Govt backs increased use of telematics among young drivers

Friday, April 20th 2012
Telematics use 'should be increased among young drivers'
More young motorists should use telematics technology, the government has said.

The government has welcomed proposals to improve risk and safety among young car insurance customers through methods such as telematics.

Responding to the transport select committee's follow-up report on the cost of motor insurance, the Conservative-led coalition acknowledged that fees for these policies have significant social and economic impacts for all road users, particularly youngsters.

Policymakers pledged to work with the industry to increase the prevalence of telematics - or smartbox - technology, which monitors behaviour behind the wheel and could give younger motorists the opportunity to get cheaper car insurance by making their driving safer.

Commenting on the government's response, The Co-operative Banking Group said young drivers with its telematics insurance package have enjoyed a 20 per cent reduction in car accidents.

Grant Mitchell, head of motor insurance at the financial services provider, added: "We hope the government's calls lead to more insurers offering similar telematics solutions so that as an industry we can reward all responsible young drivers in the UK with lower prices."

Latest Hot Deals

Related News

Youngsters are less likely to have a car crash if they have "black box" insurance, a new study has revealed.
The insurance provider has launched a competition for newly qualified drivers.
The transport committee has revealed fraud is leading to higher premiums.
Speeding fines can be substantially more expensive when the rise in insurance premiums is considered.