75pc of drivers want discount car insurance through telematics

New research conducted by Towers Watson has revealed that in more than 75 per cent of motorists are willing to switch to a telematics scheme if it meant they would obtain cheaper car insurance by doing so.

The Towers Watson study discovered that more than two out of every three motor car insurance policy holders in the UK over the age of 35 would be willing to have a monitoring device fitted into their vehicle.

The survey additionally found that another highly popular way for motorists to find discount car insurance was to shop around.  48 per cent of respondents indicated that they would rather compare car insurance online instead of increasing the voluntary excess or reducing the level of cover on a policy.

The only fly in the ointment for those willing to use a telematics device was a concern over how private the data detailing their motoring habits would be kept.  Acceptance levels may be affected if car insurance companies held on to the data for a significant period of time, as only 11 per cent of motorists would choose a telematics device if their insurer kept records for five years.

In comparison if the retention period was just one month, only 26 per cent would be critical of the idea of taking out car insurance cover with a telematics device.

The survey was conducted in light of the new European Court of Justice ruling that will go into effect December of next year barring the use of gender as a determining factor for the pricing of pension and insurance products.  Many respondents to the survey stated that they had an expectation for insurance premiums to rise for women as a result of the ruling.

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