A new survey published by the AA has revealed that almost one quarter of young drivers are involved in an accident within only 6 months of passing their test. Popular car insurance comparison
site Tiger.co.uk asks whether telematics based motor insurance could help.
A rather shocking statistic published by Young Drivers at Risk, which reports on a recent survey of 14,000 young drivers between the ages of 18 to 24 on the AA/Populus panel, revealed that 23% of those interviewed were found to have been involved in a road crash within only 6 months of passing their test. And that, unfortunately, is not the end of the bad news delivered by the survey; 26% of young drivers claimed to have been involved in a collision within two years of having passed their test and 28% had been involved in an accident by the time they reached 21 years of age.
All of this does not particularly bode well for those trying to obtain cheap car insurance for young drivers
. Statistics such as these highlight why the cost of young drivers insurance is priced at such a premium, however there could well be hope in the guise of telematics based motor insurance.
Telematics based motor insurance is not only being credited with saving drivers money – a recent report from the British Insurance Brokers Association (BIBA) claimed that in some cases the price of young drivers insurance
premiums can drop by as much as £1,000 when taking out a telematics policy – but some policies can also offer peace of mind when it comes to road safety too.
The box technology fitted by some insurance providers is also set up to track accidents and theft. An example of this is the product being offered by insurethebox which alerts the insurer in the event of a severe collision. If a collision occurs the company can make contact with the driver to assess the circumstances and, if appropriate, will contact the emergency services. The box also records circumstances relating to the incident such as the time of day, the location, and the force of the impact – all of which can provide valuable evidence in the event of a claim.
Andrew Goulborn, Commercial Director for Tiger.co.uk commented: “The figures published by the AA make for grim reading and place the spotlight on the need to make road safety education a priority when teaching young people how to drive. We keep a close eye on developments in telematics insurance and it is clear that this type of product has the potential to help young drivers access cheaper car insurance
, but importantly it can also play a role in encouraging safer driving and to capture valuable information if accidents occur. We currently feature five telematics motor insurance providers on Tiger.co.uk and have plans to add more new brands to the panel over the coming months.”