Demand for telematics equipment increasing as people realise cost benefits
If you are responsible for vehicle fleet insurance, chances are that you are aware of the benefits of telematics. Telematics equipment can be installed into the vehicles of drivers to monitor various aspects of their driving, such as speed, any sudden movements, braking and many other factors that comprise safe driving. Driving habits of each individual driver are then recorded and analysed, feeding data back to insurance companies, and helping firms to keep track of how safely their staff are driving. Safe driving can then be promoted – and can lead to big discounts on vehicle insurance and HGV insurance.
Sales of telematics boxes are rising as many people realise their many safety and financial benefits. One of the UK’s largest telematics companies, Quartix, this month reported exceptional growth in revenue due to tracking equipment sales of 47 percent, bringing its total revenue to £11.6 million.
Quantix has now installed its devices in more than 79,000 vehicles – a seven percent increase from last year. Sales in the UK were up 24 percent from last year, whilst the company’s customer base rose by five percent. And it isn’t just the United Kingdom that is seeing a drastic increase in the installation of telematics boxes: telematics equipment is experiencing global growth. In France, for example, Quantix’s revenue also raised by a substantial 26 percent. America is next on the agenda for Quantix. Chief executive of the group, Andy Walters, said the market is ripe for expansion after seeing its vehicle subscription base more than double in the country in the space of a year.
These impressive growth figures from Quantix represent a real shift in the way insurance premiums are decided: making sure those that present a lower risk to insurance companies are charged appropriately, rather than each driver receiving a premium that is calculated on aspects such as gender, age and postcode.
If you haven’t yet thought about installing telematics into your fleet, now is the time. “Black box” style telematics devices can literally save businesses and individuals thousands; they ensure that you and your drivers are rewarded for safe driving, with far lower insurance premiums.