Black boxes for lowering car insurance premiums for teenagers can also save older drivers a fortune

Older motorists who are confronted with sky-high car insurance costs due to their age are encouraged to save money with new technology that only lowers the premiums of how you drive.

Blackbox car insurance is praised for reducing accidents and helping young drivers save hundreds of pounds.

Officially known as telematics insurance, this type of policy owes its name to the small device insurers that fit in your car to monitor your driving behavior.

Older drivers can take advantage of blackbox devices designed to help young people find affordable car insurance

Older drivers can take advantage of blackbox devices designed to help young people find affordable car insurance

Typical car insurers give price premiums based on the risk that they think you're posing, based on factors such as your age and place of residence.

But with telematics policy, prices can rise or fall depending on your driving style, number of kilometers, routes you take and the time of your trip.

Studies show that drivers who have installed a black box in their car tend to drive more carefully. In exchange, they are rewarded with a cheaper policy.

The deals prove popular with younger drivers who are desperate to reduce priceless premiums because of their age.

About one in three drivers under 25 uses a black box to save money on their insurance, said analysts LexisNexis Risk Solutions.

However, only one in ten people between 35 and 54 years old has a telematics policy – and only one in twenty drivers over the age of 55.

Money Mail research suggests that this is possible because older drivers are not aware of this type of insurance.

Our analysis shows that motorists in their late years & # 39; 50 were usually offered half as many black-box deals as motorists in their early years & # 39; 20.

Studies show that drivers who have installed a black box in their car tend to drive more carefully. In exchange, they are rewarded with a cheaper policy

Studies show that drivers who have installed a black box in their car tend to drive more carefully. In exchange, they are rewarded with a cheaper policy

Studies show that drivers who have installed a black box in their car tend to drive more carefully. In exchange, they are rewarded with a cheaper policy

This is despite drivers aged 50 to 64 who save an average of £ 484 a year with such a policy, according to Comparethemarket comparison site.

Those aged 65 to 79 could save £ 343, and those over 80 could put £ 145 in the bag, it adds.

Martyn Mathews, of LexisNexis, says: & # 39; The vast majority of drivers who could benefit from the safety benefits of telematics and insurance costs based on their driving behavior, rather than how insurance companies think they can drive, miss the risk & # 39;

Experts believe that offering more older drivers a black box policy can help put an end to unreasonably high premiums.

Earlier this year, Money Mail revealed how some eighty generic drivers up to £ 3,800 were quoted for an annual premium, despite six decades of driving without a claim.

& # 39; Big Brother & # 39; device cut my bill with £ 250

A bargain: Michelle Seelhoff

A bargain: Michelle Seelhoff

A bargain: Michelle Seelhoff

When Michelle Seelhoff, 55, used a comparison website to find car insurance for her Land Rover Freelander, she was offered – like many older drivers – only one telematics asset.

But the artist and her husband, Kevin, 57, who works in building materials, decided to close the £ 400 policy with Coverbox, because the next cheapest offer was about £ 250 more expensive.

Michelle says: & # 39; I am a safe driver, so I knew that maybe I could save money with a black box deal.

& # 39; I was not concerned that the way I drive would increase my premium. & # 39;

A technician came to their home, at Taunton in Somerset, to place the device under the dashboard – a process that took about 30-45 minutes.

& # 39; It looked exactly the same as before. You couldn't see the box at all, & she says. The installation was free, but the couple had to pay an institutional fee of £ 10 and a & # 39; device management fee & # 39; from £ 120.

They have been updated this year and these costs have fallen to £ 5 and £ 60 respectively.

But Michelle says the deal was a bargain, even with the extra costs. & # 39; In addition to saving us around £ 200 a year, you also think a bit more about how you drive & # 39 ;, she says.

Michelle does not check her driving score online because she is convinced that she is always driving safely and says that she has a & # 39; goody-goody & # 39; is about adhering to speed limits and not hard to brake.

She adds: & # 39; Although I am joking that it looks a bit like Big Brother looking at you, I think it has a positive effect and makes you drive more carefully – which is a good thing. & # 39;

moneymail@dailymail.co.uk

Insurers place the over-80s in a & # 39; high risk & # 39; category, because they are statistically more likely to have an accident.

But as Roger Ramsden, group leader of telematics provider MyPolicy, says: & # 39; The traditional insurance industry is focused on placing drivers in risk clusters, but due to the nature of the case, that means that half of the people in each group are overpaid and the other half was paid too little. & # 39;

Black boxes can solve this problem because older drivers can use their driving data to prove that they are still safely behind the wheel.

Despite the benefits for all directors, insurers are focusing on black box policies for younger people who may be more willing to try out new technology and are desperate to lower their sky-high premiums.

But there may be other factors that disable older drivers.

A third of drivers who told Comparethemarket that they did not want a black box were worried about having to pay to remove the box if they changed insurers.

Coverbox charges £ 60 to remove its gadget, while the cost to disconnect the device during your policy with Admiral LittleBox is £ 100 – although there are no costs if you choose not to extend it at the end of your coverage .

And there are additional costs if you change cars: Insurethebox charges £ 90, Admiral £ 59.50 and Ingenie between £ 80 and £ 160, depending on how often you move your vehicle.

Most blackbox insurance companies offer free installation and include the cost of the device in your first premium.

But some insurers require that you have a minimum premium, such as Admiral LittleBox, where drivers must pay at least £ 650 a year. Others may receive a & # 39; device management fee & # 39; such as Coverbox, which is £ 120 for the first year and £ 60 each year thereafter.

A solution could be to install your own black box, with which you can share driving data with an insurer.

The recently launched Theo & # 39; super dashcam & # 39 ;, monitors and films and lets users share their data in the near future. It costs £ 169.99, plus £ 50 for installation and a subscription of £ 4.99 per month.

moneymail@dailymail.co.uk