Houtson Startups

Startup Offers Gas Price Insurance

LoveMyGasPrice Startup Offers Gas Price InsuranceA startup in Houston Texas is trying to help drivers have a better peace of mind about rising gas prices.

Last year we started to see gas prices drop again for the first time in years. Now though, gas prices are starting to rise, and despite the fact they are still substantially lower than just two years ago, the increase is upsetting drivers.

That’s why startup Lovemygasprice.com is providing a new “subscription” service that guarantees prices stay under the national average or they will pay their subscribers the difference between the current national average price and the price set as the threshold by the company.

Subscribers pay LowerMyGasPrice.com a $3.99 monthly service fee or “premium”. The company sets a threshold for the national average, which the subscriber agrees to, and, if the national average goes above that price the company pays out the difference.

The concept makes a lot of sense but there is worry that customers or subscribers will go months and months without seeing a rebate/refund. Of course that’s the goal as a subscription based “insurance”.

“Don’t change a thing you are doing,” the website says in a chart-laden pitch to prospective customers. “Continue to fill up at any gas station you choose. We track average retail prices in the country, and if the national average increases above $2.75/gallon, we send you cash for the difference, on a monthly basis.” reports the Columbus Dispatch. 

Subscribers are free to cancel anytime. They can also choose to subscribe multiple times if they drive more than the standard 20 gallons per month.