Young drivers could save on the cost of their car insurance premiums if they opt to use a small black box that tracks their driving habits.
Research by MoneySupermarket.com found young drivers could save, on average, £201 from their premiums (12.5 per cent) if they opted to use a telematics policy, which uses a black box to allow insurance providers to see whether motorists are adhering to the rules of the road.
The technology tracks information on what time a car is being driven, how aggressively a young driver is accelerating or braking and what type of road a user is driving on.
Drivers who opt into the scheme are able to track any data collected online – something that insurance companies hope will encourage safer driving habits among its customers.
Peter Harrison, car insurance expert at MoneySupermarket.com, said: “Telematics technology … is now becoming mainstream within the insurance industry. Although having your driving monitored may appear a little ‘big brother’ for some drivers, the financial benefits of using this technology is a no brainer.”
Young drivers remain the most at-risk group of all motorists in the UK and, consequently, usually face higher insurance premiums.