Matt Oliver, Gocompare.com’s car insurance spokesman, said:
“Gocompare.com has been at the forefront of promoting the benefits of telematics-based insurance and we see it as a market with considerable potential for further growth. Sales of telematics based car insurance policies through Gocompare.com increased by more than 58% from 2013 to 2014 and we believe that telematics policies, which use a person’s actual driving behaviour to calculate their premium, can provide a solution for those who may otherwise struggle to find affordable insurance, including young drivers.
“According to our own research it costs £6,768*, on average, to get a young person on the road, with insurance costs making up around a third of the bill. With a telematics-based policy young and inexperienced drivers can prove to insurers that they are safe behind the wheel and earn cheaper premiums faster than they may do through a ‘standard’ policy.
“The driving behaviour that telematics devices record – whether physical GPS-enabled boxes or apps –include all or any aspects of speed, braking, acceleration, time of day and more. This has two benefits; it can help careful drivers to get bigger premium discounts more quickly, and lets them monitor how they drive, helping them to become safer drivers.”
Notes to editors:
Between the 21st and 27th October 2014 One Poll conducted an online survey among 2000 randomly selected British adults with children aged between 16 and 25.
**£6,768 figure is based on the following: provisional licence (apply online) £34*; driving lessons (20 lessons at £24** per lesson) £480; driving test fees - theory test (weekdays) £25*, practical test (weekdays) £62*; average cost of car £3825; car tax (Vehicle Excise Duty) £110 per year* based on a 2012 Vauxhall Corsa 1.2 SXi; one year’s fully comprehensive car insurance £2,232 based on Gocompare.com’s average cheapest quote for 17 years olds between Jan 14 and Oct 14.
£601 = £480 (driving lessons) + £34 provisional licence + £87 driving test fees
Source: *DirectGov, **The AA