April 03, 2012 01:00 ET

Is 'Black Box' Telematics Insurance the Future for Drivers?

LONDON, UNITED KINGDOM--(Marketwire - April 3, 2012) - More and more people are choosing to explore the benefits of having telematics insurance with motor trade insurance experts at Quote Me Today spotting a noted increase in the interest of black box technology.

One recent study showed that over 50% of people are planning a move over to telematics insurance over the next five years and Quote Me Today's motor trader clients say they have also noticed more interest from their customers.

Despite generally being aimed at encouraging safer driving for youngsters, the benefits of telematics are far reaching. Because the 'black box' is fitted to cars to monitor the safety details and amount of driving for the insurer, it encourages more responsibility in the driver which reflects on their car insurance premium.

However, it offers benefits for everyone on the roads as it encourages safer driving, whatever age they are. Quote Me Today who specialise in finding deals on car insurance as well as cheap motor trade insurance, say motor traders are seeing the initial draw of telematics for their customers as the ability to reduce the cost of rising car insurance policies.

With the AA's latest premium index showing a 15 per cent increase year on year and the fact that from December, a driver's sex will no longer be a consideration meaning despite women having fewer accidents and therefore being offered lower premiums in the past, this will no longer be a factor and they are likely to see a rise in costs.

Insurance companies are picking up on the trend too, with the AA and the Coop both launching telematics products and Quote Me Today predict that many more will follow suit. Their motor trade clients are already reporting that customers buying cars are showing more interest in shopping around for the best deals on car insurance, as motor traders themselves are doing.

A spokesperson for Quote Me Today, comments: 'Telematics insurance could be an interesting lead for motorists in the future and for motor traders to factor in. Because it puts the responsibility back in the driver's hands, enabling policy holders to feel they have more control over costs. However, there are a few things to look out for to make sure that this is the right option for you first'.

Quote Me Today advise finding out exactly how your insurer charges for telematics first; some may do so by the mile with an initial payment for a set amount of miles which can be increased later. Other things to point out are that things such as driving at night will use up more points and paying your policy up all in one go if you can to help prevent paying extra on monthly instalments.

Tips like these are why it helps to have a knowledgeable and experienced broker to guide you through the process and advise on such things such as options for insurance can be varied and complicated. Quote Me Today have many years in finding the best car insurance deals as well as motor traders insurance. For more information please visit www.quotemetoday.co.uk

About QuoteMeToday

Quote Me Today is a Kent based broker with years of experience in providing risk solutions for both the personal and commercial lines markets. In an industry where competitive rates, risk knowledge and customer confidence are essential, Quote Me Today offer these through a panel of insurers with a wealth of industry experience.

Their relationship with these insurers allows them to quote competitive rates coupled with professionally tailored cover which provides the edge in placing your business at the right price without prejudice to your policy requirements.

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