RAC 'black box' insurance deal set to decrease premiums for all drivers

A new joint venture between the RAC and technology partner Quindell, which owns telematics brand Ingenie, could see an extra four million cars fitted with black box devices.
Said to be the largest black box partnership of its kind, the new scheme will offer telematics insurance to a wider audience – not just the young and inexperienced.

The devices – that are fitted to a vehicle free of charge – collate a 'driving profile' of the individual, which is then fed back to the insurance company who can reward users for safe and considered driving styles.

Traditionally, black box insurance has been offered to young and inexperienced drivers with the promise to lower extortionate insurance policies. Ingenie claims that the average starting policy for a new driver is a staggering £3100 but this figure can be cut to around £17000 should the telematics device be fitted.

According to The Telegraph, Britain is one of the fastest growing markets after Italy for telematics services linked to motoring and insurance but the RAC believes the boxes could be used for more than just lowering insurance premiums.

The breakdown firm could use the technology to locate stricken vehicles and even diagnose issues remotely or detect them before they happen. When plugged into a vehicle diagnostics port, the device can beam information on the car's current state to a remote control room.

RAC-branded telematics insurance will be available in the UK from July.
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