Should I consider a black box insurance policy?
Telematics insurance will not be suitable for all drivers, but it's a growing area with the potential to offer benefits in terms of cost, security and improved habits to motorists of all ages. In our quotes process you can compare and choose between black box options and traditional policies, with Defaqto star ratings to help - why not take a look?Sean Davies, Gocompare.com
Compare black box insurance and drive away with a deal
Black box car insurance proves you’re a responsible driver and rewards good behaviour with a cheaper premium.
To get started, either download a telematics app to your smartphone, or fit a black box to your car. As you trundle about your business, the tech collects info about your driving habits and recalculates how much you should pay for car insurance.
The cost of your insurance fluctuates based on:
- The speed you drive
- Braking and accelerating habits
- Distance travelled
- Time of day you travel
- Types of roads you drive on
Some policies will give you access to an online dashboard where you can review your driving and learn to improve it - pretty snazzy.
Cheaper car insurance for young, old and occasional drivers
Black box insurance is an attractive option for safe, young drivers looking for affordable premiums, but it has the potential to offer benefits to good drivers of any age.
Did you know...?
- Black box insurance has been on the UK market since 2008
- By April 2018, all new EU cars will have to have black box technology known as eCall installed
By 2024 telematics will be an opt-out rather than an opt-in
If you don’t travel long distances and have a low annual mileage, black box insurance may be better value for you too.
And, if you tell your insurer you’re only going to drive at low risk times of day (avoiding rush hour, for instance) that may bring your premium down as well.
Black box insurance offers an innovative solution to rising motoring costs, but remember that it won't be suitable for all drivers.
There may be restrictions on use, not all insurers will monitor the same things and the way they handle the data and allow access to it can also differ.
Black box insurance rating factors
Black box insurance policies are based on ‘rating factors’ - in other words, targets you can hit (or miss) that’ll determine how much you pay.
For instance, if your insurer uses mileage a rating factor and you exceed the annual allowance your premium may increase, whereas behaviour ratings will include things such as the way you accelerate and brake, the speed you drive, the type of roads you use and the time of day you travel.
Drivers hit targets and fulfil what they’ve agreed with the insurer are usually rewarded with a lower premium because you’re driving in a safe way.
Those who don't drive safely will usually pay more.
Remember to check whether the rating factors used by the policy provider are based on your driving behaviour or mileage.
How to buy black box insurance
If you compare black box insurance through GoCompare, you’ll see all the policies, prices and providers, including non-black box policies, in one place - easy!
Make sure you look at all the options and weigh up which policy is right for you.
With GoCompare, you can review all the important info before making your final choice:
- the provider
- the excess you want to pay
- if you'd like legal assistance
- courtesy car cover
- personal accident insurance
- windscreen cover
- protected no claims bonus, if you’ve already been driving for more than one year
And, there are star ratings from independent financial researcher Defaqto to help you make an informed choice.
Get the nitty-gritty on all things car insurance by reading the guides in our car insurance garage, including everything you need to know about black box insurance.
And, it's worth taking some time to get to grips with it: "By 2024, telematics will be an opt-out rather than an opt-in," explains GoCompare’s Tom Lewis.
"People may opt out because they're bad drivers, they're unhappy with privacy arrangements or they have an old car, but they'll have to accept a higher premium for opting out."
By April 2018, EU regulations mean that all new cars will have to be installed with black box technology known as eCall - this version of the software is intended to help emergency services find crashed vehicles.