Pay per drive car insurance encourages safety, expert claims

Wed, 04 Jul 2007

The new pay-as-you-drive car insurance policies launched by some providers are good news as they will encourage younger road users to be safer, it has been claimed.

These comments were made by David Ross, a senior relations manager at Norwich Union, one of the companies to have recently offered a car insurance policy such as this, which varies in price dependent on vehicle usage.

Mr Ross said that a large number of young drivers are responsible and well behaved on the road, although they could be at risk of paying higher car insurance premiums due to a minority of "hoody" drivers whizzing around late at night to impress their friends.

"Your bill is a bit like a phone bill. It will give you a breakdown of where you drove, how many miles you drove and what time of day," remarked the expert.

"We've seen people save a thousand pounds."

In addition to car insurance policies, Norwich Union offers home insurance and travel insurance, as well as a diverse range of other financial services.


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