For those drivers who want to save, insurance companies offer pay-as-you-go car insurance. We have mentioned several times before, Americans drive billions of miles less in a month than they used to just a year ago. They want to save on using less gas, but if the car remains in the garage almost all the time, why do they have to pay for the insurance?

For those drivers, who choose pay-as-you-go car insurance, the provider will install a little device, which counts the miles, considers the time of day when the vehicle is driven and driving behavior. This all gets reported to the insurer and if everything goes all right, the payment will be significantly reduced.

This program gets really popular in the Northeast of the country, especially in New Jersey, where the insurance premiums are very high. Now Progressive offers pay-as-you-go there and many drivers gladly accept this program.

Brookings Institution says about two-third of the households could benefit is they chose this program.