How is the policy contract defined?
All policies are valid for the amount of miles purchased or a six (6) month period — which ever occurs first. Stated more formally, policies are valid until the soonest occurrence of: • The vehicle miles traveled (indicated by an odometer reading) exceeds the sum of the odometer reading supplied at policy purchase plus the miles purchased, OR • The passage of six months from the date of purchase. For instance a policy might read “valid until the odometer reads 6,001 miles OR January 2, 2007.” A policy is considered cancelled when either: • The odometer reading on the covered vehicle exceeds the stated limit. All policies will cancel effective the time and date the last mile purchased is used. OR • Six months have elapsed since the policy’s effective date (when the miles were purchased). Some people like to think of the policy period as similar to a vehicle lease agreement.
