Colchester insurance company is leading the way in telematicsPosted on: January 12, 2019, by : admin
Telematics (otherwise known as ‘pay how you drive’ or ‘black box’ insurance) are car insurance policies that reward safer drivers with lower insurance premiums, calculated using data transmitted from a black box installed in the car or from a plug-in device.
Key metrics, such as acceleration, braking, speed and if the policy holder drives at night, are used to generate a driver safety score and adjust the insurance premium accordingly, with consumers able to monitor their performance through a personal dashboard.
It can be set up as `pay as you drive’, and is particularly useful for younger, inexperienced drivers who face high insurance bills.
Increasing numbers of drivers – one million in the past year – are making the change.
It appear more of us are prepared to having our driving qualities monitored if it brings lower car insurance premiums.
Insurance broker iGO4 has grown over recent years and now employs 350 people in offices in Colchester and Peterborough.
It has an annual turnover of £30m.
Launched in 2012 by iGO4 Insurance, WiseDriving is now a market leading telematics brand.
WiseDriving is the only telematics provider to adjust premiums on a monthly basis, rather than yearly, rewarding safer drivers with rebates.
Matt Munro, iGO4 chief executive said: “From the outset, iGO4’s approach was about doing things differently and transforming the consumer experience of insurance through innovation and technology. We were one of the first brokers to launch a telematics product because we realised its potential to create a much more personalised solution, based on how individuals actually drive, rather than generic risk.
“In particular, behavioural based insurance allows people in higher risk groups not to be penalised for other people’s bad driving. This was bound to be popular, especially in the context of rising car insurance premiums, with affordability for young people in particular becoming a growing problem.
“Policy volumes have grown by 118% over the past three years, and last year, UK telematics sales reached one million for the first time.”
Traditionally younger `inexperienced’ drivers, aged 17-25 have benefitted but iGO4 says other, older drivers can save too.
Which could account for its growth.
Mr Munro added: ““The growth of telematics can also be partly attributed to changing consumer attitudes to technology more broadly, as it makes many services more affordable and convenient, from grocery shopping to taxi rides. There is also growing interest in ‘performance monitoring’ in all areas of life, with ‘wearables’ for example now the fastest growing mobile devices.”