Some of the automaker’s customers now have the opportunity to purchase coverage directly.
Illinois and Oregon luxury car drivers will be able to cover their vehicles with Porsche auto insurance. The automaker has announced the launch of its new policies to cover customers driving its vehicles.
The car insurance is initially launching in two states for vehicles manufactured after 1981.
The Porsche auto insurance policy will be available to owners with vehicles made in 1981 or after. It will be a mileage-based coverage for vehicles based in Illinois and Oregon at the initial launch. According to the luxury carmaker, this is only the start. It intends to expand the availability of the coverage to additional states over time.
The auto insurance policy is being sold as a part of a collaboration between Porsche and Mile Auto. Mile Auto is a pay-per-mile car insurance company based in Atlanta. It uses computer vision technologies to make it possible for low-mileage motorists to pay less for their coverage.
The Porsche auto insurance uses driver smartphones for monthly mileage reports.
As the drivers send monthly mileage reports through their smartphones, the amount they pay in premiums is based on a base rate plus the exact miles they’ve driven. This process is exceptionally simple.
Unlike services that require a tracking device to be installed in the vehicle or an always-on app in a smartphone, Mile Auto has taken a more basic approach. Drivers need only snap a picture of the odometer in order to report the mileage each month, explained Mile Auto CEO Fred Blumer.
Customers covered by the auto insurance from Porsche will also be able to benefit from coverage on repairs using genuine parts from the automaker itself. Moreover policyholders will enjoy a claims concierge service and agreed value coverage.
“Innovation has been at the core of Porsche’s success story for the last 70 years,” said Porsche Financial Services CEO and president, Ross Dupper. That firm is the leasing and financing product provider for Porsche in the U.S. “The launch of Porsche Auto Insurance marks another innovation adding to the success of the next 70 years.”
Porsche is not the only company to offer automaker-based coverage. Tesla also recently announced the upcoming launch of its own product in collaboration with State National, a Markel Corp subsidiary.