Nationwide SmartRide Review 2024

Nationwide SmartRide is a usage-based insurance program from Nationwide that offers discounts on auto insurance for safe driving behaviors. SmartRide tracks the following:

• Miles driven: Statistically, driving fewer miles indicates less risk.
• Hard braking and acceleration: Avoid sudden braking and rapid acceleration.
• Idle time: SmartRide measures how long the vehicle remains stationary with the engine running, such as during traffic jams. In general, the more traffic there is, the more chance of an accident.
• Night driving: Driving between midnight and 5 a.m. Nighttime driving is correlated with factors like decreased visibility and impaired or drowsy driving, which can reduce reaction times and increase the risk of accidents.

You can earn up to 10 percent off just for signing up for SmartRide, and an additional 40 percent off depending on your driving habits. However, discount rates do vary by state. For example, in California, the sign-up discount is capped at 5 percent, with a maximum of 15 percent off premiums. In Oklahoma, Florida, Pennsylvania, North Carolina, New York, North Dakota, and New Jersey, the sign-up discount caps at 10 percent. If you are already a Nationwide customer, I recommend that you speak with your agent directly to ascertain the precise discount amounts for your state.

Based on customer reviews, the 10 percent initial and up to 40 percent maximum discount from Nationwide’s SmartRide program seems to have been a common offer for many. However, it appears as though achieving the maximum 40 percent off discount is challenging. The average discount participants see is about 22 percent.

Another important factor is that unlike other programs like Allstate Drivewise and Progressive Snapshot, SmartRide does not use collected driving data to increase your auto insurance rates for risky driving.

You get an initial discount on your car insurance when you sign up for SmartRide. The setup process for the SmartRide program involves installing an app or device that monitors your driving behavior over a four to six-month period. Based on your driving habits, a discount will be calculated. This discount will be applied to your policy at your next renewal date and you’ll keep your discount for as long as you are insured under that policy. During the four to six-month tracking period, you can check the app to see how your discount is trending.

Enrollment

You can sign up for SmartRide by contacting a Nationwide agent. If you already have auto insurance with Nationwide, you can sign up through its website. Once you enroll, Nationwide will send you a text that directs you to download the SmartRide app. The app will then begin to collect your driving data.

An alternative to using the SmartRide app is a small plug-in device that Nationwide mails to you. Nationwide’s website features a video tutorial demonstrating how to plug the device into your vehicle’s onboard diagnostics port, and the installation process appears easy. This device tracks your driving behavior over four to six months. After the monitoring period, you will mail the device back to Nationwide. Upon receipt, Nationwide calculates your personalized discount based on your recorded driving behaviors. The benefit of this method is that Nationwide does not need to continually track your driving after the monitoring period, unlike other programs like State Farm Drive Safe & Save.

Requirements

The app requires you to keep the location setting enabled on your phone. If you are using the plug-in device, you must keep it plugged into your vehicle. If you turn off your location setting on your phone too often or remove the plug-in device from your car for a prolonged period of time, Nationwide may cancel your discount.

Data Security

For those concerned with data privacy, it is important to note that the driving data collected by the SmartRide app or plug-in device is solely used for discount calculation purposes. However, Nationwide does appear to share data within Nationwide’s family of companies and with third-party companies. This information can be used for marketing additional products to customers, such as homeowners of life insurance policies. Users do have the option to opt-out of data sharing by contacting Nationwide. In addition, while the app does necessitate enabling location services to ensure that the app is being used while driving and to verify vehicle usage, it does not track your location real-time.

To gain further insight into users’ experience of SmartRide, I looked at app store data. The Nationwide Smartride app has high ratings on both the Apple Store and Google Play for being easy to navigate, user friendly, and accurate.

The most common complaint about the app is its failure to recognize when you’re not the driver during a trip. In such cases, you’re required to manually access the app, navigate to the trip screen, and select the icon at the top right to update the trip label. Options include passenger, boat, train, bus, plane, bike, or off-road.

Positive comments highlight how the app aids drivers in improving their driving skills by offering valuable feedback on their driving behaviors, including encouraging them to not hit their brakes so hard and to touch their screens less while driving. Some customers also view this latter aspect as frustrating because they feel there are times when they have to touch their screens while driving, like clearing updates to get back to their navigation.

Customers don’t have too much to lose by enrolling in SmartRide. The 10 percent enrollment discount is good, and many customers report receiving a pretty significant discount (on average 22 percent) off their premium at their next renewal. The fact that you keep this discount for as long as you are insured under that same policy is a great perk. With car insurance growing increasingly expensive, it’s worth taking advantage of any discount you can find.

Additionally, many customers have reported that tracking their driving has helped them to become better drivers. They report feeling incentivized to use their screens less while driving and having greater mindfulness around accelerating and hard braking. The research on distracted driving shows it is extremely dangerous, so I support anything that encourages people to use their phones less while driving.

That said, as a resident of Los Angeles who finds herself in traffic on a daily basis, I believe SmartRide may not be the best option for me, given that one of the factors it measures to determine the discount is idle driving time.

In summary:

SmartRide is Best For You If You:

• Tend to drive safely, avoiding hard braking and accelerating
• Do not drive at night
• Do not live in a busy city where you regularly encounter traffic jams

SmartRide is Not Best For You If You:

• Mostly drive late at night
• Don’t want Nationwide to track your data
• Live in a busy city with a lot of traffic

We use the following methodology to evaluate usage-based insurance discount programs like Nationwide SmartRide.

Tracked Behaviors and Data

We examine what data the program uses to determine discounts. Typically, programs track braking, acceleration, speed, cornering, miles driven, phone use while driving, and the time of day you’re driving. We prefer programs that detect trips automatically. Crash detection is an extra feature we appreciate, but it’s not a necessity. Ideally, the insurance company encrypts this data and doesn’t share it with third parties for marketing purposes.

Availability

We consider where the program is available, as not all programs are available in all states. We also take into account whether the discount varies by location, and by how much.

Telematics Technology

Whether the program operates through a mobile app, a plug-in or Bluetooth device, or a combination of the two is a personal preference. While mobile apps are more straightforward than plug-in devices, they may drain your phone battery and are more likely to mistakenly track trips where you’re a passenger, like rideshare or taxi rides. If the program uses an app, we check its ratings on Google Play and the Apple App Store.

Rates

We prefer programs that offer potential insurance discounts of up to 30 percent or higher, plus discounts just for signing up. Another essential feature we consider is whether the program could increase your premium instead of reducing it. Some programs could increase your cost if you drive unsafely, so we prioritize programs that won’t do this, regardless of driving data.