New UK Driving Insurance scheme called "Pay how you drive" is targeted at drivers under 25.
In a nut shell if you're driving is not up to scratch you premiums will be higher than normal, if your driving is good your premiums will be low.
How does it work?
It attaches a smartbox to your car that uses GPS technology to track how you drive your car. This includes things such as cornering speeds and the time of journey. The information is then collated and displayed on the website where drivers can log in to see their rating and are given performance reports.
Insurance premiums are calculated every 90 days and drivers can expect to see a discount of up to 11% if their driving is good.
The Co-Operative insurance group estimates 45% of drivers on this scheme will receive the 11% discount leaving the average policy at £1300.
The system has its disadvantages though, many people don't like to be monitored and some users have been complaining about it incorrectly taking data around mini-roundabouts as corners. A few bugs to sort out here really.
Overall, not a bad option in my opinion and something I'm going to look into. I'm currently getting quotes in excess of 2 grand and I hope this can knock some of it off.
