Cheap car insurance experts say you can now get the best car insurance by fitting your vehicle with a device that monitors your motoring habits, leading to insurers rewarding you for responsible driving.
Spiraling car insurance rates have forced large quantities of motorists off the road over the past two years due to the massive costs associated with comprehensive cover. Younger motorists have been hit particularly hard by the rate hikes, making it an impossibility for many to afford the insurance, while others have resorted to breaking the law and getting behind the wheel without insurance.
However, new technology is quickly becoming widespread within the insurance industry that is offering hope to cash-strapped drivers in the UK. Called ‘black box’ technology by some, telematics devices are being fitted into countless cars in an effort to cut drivers’ rates by demonstrating that they are safe and responsible while out on the road.
The technology has been active for some months in the UK, with several niche insurers offering it for up to as much as two years in some cases. However, larger insurers are beginning to adopt the new tech, with RBS-owned Direct Line being one of the newest to start a trial of the technology.
Telematics devices work by keeping track of the behaviour of the motorist by collecting information while the car is in use, and records information such as how far the car has been driven, what time of day the trip was made, and the manner in which the motorist operates the car. The data is then transmitted to the insurer, who analyses and evaluates the motorist’s driving habits and adjusts their insurance premiums in light of the analysis.