Pay-per-kilometre

A quick guide on how pay-per-kilometre insurance works, and how you can benefit from it.

What is Pay-per-Kilometre insurance?

Pay-per-kilometre, also known as mileage-based or pay-as-you-go insurance, is a type of car insurance in which the premium (aka your cost) changes depending on how much you drive.

The idea behind it is simple.

If your car is parked in your garage or your driveway, we can safely assume that you're less likely to have an accident. The less you are prone to accidents, the fewer claims we can expect to receive.

Unfortunately, traditional insurers don't consider your mileage as an important factor when calculating your premium. For instance, even if you commute daily from Sharjah to Business Bay in Dubai, you are paying almost the same premium as someone driving daily from Dubai to Abu Dhabi.

With pay-per-kilometre insurance, you pay your annual quote upfront, and then earn up to 25 % cashback if you've driven less than 20,000 km at the end of the year.

Find out more on how our pay-per-kilometre insurance works here.

What happens if I drive more than 20,000 km?

If you end up driving more than 20,000 km in a year, no worries: we won’t bump up your premium.

You will still enjoy the full insurance cover for the price you paid in the beginning.

Not a single penny more.

Why can't I give you my average mileage now and get cashback straight away?

Our main job is to provide you with a great cover, which will keep you safe from any surprise bills. The same applies to your cashback benefit, too. If we gave you cashback based on your estimate at the beginning of your policy, you'd always be worrying whether you drove more than expected and get an additional invoice at the end of the year.

Calculating your saving at the end of the year, we make sure to surprise you with a cashback instead 🙂

How do you track my mileage? Will you be installing a tracking device on my car?

Our pay-per-kilometre insurance is designed around the mileage you drive, not your driving style. That's why we don't install any tracking devices.

To calculate your cashback, you just send us one mileage reading at the beginning of the policy, and one more at the end. The difference in mileage between the two readings tells us how much you have driven during the year.

How do I send you my mileage reading?

On the start date of your insurance policy, we will send you an SMS containing a link.

By clicking on it, you will be transferred to a webpage where you will be asked to upload two images: one with your car's plate number, and the other one with your car's mileage shown on the odometer.

What is an odometer?

It’s the display on your dashboard which tells you the mileage of your car. Usually, it’s located near or under the speedometer.

The word Odometer comes from the Greek roots hodos, “way, path” and metron, “a measure”.

And if somebody else drives my car? Will that affect my mileage?

Yes, your mileage will be affected, because your insurance policy is based on the mileage driven, not on who’s driving the car.

What if I drive more than one car?

If you drive more than one car, then our pay-per-kilometre insurance is perfect for you.

For instance, if you use one car for your daily commute to work, and a second car for your road trips around the UAE, there is a high chance you do less than 20,000 km with at least one of your vehicles.

If I keep my mileage down, am I automatically eligible for the cashback?

That’s right. If you get Beema comprehensive insurance and drive less than 20,000 km, you automatically qualify for cashback.

Do I get my cashback even if I had a claim?

Yes, indeed! We apply no penalties to your cashback, even if you file a claim.

Can I save if I am a safe driver?

Our pay-per-kilometre insurance policies give you benefits depending on the distance you drive, not on your driving style.

That said, we do not neglect your good driving habits. If you are a safe driver and don’t file any claims, you will get a no-claims discount (NCD) when renewing your insurance.

How do you calculate the cashback amounts?

After you submit the mileage reading at the end of your policy duration, we calculate your cashback based on the table below.

For instance: you paid AED 1,430 for your Beema car insurance, and drove 8,500 km during the year. Based on the table below, you get 17 % cashback on your initial price.

So the amount of your cashback is:

17 % x AED 1,450 = AED 243

In other terms, the real cost of your insurance policy will be:

AED 1,430 - AED 243 = AED 1,187

Not bad, right?

Annual Mileage Cashback
0 - 1000 25.0%
1001 - 2000 25.0%
2001 - 3000 25.0%
3001 - 4000 25.0%
4001 - 5000 23.0%
5001 - 6000 21.5%
7001 - 8000 18.5%
8001 - 9000 17.0%
9001 - 10000 15.5%
10001 - 11000 14.0%
11001 - 12000 12.5%
12001 - 13000 11.0%
13001 - 14000 9.5%
14001 - 15000 8.0%
15001 - 16000 6.5%
16001 - 17000 5.0%
17001 - 18000 5.0%
18001 - 1900 5.0%
19001 - 20000 5.0%
What cover is included in a Beema pay-per-kilometre policy?

Our pay-per-kilometre insurance is a fully comprehensive policy, which means that it covers damage to others, but also to you, your passengers, and your car.

You can choose between two types of comprehensive cover, depending on whether you want the repairs to be done exclusively at the official repair shops of your car’s brand or in the garages of our approved network.

If you want to know more about each type of cover, check out our benefits page.

I don't want a Comprehensive cover. Can I get a cover and still get pay-per-kilometre advantage?

We do offer a Super Third-Party cover as well, which includes more benefits than the basic third-party covers you can find on the market. However, this type of cover does not come with a pay-per-km benefit.