Pay As You Drive Car Insurance Closer To Happening

A new idea which has been discussed in recent times is pay as you drive car insurance. This could potentially give a much greater choice for the consumer on their choice of car insurance. The companies Norwich Union and Trafficmaster ( the supplier of in-vehicle services and digital traffic information) have come together and invented a device to measure insurance in a car. It’s currently going by the name of the ‘Black-Box’. This device identifies where your vehicle is so that car insurance figures for you can be carefully calculated.

Initially Trafficmaster have agreed to provide Norwich Union with 10,000 Black-Box units in the first half of 2006. After reviews on the box’s performance and accuracy, there will be a very high possibility that increased production will occur.

Trafficmaster will also make available to Norwich Union some of its in-vehicle services, which the insurer will offer as extras to customers. Examples of these extras include safety camera warnings, Smartnav navigation, emergency and breakdown calls and stolen vehicle tracking.

The coming together will also provide a new way to deliver Smartnav. It will allow Trafficmaster to offer insurance products to many of its own subscribers.