on these issues, we invite you to participate in our brief survey about your experience or perception of Mile Auto Insurance. This will help us understand how widespread these problems are and potentially highlight areas for further investigation.

Interactive Survey 📝

Given the information provided, would you consider Mile Auto a high-risk choice for Car Insurance?

Given the information provided, would you consider Mile Auto a high-risk choice for Car Insurance?

In conclusion, while the pay-per-mile concept of Mile Auto Insurance may seem appealing, potential customers must be aware of the risks and controversies surrounding the company. It would be wise to approach with caution and thoroughly research and compare options before making a decision.

Pros and Cons

Mile Auto Insurance’s pay-per-mile model certainly sets it apart from traditional insurance offerings in the market. This uniqueness, however, comes with its share of advantages and disadvantages.


  • Pay-per-mile model: For infrequent drivers, the pay-per-mile model can potentially offer significant savings compared to traditional flat-rate policies. This model is particularly beneficial for those who primarily use public transportation or work from home and use their vehicle sparingly.
  • Convenience: The Mile Auto app offers a convenient way for customers to monitor their mileage and manage their insurance policy.


  • Mileage tracking system: Numerous customers have reported inaccuracies with the company’s mileage tracking system, leading to overcharges. If the system is flawed, it negates the benefit of the pay-per-mile model.
  • Poor customer service: Many user reviews highlight issues with customer service, including slow response times and difficulty resolving disputes.
  • Questionable business practices: Several customers have reported hidden fees and charges that were not made clear at the outset. Many have called for greater transparency.

When compared to well-respected companies such as State Farm and Progressive, Mile Auto Insurance appears to fall short in key areas such as customer service and claim handling. These companies have built their reputations over many years with consistent service standards and a wide range of coverage options.

That being said, Mile Auto Insurance’s model does align more closely with companies such as Metromile and Root Insurance, which also offer pay-per-mile or usage-based insurance models. These companies have also received mixed reviews, with some customers praising the innovative pricing models and others citing issues similar to those faced by Mile Auto Insurance customers.

In conclusion, while Mile Auto Insurance may seem like an attractive option for low-mileage drivers, potential customers should approach with caution. The company’s unique model does not negate the need for reliable customer service, transparent pricing, and efficient claims handling. As with any insurance product, it is advisable to thoroughly research and compare options before making a commitment.


In the fast-paced world of auto insurance, Mile Auto Insurance emerged with a unique proposition – a pay-per-mile insurance model that aimed to redefine the way we look at auto insurance. However, the company’s journey thus far has been as bumpy as a ride down a poorly-paved road, with numerous controversies and criticisms marring its path.

Despite its innovative model, Mile Auto Insurance has been embroiled in controversies surrounding the accuracy of its mileage tracking system, customer service issues, and questionable business practices. Customer reviews and testimonies have raised valid concerns, casting a shadow of doubt on the company’s integrity and reliability. These factors, culminating in a class-action lawsuit, have painted a rather grim picture of the company.

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The company’s journey brings to mind the cautionary tale of Icarus from Greek mythology, who flew too close to the sun with wax wings, only to fall into the sea. Just as Icarus was undone by his ambition, Mile Auto Insurance’s bold promise of changing the auto insurance landscape seems to have led to its downfall.

That being said, every coin has two sides. While there are risks associated with Mile Auto Insurance, it does offer potential benefits to low-mileage drivers, provided the company can address and rectify the issues raised by customers. However, the verdict is still out on whether Mile Auto Insurance can overcome its challenges and truly revolutionize the auto insurance industry.

In light of these findings, we urge potential customers to proceed with caution. We strongly recommend conducting thorough research and comparing different insurance options before making a decision. To aid in this process, we invite you to explore our car insurance comparison chart, which provides a comprehensive overview of various insurance providers, including Mile Auto Insurance.

Just as in the classic movie, “Gone in 60 Seconds”, making an impulsive decision based on superficial allure can lead to unforeseen consequences. So, buckle up, do your due diligence, and ensure your insurance provider can truly go the distance.


1. What is Mile Auto Insurance? Mile Auto Insurance is a pay-per-mile insurance company that offers coverage to drivers based on the actual miles they drive. They use telematics technology to track mileage and charge customers accordingly.

2. How does Mile Auto Insurance calculate rates? Mile Auto Insurance calculates rates based on the actual miles driven by the policyholder. They also consider factors similar to other insurance companies, such as driving record, car type, and location. However, the unique aspect is the mileage component which is directly captured from the policyholder’s odometer through a photograph.

3. How can I trust Mile Auto Insurance with my odometer readings? Mile Auto Insurance requires policyholders to send in a photo of their odometer reading on a monthly basis. This method raises some concerns regarding privacy and data protection. It is crucial for policyholders to ensure they understand and agree to the terms of data usage before signing up.

4. Isn’t mileage-based insurance unfair to those who live in rural areas? This is a valid concern. Customers living in rural areas, where longer drives are inevitable, may find mileage-based insurance to be more expensive than traditional policies. Before choosing a mileage-based policy, it’s important to assess one’s driving habits and requirements.

5. How does Mile Auto Insurance verify the mileage I drive? Policyholders are required to submit a photograph of their odometer every month. This could be open to error or manipulation, and it’s unclear what measures Mile Auto Insurance takes to verify the authenticity of these readings.

6. Is it possible to manipulate the mileage readings to get a lower rate? Technically, it could be possible for dishonest policyholders to manipulate their mileage readings to get lower rates. However, doing so would be considered insurance fraud, which can lead to serious consequences.

7. What happens if I forget to send in my monthly odometer reading? There is a lack of clarity regarding this in the company’s policy documents. It is not specified what penalties or rate adjustments might be applied if a policyholder forgets to send in their monthly reading.

8. Is Mile Auto Insurance available in all states? No, Mile Auto Insurance is not available in all states. The company’s website mentions that they are currently available in certain states only. Prospective customers should verify the availability in their respective states before considering a policy.

9. Does Mile Auto Insurance offer comprehensive coverage? Yes, Mile Auto Insurance does offer comprehensive coverage, but the extent and cost of the coverage may vary depending on the mileage. Potential customers should thoroughly read the policy terms to understand what is covered and what is not.

10. How does Mile Auto Insurance compare to traditional insurance companies? While Mile Auto Insurance may be a good option for those who drive less, it may not be the best choice for everyone. Their rates are based on mileage, which may not always be beneficial for everyone. Also, the requirement to submit monthly odometer readings might prove inconvenient for some. Comparatively, traditional insurance companies offer fixed rates based on a range of factors, not just mileage.

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