Telematics insurance, otherwise known as “black box” insurance, has been around for some time now and is an accepted form of insuring your car. However, are there any benefits in moving from traditional motor insurance to telematics cover?
Well, according to uSwitch, the answer would appear to be potentially a positive one as research carried out on their behalf would indicate that many motorists could obtain suitable cover for a lower premium. This has got to be something that most motorists would welcome especially when you consider that we have recently had an increase in the base rate that is likely to see many homeowners with mortgages having to pay more back each month in mortgage repayments.
A survey into telematics cover was undertaken by Opinium on behalf of uSwitch between the 10th August 2017 and the 14th August 2017 during which period some 2,010 adults took part here in the UK. The results make for interesting reading with full details being available on the website of uSwitch. Below we highlight some of the interesting findings.
If your priority is to save money then you will be interested to read that a safe driver could save as much as £145 per annum to cover their vehicle by taking out black box car insurance. However, if you are a young driver, you could save even more – as much as £372 per annum. We are sure that you will agree these are not insignificant sums of money.
Another benefit of having black box insurance is that if you were in an accident then your car could be found. A further benefit is that if your car were stolen then such technology could help locate the vehicle.
Whilst 54% of motorists are of the opinion that telematics car insurance policies cost less than the conventional type of cover, it is surprising that only 5% of such drivers decided to arrange black box cover. One would have thought that there would have been a bigger take up of motorists switching over to telematics cover.
So, what is putting people off moving over to telematics cover? Well, 49% of motorists were concerned about insurance companies being able to monitor their whereabouts. 43% were loyal to their existing insurer. 28% of motorists did not like the idea of having to go to the expense of having a black box fitted in their car.
If you are interested in telematics cover then why not get in touch with us with a view to obtaining a competitive quotation without any obligation to proceed.