Some UK car insurance companies have been rewarding young drivers that have proven themselves to be responsible behind the wheel an average of more than £100 this month, industry experts have recently revealed.
One such motor car insurance provider that has been handing back cash, the Co-operative, is gifting their younger drivers who have been driving safely by keeping under the posted speed limit, take corners in a careful manner, and refrain from hitting the brakes excessively. The provider of discount car insurance for young drivers can tell who’s been naughty (or nice) through a new telematics device called a Smartbox, which keeps tabs on a younger motorist’s behaviour whilst on the road.
If the driver performs responsibly in the four different categories the Smartbox evaluates – time of day of driving, braking/acceleration, cornering, and speeding – he or she is granted a partial refund on their car insurance rates of up to as much as 11 per cent of their total payments. The average policyholder is being granted an 8.5 per cent refund on their premium price, with the typical payout amounting to approximately £102.
An overwhelmingly positive 88 per cent of the young drivers participating in the scheme are receiving cash back, says the Co-op. Only three policies have faced cancellation for poor driving since the beginning of the Smartbox telematics monitoring programme, the insurer added.
Both males and females were seen as nearly neck-and-neck when it came down to getting top marks, as 41 per cent of young female motorists and 40 per cent of their male counterparts were found to be driving completely responsibly. With the average premium young drivers face in the insurance market approximately £2,300, younger drivers have plenty of motivation to do whatever they can to reduce their motoring costs in whatever way they can.