CoverGirl Car Insurance has adopted the use of the Clear Box. The new piece of technology is a telematics device designed to enable car insurance companies to track their policyholders’ driving habits. The Clear Box monitors several different factors, such as how many miles the car is driven and the speeds at which it travels. If the motorist drives safely and responsibly, CoverGirl will reward them with cheaper car insurance and other bonuses.
CoverGirl specialises in providing car insurance to women. The insurer hopes that the new Clear Box insurance option will be popular among their customers who have a proven record of driving safely. Company spoleswoman Charlotte Halkett stated that the typical policy issued by the insurer is likely to be the cheaper option about 20 per cent of the time.
Ms Halkett added that the new policy is different than a more traditional pay-as-you-drive insurance policy. Many of those policies encouraged their holders to keep from driving between the hours of 11 in the evening to 5 in the morning. Motorists with such insurance were typically subject to a fee if driving within those hours.
The Clear Box device instead calculates a policyholder’s car insurance rate on how they drive, not when. This means that there are no direct penalties incurred by the motorist for driving at night. Instead the data collected by the telematics device will reflect how the motorist behaves whilst on the road. As a result of driving in a responsible, careful manner, motor vehicle operators will be rewarded with cheaper renewal rates and other bonuses to be determined by the insurer.