If you have a new teen driver in the house, then you are probably carefully looking at your insurance policy and ready to make some changes to your coverage. There is one option on the policy selection menu that you may find not all that familiar: a telematics box. A telematics box, which is called different things by different insurers, is a small device that connects to your car and gives automatic feedback to the insurance company about certain driving habits. If you have a teen driver, opting in for a telematics box for your vehicle is an excellent idea. Here's a look at why that is the case.
Telematic boxes transmit GPS data.
One of the functions of the telematics box is it gives insurance companies a look at when and where you usually drive, which can be important when determining what type of insurance you really need for a specific vehicle. However, having a telematics box in your car that has a GPS could be highly valuable if you have a teen driver as well. The data collected by the box can help you keep tabs on when and where your child is driving. If something happens and you cannot find your child, you can actually get in touch with the insurance company to find out where the GPS is located.
Telematic boxes monitor driving habits.
No matter how well behaved your teen driver may be in the car when you're with them, once they set out on their own it can be a completely different story. Teen drivers are considered risky drivers because of their lack of driving experience. But they are also more likely to brake suddenly, drive fast, and make sharp turns. With this device in the car, these driving behaviors will be monitored and feedback given to the insurance company and you. So if your teen driver knows the telematic box is in the car, they may be a little more inclined to watch how they are driving at all times.
Telematic boxes can get you insurance discounts.
Adding a teenage driver to your auto insurance policy will most assuredly leave you with a rate increase because insurers see teen drivers as a risk to cover. However, signing up for a telematics box may actually land you a discount with some insurance providers. Many insurance companies offer customers savings for signing up for the telematic device because this device gives them a more accurate idea of how you use your vehicle and what driving habits you have.
