Enough is enough, one insurance expert says, who recently said that car insurance companies need to quit dragging their feet and adopt telematics-based cover in order to provide less expensive cover to their customers.
Stephen Doran, managing director for Tracker, said in a recent statement that the insurance system in the UK is collapsing under its own weight, leading to the massive car insurance rates we’re all paying. The current system has insurers using statistical analysis to predict what kind of motorist you’re going to be, based on your age, your address, your motoring experience, and many other factors, which has led to massive premiums quoted to first-time drivers because they’re considered poor risks; some young male motorists are on the receiving end of as much as 40 per cent rate hikes.
Telematics turns all this on its ear, as the technology uses a device similar to a satnav to track a motorist’s location and driving behaviour before beaming it back to the insurer. Drivers who can prove they’re responsible behind the wheel by avoiding driving too much at night, keeping under the speed limit, and braking and taking corners safely, are awarded with discount car insurance to reflect their low-risk driver status.
Experts add that there’s a domino effect when it comes to the widespread adoption of telematics tech. With more people choosing the Big Brother-like technology and voluntarily driving less like maniacs and more like normal human beings, accident rates will fall, experts say – and those accidents that still occur will most likely be occurring at lessened rates of speed, meaning that damage done to vehicles involved in the accident will be much less costly to repair – and serious injuries and fatalities will likewise drop.