Black Box Car Insurance Offers Safer Driving Environment and Behavior Incentive

Young drivers are more likely to be involved in a car accident and that statistic is why insurers charge them more for coverage. The high risk of providing car insurance is why according to the Association of British Insurers (ABI) almost three million drivers below the age of 25 pay an average of almost £2,000 in insurance each year. There is an escape of being targeted as one of many young drivers and being viewed as a high risk and that is the decision to use black box car insurance. With black box car insurance a young driver can prove they are a safer driver than the statistics would suggest and safer driving means lower risk and less expensive car insurance.

According to Amy Kilmartin, project manager with Co-Operative’s Young Driver Insurance Scheme, the black box insurance product allows young drivers to prove they are good drivers and there is the incentive of lower premiums to continue the behavior of good driving.

Ms. Kilmartin said, “This product treats the drivers as individuals and lets them prove they are safe behind the wheel and rewards them for it.

“We assess driving performance based on four criteria: speed, braking and acceleration, cornering and the time of day the driving is taking place.”

The data collected by the black box installed in the young driver’s car is assessed every quarter. If the driver’s data reveals they are a safe driver then they are offered a reduction in the monthly premium according to Co-Operative’s scheme.

The use of black box car insurance offers young drivers the incentive to be safer on the road and that incentive could lead to less accidents. The black box car insurance is a popular product with the British Insurance Brokers’ Association revealing that there was an increase of five-fold the number of black box products between 2010 and 2012. There is a forecast of more than 500,000 black box policy holders expected next year.

source: comparethebox.com