Direct Line is the latest insurance company to trial a new type of insurance policy, supported by black box technology, which monitors driving ability. The tracker system will be installed in the policy holder’s car and relay information to the insurance company regarding driving ability, time on the road, mileage and average speed to help build a more accurate picture of the driver’s ability behind the wheel. The new telematics insurance system has been championed by many insurance experts who believe it will lead to more affordable rates of car insurance for younger drivers who will now have the chance to prove they are a safe driver through the new black box technology. Only a handful of leading insurance companies is offering this type of cover, so the new policy from Direct Line is likely to get a lot of attention. The insurer is planning to trial the technology with fleet telematics experts Tracker. The driver’s habits and behaviour is monitored through a Smartbox installed in the car, the information from which is then passed via satellite link to the insurance company. It is believed that the new black box technology will help younger drivers fight the war against spiralling car insurance costs. Research has revealed that premiums can drop by as much as 22% for those driving with a smartbox for a year. Those who take up a telematics insurance policy will benefit from reduced premiums, if the information gleamed via the new system proves they are safe drivers. Factors such as average speed, suddenly braking, cornering and driving during peak hours or late at night will all be taken into consideration when reviewing the information gathered by the black box.