Insurance provider Norwich Union has launched a new form of insurance policy that uses aircraft-style black boxes to determine your driving habits and personally tailor your policy.
The innovative system - the first of its kind in the UK - has been the subject of a pilot scheme for the last two years.
It calculates premiums based on a 'pay-as-you-drive' method, which the company says will help to reduce many drivers' insurance rates.
Car owners that use motorways more often will reduce their risk of accidents, as using the highways is ten times less likely to result in an accident than using a low-speed urban road, while those driving in rush hour will increase their risk by 50 per cent.
The policy will then tailor itself to the individual driver's habits, said Iain Napier, the Norwich Union scheme director.
"The launch of pay-as-you-drive insurance will give motorists access to insurance that's specifically tailored to them and their driving habits, potentially rewarding them with cheaper premiums," he noted.
"We're confident that it is simply a fairer way of calculating premiums and gives customers greater control, flexibility and choice."To read more about car insurance, click here.
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