Choosing your insurance as a new driver is tricky. Of course, you want to get one at the best price and with the most benefits. There is, however, one option which is a cut above the rest. So, let’s take a look at how new drivers can benefit from telematics insurance.
What is Telematics insurance?
In simple terms, telematics insurance relies on installing a device on your car. This device then tracks every aspect of your driving: your speed, mileage, and even how violently you take your turns, accelerate, or break. By collating all of this data, the device then grades your driving. From there, the score and data reach your insurance company. Who then provides you with added benefits, such as premium payouts, added mileage, or reduced prices. Of course, on the condition that your driving score is good. If, on the other hand, you are proven to be a reckless driver, and the accident you’d gotten into was your fault, your insurance payout would be denied, and it would cost you more to sign onto a policy.
It is accessible
The first way new drivers can benefit from telematics insurance is how accessible it is. Typically, young drivers, no matter how well they do in driving school or their driving test, will not be able to get insurance quickly. This is because their driving scores are still unknown, and they also frequently have low credit scores due to just starting their professional lives. Some might not even be able to get a job for several years to come due to getting an education or just being too young. An added complication will be if they live in a high-crime area or an area considered ‘accident-prone’ due to quirks of the local road or similar. All these things would typically disqualify you from getting insurance. Telematics insurance, on the other hand, only cares about your driving performance post-signing.
Monitor your progress
Another way how new drivers can benefit from telematics insurance is by being able to track their performance. Telematics data is very thorough, and you will be able to gain insight into every aspect of your driving skill. This is especially pertinent when trying to overcome driving test failure. Your driving instructor will, of course, be able to help you greatly. However, getting cold hard data that you can work on improving is immensely helpful. Not to mention the fact that you will have all the encouragement you need as you watch the metrics slowly improve. There are few things as emboldening as concrete proof of progress!
Ensure your financial safety
Of course, one of the main benefits of telematics insurance is the same as the draw of typical insurance policies: a guarantee that you will be fine in case of an accident. Even moving professionals from helixmove.com, who handle moving trucks professionally for a living, recommend having a good vehicle insurance policy. After all, sometimes, you will get into an accident even if you do everything right. You can’t affect the behaviour of others on the road or in any way account for it. The only thing you can do is your best and hope that you won’t run into a reckless driver. If this happens, at least you would know that you can repair or replace your car. Besides, with telematics insurance, you will be paid a premium so long as your driving score is good. This means you might even have money left over!
Reassure your parents
Sometimes, your biggest problem will not be having to overcome your fear of driving. Instead, it will be reassuring your parents that you are, in fact, capable of being on the road. The fantastic thing about telematics insurance is that every named vehicle driver can access the feedback scores. Even if they refuse to take your word for it and doubt your ability, they won’t be able to deny good solid evidence! They will have concrete proof that even outside the driving school experience, you can handle the rigors of the road and comport yourself with the skill required to avoid causing accidents. This might not make them immediately willing to endorse your driving. But it’s still a step in the right direction!
Prevent reckless driving
There are two reasons why telematics insurance can help prevent reckless driving for new drivers. The first, obviously, would be the fear of losing the insurance policy’s benefits. We mentioned it before, but your insurance company will have free and complete access to the telematics data. This means that if you start driving recklessly, they will quickly cut back on your potential benefits and might even hit you with fines. The second way how new drivers can benefit from telematics insurance preventing reckless driving is by bearing the data with their parents or guardians. We mentioned that telematics insurance could reassure parents, but the opposite is also true! If you drive recklessly and they find out, you might find yourself quickly losing car privileges.
Pace yourself better
The final way new drivers can benefit from telematics insurance is that it can force them to pace themselves. Once you first pass your driving test and get your driving license, the freedom of being able to drive anywhere can be heady. You might be tempted to go on long leisure drives just for the sake of enjoying them. Or make long trips by car. However, for young and inexperienced drivers, this can be rather dangerous. Even if you’ve managed to get ready to drive, you are not suddenly an expert. Telematics insurance curbs this tendency by imposing mileage limits on monthly, yearly, or, rarely, even weekly levels. They can be modified through additional payments, or you might earn mileage by performing well, but the latter is more incentive for safe driving!
Now that you understand how new drivers can benefit from telematics insurance, you can decide whether you want it or not. Overall, however, it is definitely one of the best, if not the best, options for new drivers.