Telematics have reduced casualties to younger drivers by over a third
A recent report suggests that Telematics helped cut casualties by 30% and significantly lowered insurance premiums.
Casualty rates fell faster for drivers aged 17-19 (35%) compared to the general driving population (16%). This has been mainly attributed to the 80% adoption rate of this type of policy. Having a tracking device fitted significantly lowers insurance premiums which is advantageous for younger drivers.
Nearly a million telematics-based policies have purchased since 2011.
As a consequence of vehicle monitoring devices, young drivers are three times less likely (1 in 15) of having an accident within the first six months of passing their test than any other age range.
What the Statistics Show
LexisNexis Risk Solutions’ director of global telematics Graham Gordon said: “This analysis is vitally important.
“It helps validate the sector’s significant investment in the proposition by providing firm evidence of the role of telematics in cutting claims losses whilst improving the market’s ability to offer insurance to the most risky drivers on our roads.
“But most importantly it reveals the mass market potential for telematics, to help arrest the recent rise in road casualties in the wider motoring population and enable the market to truly realise its investment in telematics.
“The cost of offering telematics has fallen dramatically for the insurance sector – we estimate data acquisition costs have fallen by as much as 50% since 2013.
“At the same time our research shows that consumer confidence in telematics and willingness to use this type of insurance with four in five people comfortable with the idea of telematics insurance.
“With such a growing body of evidence showing that telematics is having a direct impact on cutting road accidents and thereby claims costs, combined with the fall in costs for the sector, the evolution of telematics insurance with products for each customer segment is already well underway.”
If you want to find out how telematics could transform your fleet go to www.cambriancards.com/telematics/ or give us a call on 0800 612 6132