Due to the sky-high hikes in the car insurance industry, young motorists are gradually being forced off the road as they are the one’s who are greatly affected by these hikes. In lieu with this, car insurance companies have been looking at the promise of the black box revolution to bring these young drivers back on the roads.

Often referred to as the black or smart box, this advantageous innovation has the capability to reduce car insurance costs for young drivers. How is this so? Well, the smart box contains telematics technology which has the power to record, store and communicate data from the vehicle to the car insurance providers. Once the car insurance companies have analyzed the data sent by the smart box, they will then charge the driver accordingly to the way he or she drives.

There are quite a few car insurance companies who have been looking at the smart box as a way to provide cheaper rates to young motorists. In fact, some insurers even state that the safest of motorists can take off 1/5 on their car insurance premiums within the span of one year. Some of the car insurance companies about to embrace the telematics technology are AA Insurance and Direct Line Insurance. Hopefully, more car insurance companies will view this technology as a way to keep motorists on the road.

For drivers between the ages 17-23, car insurance costs have been seen to increase by almost 40 %. And male driver’s ages 17-20 pay almost twice as female drivers of the same age do. These figures are in accordance with the statistics revealed by the British Insurance Premium Index last week.

A lot of motorists are seeing their future transport as buses and trains. With the never ending increases in car insurance costs and in petrol prices, a lot of motorists are thinking of giving up their vehicles. Insurers, on another note, are hoping that the new trend of the smart box will remove this dire situation from motorist’s minds. With the help of the smart box technology, policy holders only need to pay for the way they are driving.

According to a certain car insurance expert, “The smart box technology can allow a car insurance company to charge you more accurately because of the data being sent by the smart box. So, if you are a good driver, the insurer will be able to reward you accordingly.”

According to a new survey which one thousand motorists participated in, motorists have been forced to change their driving habits due to the rising costs of car insurance premiums and fuel. More than a decade ago, petrol process used to be at less than 80 pence per liter. Now, a liter of fuel costs twice as much as it used to and there is no signs showing that this trend is about to end sometime soon.

As questioned in the survey, motorists were asked on what they were most likely to do if fuel prices would not stop from rising. From this question, it has been revealed that around 20 % of motorists would give up their vehicles and their driving altogether if fuel prices would reach £ 2/ liter and 12 % of the participating motorists said that they would look into the possibility of getting an electric or a hybrid car. The survey also covered the point wherein motorists would cease to use their vehicles for social functions or events since this is the primary use of their cars. 18 % or drivers said that they would stop going out as much when prices for a liter of fuel would cost £ 1.70, 20 % said they would stop if costs would reach £ 1.60 per liter and 35 % said that they would stop going out when prices would reach £ 1.50.

The results and reactions of motorists to the survey are not truly surprising because of the ever-rising cost for both car insurance premiums and petrol which have been rendering motorists cash-strapped. According to the drivers who participated in the survey, the rising costs for both car insurance premiums and petrol have largely affected their driving habits. 78 % claimed that these exorbitant costs have affected the frequency of their driving while 1% has claimed to have stopped driving altogether. A further 75 % claims that they do not use their car too much whilst more than 7 % have stated that they now drive 100 miles less than they used to. Lastly, 50 % of drivers claimed to have cut back by at least 25 miles each week.

In relation to this survey, the Automobile Association has conducted a survey of their own which also yields similar results. According to their Association, the Government should do their best to stop fuel increases from happening because it is having such a negative impact on the nation. If this would go on, then there just might be no more drivers left on the road.