A firm specialising in providing discount car insurance for young drivers has recently said that it has experienced ‘significant’ motoring behaviour improvements in its customer base after introducing ‘black box’ telematics technology as a viable option, experts say.
Telematics is the next big thing in the motor car insurance sector, with recently conducted research revealing that more than half of motorists in the UK have plans to switch to the satnav tracking technology over the next five years in an effort to save money on their car insurance rates. The tech tracks driving habits, offering insurers an accurate way to assess individual driver risk better than reliance on statistical analysis, experts say.
Young Marmalade, one of the UK’s young driver insurance specialist providers, adopted telematics recently and reported excellent results so far, according to Crispin Moger, managing director for the firm. Mr Moger said that, since the insurer’s ‘Intelligent Marmalade’ brand of telematics insurance, YM has experienced a significant improvement in how its young drivers act once they get behind the wheel.
Reducing insurance costs has been a powerful motivating force for the nation’s younger motorists, as YM reported that only 3 per cent of its customers have had their premiums increased as a penalty for driving poorly and in an unsafe manner. Britain’s roads are safer than they were before the new scheme, Mr Moger added.
Insurers that either plan to offer similar telematics services or who already have black box insurance of their own are preparing for a massive influx of customers over the next half decade, as the study discovered 57 per cent of motorists planning to switch to an insurer that provides the service to its customers.