Monitoring technology 'could lower motor insurance premiums'

The Eddington Transport study may have implications upon the motor insurance market, an expert has suggested.

Richard Mason, director of insurance at moneysupermarket.com, has said that there may soon be an increase in pay-as-you-drive technology as the government attempts to cut congestion through road pricing.

"This will mean the unpopular big brother element of tracking motorists wherever and whenever they drive and it is likely this pay-as-you-drive technology will be the same as that which allows insurance companies to monitor driving habits," he said.

Mr Mason added that the technology allows insurers to lower their motor insurance premiums through careful driving.

While this information may be good news for conscientious motorists, those who disobey the rules of the road could find that their motor insurance premiums skyrocket, he said.

Insurers must now educate their customers following research which showed that more than a quarter of the public would not contemplate installing a black box in their car.

Research by insurer Privilege showed that drivers with four or more years no-claims discount are saving more than £10,000 during their lifetimes by adhering to motoring regulations.

Kwik-Fit Insurance provides motor insurance customers with many benefits which include 60 days European travel cover.


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