Abstract: The present invention generally relates to a system and method for providing vehicle insurance premium refunds. Specifically, a vehicle device is connected to a vehicle to monitor, store, and transmit vehicle information to a remote application server. The application server calculates the total amount of time a vehicle is not in use for a selected period and compares that with preset insurance premium information to determine if the user qualifies for a refund amount. If a user qualifies for a refund amount, the application server may automatically provide the user with the refund amount.