Pay as you drive car insurance news - Derbyshire Road Safety group approves

PAYD insurance news - Pay as you drive car insurance is a boon for young drivers

The increased availability of pay as you drive car insurance or PAYD cover for young drivers has been praised by the Derbyshire Road Safety Partnership.

Matlock Today reports that partnership chairman Mike Ashworth believes telematics devices, which monitor policyholders' driving and enable insurers to offer pay how you drive insurance cover, have helped make lower-priced policies which reward safe driving available.

He said, "One in five drivers crash within 12 months of passing their test and we know that many people feel anxious about the challenges that their children will face once they've got their full licence.

"We've always recommended that concerned parents enrol their children on advanced driver training. Now those looking for additional peace of mind will be able to explore the possibility of a pay-how-you-drive insurance policy as well. They won't suit everyone but they are worth considering."

Telematics insurance cover is available from certain insurers, including insurethebox, and requires the fitting of a small device inside the policy holder's vehicle. This device collects data about the journeys made and certain driving factors, such as speed, braking and distance travelled. This data is then analysed so that insurers can incentivise policy holders who have shown safe and positive driving habits.

insurethebox's pay as you drive car insurance is also a particularly good idea for low-mileage drivers as the low rate is based on the purchase of 6,000 Base Miles. Drivers who drive close to or fewer than 6,000 miles a year may find that an insurethebox policy is cheaper than traditional car insurance.