I visited Norwich Union online yesterday to get an estimate of how much it will cost me to insure my ford fiesta diesel when renewal comes in january. It came up with a quote, which i was happy with, then it loaded a popup, saying i was eligible for pay as you drive insurance. I have heard of this, but didn't think they were doing it yet.
I read more on this, and it said they install a black box in your car (usual cost £200, free at the moment, first 1500 trial customers). It also said they are aiming this product at 18-25 year olds, whose mileage is generally lower than other groups. It wasn't very clear on prices and tarrifs, but it did say "starting from" prices. I travel about 1000 miles per month, and for that it said the rate was 4p per mile. £40 per month! £480 per year
obviously, thats not all, there is a base rate to pay (which it didn't explain in detail, since this is what varies the cost for higher risk groups and each case has different risks), and every mile between 11pm and 6am is charged at £1 (higher risk times apparently )
To say i will be paying £800 at renewal in january, this presents a feasible option for me if it is still available.
One of the major advantages i can see is that this is a tracking device in your car, so if the car gets stolen, the insurers can track it directly (providing the theives dont lift the bonnet and find the tracker for a few hours after reporting the theft).
However, im not sure about being followed around by my insurers, they will know every journey i make and they send you a bill that itemises every journey apparently, and use monthly direct debits to extort their fees. It would feel a bit like an intrusion on my privacy.
Would anyone else go for this option, were it available to them?
I read more on this, and it said they install a black box in your car (usual cost £200, free at the moment, first 1500 trial customers). It also said they are aiming this product at 18-25 year olds, whose mileage is generally lower than other groups. It wasn't very clear on prices and tarrifs, but it did say "starting from" prices. I travel about 1000 miles per month, and for that it said the rate was 4p per mile. £40 per month! £480 per year
obviously, thats not all, there is a base rate to pay (which it didn't explain in detail, since this is what varies the cost for higher risk groups and each case has different risks), and every mile between 11pm and 6am is charged at £1 (higher risk times apparently )To say i will be paying £800 at renewal in january, this presents a feasible option for me if it is still available.
One of the major advantages i can see is that this is a tracking device in your car, so if the car gets stolen, the insurers can track it directly (providing the theives dont lift the bonnet and find the tracker for a few hours after reporting the theft).
However, im not sure about being followed around by my insurers, they will know every journey i make and they send you a bill that itemises every journey apparently, and use monthly direct debits to extort their fees. It would feel a bit like an intrusion on my privacy.
Would anyone else go for this option, were it available to them?
