Why Telematics policy is the best way to get cheap motor insurance premiums?

Auto Insurance

Why Telematics policy is the best way to get cheap motor insurance premiums

Whether we believe the reported facts or just ponder upon a public survey, it is now absolutely clear that British drivers are facing the brunt of ever increasing motor insurance costs. According to statistics, UK car insurance premiums have actually beaten the rates of inflation by rising five times faster. As the UK car insurance cost witness a rise of 14%, it becomes exceptionally difficult to balance the vehicle purchase and motoring costs.

Experts suggest the best way to get cheap car insurance premiums is to switch to black box policy. It is estimated that if all British drivers switch to telematics policy then they can save over £1.7 billion annually. Clearly, when it’s about making savings on car insurance cost, telematics insurance is the way ahead. However, the irony is that only 5% of UK motorists have black box policy and most of these are young drivers under 25.

As per the reports by Consumer Intelligence, young UK drivers can save on car insurance premiums, the average of which was around £755 in 2016. John Blevins, the pricing expert at Consumer Intelligence shared his views by saying that “Telematics use is rising rapidly – currently 65% of the most competitive quotes for under-25s are through telematics policies. A year ago it was only 55%, and they are clearly the best way for the under-25s to limit price rises, as well as shopping around and being prepared to switch insurer every year.”

A point to be noted here is that the young drivers under 25 gain more by choosing the black box insurance when compared to the older and more experienced drivers. This is simply due to the fact that young drivers pay much higher car insurance premiums than their older counterparts and so, they tend to make bigger savings through telematics policy.

This was also pointed out by John Blevins who said that “The over-25s are less likely to benefit from telematics as a way of keeping premiums down, and in general should focus on shopping around and switching when it comes to renewal time. That said there is increasing evidence that telematics policies are growing as competition – around 11% of the best deals for drivers aged 25 to 49 are offered by telematics, and 8% of those for the over-50s. The likelihood is that telematics will become more important in the future,”

To make the long story short, if you want cheap car insurance premiums then choose a telematics policy that tracks your driving patterns and sends them directly to the insurer. When young drivers choose black box insurance, they become aware of being monitored by their car insurance provider and thus, consciously make an effort to cultivate safe driving habits. Again, the evidences from the black box save them if there are any false allegations in case of accidents. So, the UK car insurance providers start trusting you more when you have the telematics policy.

In essence, you become a less risky customer for insurers when your vehicle is fitted with a black box as your driving behaviour can observed and you can be warned by your insurance provider. Therefore, the best way to save on car insurance premiums is to buy black box policy.

Apart from the telematics policy, you can choose the cheapest car insurance providers by shopping around. FreePriceCompare helps you in this case through the constant analysis of the car insurance market. We suggest the cheapest car insurance quotes online and manage the entire switch process. To know how we can help you get lower car insurance premiums, just visit us at https://freepricecompare.com/car-insurance/ or call our team of motor insurance comparison experts on 02034757476.

Compare Car Insurance Providers and Save Up to £200

Go Back
Compare Car Insurance Providers and Save Up to £200