How much cheaper is black box insurance?

We love myth busting here at WiseDriving and the internet is full of stories about how telematics or black box insurance isn’t any cheaper than regular old car insurance.

We’re here to confirm that you could save a lot of money with one of our policies. With an up front discount on the cards and the ability to lower your price over time with careful driving, it’s a no brainer when it comes to getting on the road with black box.

How much cheaper is Black Box insurance?

It’s hard to put a finger on exactly how much cheaper it is - after all, a lot of things are factored into a quote, including everything from the size of your car to how many years no claims bonus you have - but here’s a quick example using one of our policies.

Typically, car insurance for 17-22 year olds in the UK costs around £1,400 every year and is expected to increase. Let’s say you decided to take matters into your own hands and choose WiseDriving to install a telematics device in your car instead.

We offer an upfront discount when you take out our telematics insurance - so you’re instantly saving money on your policy.

Plus, over time you can bring this price down further with careful driving. Telematics devices measure a number of things including:

  • How fast you accelerate.
  • The speed you drive at.
  • How hard you brake.
  • Which roads you drive on and what time you drive.

If you do all these safely then you should have no problem lowering the cost of your car insurance further. We review your driving every month - and you can also keep an eye on how you’re doing via your online WiseDriving account to ensure you’re always paying the right price.

What do insurance companies take into account when putting together a quote?

It’s not just age that matters. There are a fair few other factors that go into putting a price on your car insurance - which is why it’s so difficult to give a clear example of how much cheaper black box insurance is. Here’s a quick round up of what is looked at:

  • The type of car you drive - It’s safe to say if you’ve managed to get your hands on a sports car, this is going to cost more than a 10 year old runaround. High value cars cost more to insure, just as they cost more to fix and are worth more money
  • The size of the car’s engine - A larger engine = a larger insurance quote. This is because the car has more power, which means you could be more of a risk on the road when it comes to speed and acceleration.
  • The age of the car - Typically, older cars are cheaper to fix so could cost less to insure.
  • How many miles you intend to drive - The more mileage you clock up, the more you pay as being out on the road is a risk.
  • Where you live - Areas with high crime rates will lead to a steeper insurance price, as there is a higher risk of damage or theft if left there overnight. If you can park on your driveway (or even better, a garage) this will go in your favour when your quote is calculated.
  • Who is driving the car - Of course, you will be considered first but if you add named drivers to your policy this will also have an effect on what you pay. Putting older drivers, with clean driving histories, on your insurance could bring the price down. Check out our insurance for young driver’s guide, which breaks down how to save money.

When it comes to getting car insurance, a lot more than your age is considered - so it’s worth bearing these factors in mind when debating on the type of cover you choose or whether you have a black box installed.

Check out our guide here on the site about first time drivers insurance to find out more about car insurance cover and what you need to think about when getting ready to get out on the road.

Posted on March 23, 2018
Category Money Saving


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