July 26 2014 Latest news:

A new high-tech car insurance product has been launched aimed at keeping premiums down for young drivers.

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A ‘smartbox’ will be fitted to cars taking part in the scheme, which will then track various elements of driving style and behaviour.

The Cooperative Insurance ‘pay as you drive’ product will be on offer to 17 to 25 year olds and, they claim, could save an average £328 on premiums.

The smartbox will use satellite technology to measure braking and acceleration, cornering, speed and what time of day driving takes place.

Those behaviours will then impact on premiums either positively or negatively.

Customers will be able to monitor their own driving skills online.

David Neave, director of general insurance at The Cooperative Insurance, said: “It is a fact that many young people are simply being priced out of owning a car due to the escalating cost of motor insurance for young drivers.

“We are giving them a chance to prove themselves as responsible drivers, and dispel the assumption that all young drivers will drive badly and have accidents.”

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