QBE first insurer to institute in-car black box technology
QBE is the first Australian car insurer to introduce the use of in-car telematics technology to divine drivers insurance rates.
Insurance Box, a small plug in car device, uses sensors to measure driving habits and calculate a drivers safety score (DriveScore) that is used to calculate an appropriate insurance premium. The idea is that safer drivers will pay lower premiums rather than premiums being determined on the usual factors of age, sex and postcode.
The information gathered by Insurance Box can also assist with a claim by providing an accurate account of what happened in a collision while the GPS functionality can be used to help locate a stolen vehicle. Where similar devices have been instituted in the UK, this has helped recover up to 95% of stolen vehicles fitted with the device.
"If you are a good driver, whether 18 or 80, you should be rewarded for that" Founder of Insurance Box, Frank Peppard said.
He expects that young drivers and their parents will be particularly interested in Insurance box as they both stand to save significant dollars through this new 'skills-tested' approach to car insurance.
Drivers who use the new tool will also receive insights and advice via an online portal and SMS to improve their driving habits and potentially save even more money.
For insurer QBE, the more data they can gather the more accurate is can be in assessing risks. "We are excited to be playing a leading role in bringing this Australian-first to the market and offering our customers a product that delivers both cost and safety benefits and encourages safer driving," said Tim Plant, General Executive Manager of QBE Australia.
The Insurance Box follows a growing trend of drivers embracing telematics devices in the UK where the severity and frequency of claims has fallen by 30%.
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