Black Box Car Insurance

Black Box Car Insurance

If you’re not already familiar with Black Box car insurance let us take a moment to fill you in.

 

Black Box Car Insurance, or Telematics as it is also known, involves a black box being fitted to a vehicle, which monitors an individual’s driving style. It records driving behavior with the aim of rewarding careful drivers with lower insurance premiums.

 

The black box uses satellite technology to assess driving habits such as braking, acceleration, speed, cornering as well as the time of day that driving takes place. All of the information collected is then transmitted to the insurance provider by satellite, which enables the insurance company to assess the ‘risk level’ of the driver. In some cases, insurance companies can also impose a curfew with an excess premium payable should the driver use the car during dangerous nighttime hours.

 

So what are the advantages?

 

For new or younger drivers, or those will little driving experience, having a black box fitted to your vehicle can significantly reduce your insurance premium.

 

The Association of British Insurers (ABI) state that young drivers aged between 17 and 24 are three times more likely than other road users to be involved in catastrophic claims hence the higher insurance premiums for young drivers.

 

Black boxes may also be of use to drivers that don’t drive late at night or those that only drive a few miles each year. Allowing insurance companies to assess your driving habits and abilities can save an individual a significant amount of money on their annual premium. It is worth noting however that there may be a small charge for the black box to be fitted to your vehicle however, what a black box is likely to save you each year on your premium (should you prove to be a careful driver) this additional fee will still in the long run save you money on your car insurance.

 

There are additional advantages to having a black box fitted. Should your car be stolen the information collected by the black box could assist police in locating your vehicle. There is also the advantage that should you be involved in an accident, the information recorded on the black box may be sufficient to prove you weren’t to blame for the incident.

 

Any disadvantages?

 

If you’re someone who does high mileage each year then a black box insurance policy may not be for you. The amount of mileage you do along with your driving times may mean that your insurance premium actually increases so give it some thought before you commit to a black box policy.

 

If you’re looking to lease a car with Cocoon Vehicles we have no problem at all with a black box being fitted to a lease car. Why not get in touch today and talk through your leasing options with us? 01332 290173 or complete the form below and we will be in touch as soon as we can.

 

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