Discount to young drivers participating in pay how you drive scheme

(10/02/2009)

GreenRoad and Admiral are offering select UK councils an incentive programme that rewards young drivers who drive safely with reduced insurance premiums and the ability to earn cash vouchers when they drive in a safe manner. GreenRoad is working with Admiral to encourage young drivers to drive safely with the first 'pay how you drive' scheme in the industry.

The first council to take advantage of this scheme is Staffordshire County Council, which is going live with its Young Driver Coaching Programme and installing GreenRoad’s Safety Center in up to 500 cars in the county.

Admiral is offering a 25% discount to all the young drivers participating in Staffordshire’s scheme. Each month, safe drivers – those who stay green or are low risk - will also receive up to 10 percent of the annual non-discounted insurance premium as vouchers to spend. This could be worth up to a maximum of £156 per driver.

Forty young drivers and their families from across Staffordshire volunteered to install GreenRoad Safety Center in their cars as part of a trial starting in April 2008. Both young drivers and their families improved their driving dramatically during the six-month trial, with many transforming their attitude and becoming model drivers.

Overall the young drivers in the pilot scheme reduced the number of high-risk driving manoeuvres by an average of 58%. The number of high-risk manoeuvres while driving at night - often the most dangerous time for young drivers - declined by 71%. Those drivers who started the pilot in the highest risk group reduced the number of risky manoeuvres by 65%. GreenRoad and Staffordshire have been awarded the prestigious Prince Michael International Road Safety Award in recognition of the pilot programme’s outstanding contribution to improving road safety. Through safer driving, GreenRoad clients also reduce fuel consumption by an average of up to 10 percent, cutting costs and CO2 emissions.

William Williams, product development manager at Admiral said, "New drivers pay a fortune for car insurance and that's because they are so much more likely to kill or maim while driving. We are hoping that Admiral's 25% premium discount will encourage more new drivers to sign up for this brilliant initiative. It's a way to cut the carnage on the roads while also cutting the cost of car insurance."

“Admiral is the first insurer to directly reward people for how they drive,” said Eric Shishko, senior vice president, insurance and consumer at GreenRoad. “As insurance companies look to attract and retain new customers and good drivers in a competitive marketplace, Admiral is setting a new standard with this innovative way to reduce crashes and insurance claims.”

GreenRoad also works with a variety of insurance carriers and brokers, such as Marsh and Belmont International, to provide solutions to commercial fleets.

Related categories:  Car insurance 

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