Telematics technology news - Not all tracker car insurance punishes poor driving

Young driver news - insurethebox tracker car insurance doesn't penalise

Tracker car insurance can help young drivers reduce the cost of their annual motor cover premium, but the various companies use this new technology, known as telematics, quite differently from one another and this is causing confusion among new motorists.

Telematics technology, contained in a small box fitted to the insured's vehicle, monitors an individual's driving habits and allows them to prove to their insurance company that they are a safe and responsible driver.

By reviewing the data collected from their car journeys, motorists can alter negative driving behaviour to become even safer on the roads.

However, one insurer using telematics technology is also letting the young driver's parents view the data results.

Under this company's proposal, drivers who stay in the "green" zone will not receive any correspondence from the insurer, whereas drivers who enter the "red" zone will receive a written warning along with their parents – any driver receiving two warnings within a month face the possibility of a maximum of £400 additional charge being levied.

The founder of the company states, "Youngsters may be wary of [the technology] because it could be seen as a spying eye – a sort of 'black box' which records their every move."

For those new drivers who wish to improve their driving with a telematics device, but who don't want to be punished for mistakes or have results shared with parents, there are companies who accommodate these individuals.

Some tracker car insurance providers, such as insurethebox, offer data to help new motorists drive more safely, but do not directly penalise them for negative driving behaviour and do not send collected data to their guardians.