Insurance Nottingham

Insurance, Nottingham

Oakes Insurance endeavour to ensure our web site is designed to be compliant with W3C standards. If you are using a screen reader, or any other device where this text is accessible and you're experiencing difficulties please Contact us immediately.

Beware the Black Box!

An investigation by Mail Money has found that drivers who opt for 'black box' insurance could be setting themselves up for fines, hidden costs and even cancelled policies.

Black box insurance, which monitors the safety of an individual's driving, thus supposedly lowering insurance premiums over time, can actually result in hidden fees and even fines for those breaking the speed limit.

Mail Money found that in most circumstances and insurance provider would warn a driver if he or she has been found to regularly break the speed limit but in some cases fines of up to £100 have been issued.

Black box insurance users have also found that the lengthy tomes of small print that come with each policy have proved misleading or difficult to understand. Drivers with iKube, for example, have been stung with charges of £100 a night for driving outside of its curfew hours of 11pm to 5am.

A number of black box insurance providers also charge the customer should they sell their car or switch providers.

Mike Powell, insurance analyst at research company Defaqto, told
 Money Mail
: "Black box insurance carries so many fees and charges, they need to be made much, much clearer.

"It's very easy for drivers to be taken in by the technology, along with the promised drop in premiums, but they can end up paying out a lot more than they thought."

The technology was only introduced over the last five years but it has proved a hit among young and newly qualified drivers, lured by the promise of cheaper insurance quotes for safer driving.

The black box technology sees a GPS system fitted to the underside of the car, which transmits information about the style and quality of driving (speed, acceleration, braking) to the insurer. The customer is then rewarded with cheaper insurance premiums if he or she displays a good and safe standard of driving.

But a number of young and inexperienced drivers have found they are not being rewarded, as buried in the terms and conditions for Admiral's policies (provided by subsidiary Bell), it states: "We compare your driving with that of other customers and calculate a score based on how you drive - and how your driving compares to other customers.

"At renewal, we will use this score and performance group to determine if your renewal price should be discounted or increased."

So, with a huge proportion of black box insured motorists displaying impeccable driving manners, it could mean that nobody receives a discount come renewal time.

Graeme Trudgill, of the British Insurance Brokers' Association, told
 Money Mail
: "Black box is still relatively new so many insurers are still exploring the options.

"Some insurers are waiting to see if it is simply only those drivers predisposed to driving cautiously anyway that will use it or if it will significantly change those less cautious drivers' behaviour too."




January 2021 (2)

December 2020 (2)

July 2020 (1)

May 2020 (3)

April 2020 (3)

March 2020 (1)

February 2017 (1)

November 2015 (1)

July 2015 (1)

June 2015 (1)

April 2015 (1)

February 2015 (1)

October 2014 (1)

September 2014 (2)

August 2014 (1)

June 2014 (2)

April 2014 (1)

March 2014 (1)

February 2014 (1)

December 2013 (4)

August 2013 (4)

May 2013 (2)

April 2013 (3)

March 2013 (3)

February 2013 (2)

January 2013 (1)

December 2012 (4)

November 2012 (1)

October 2012 (2)

September 2012 (2)

August 2012 (1)

July 2012 (1)

June 2012 (1)

May 2012 (4)

April 2012 (3)

March 2012 (3)

February 2012 (4)

January 2012 (3)

December 2011 (2)

November 2011 (4)

October 2011 (2)

September 2011 (4)

August 2011 (4)

July 2011 (3)

June 2011 (7)

May 2011 (8)

April 2011 (4)

March 2011 (6)

February 2011 (7)

September 2010 (2)

July 2010 (1)