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Black Box Van Insurance - Money Expert

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Van insurance can be costly and owners are constantly looking for ways to lower premiums. One of the ways you can save money on your premium is by purchasing a black box, or telematics, policy. Essentially, it monitors your driving and rewards you if you drive safely. This kind of policy can be useful if you are a young driver,owner of a fleet of vans, or simply you believe your driving is safe enough to be rewarded. This guide will take you through the finer details of black box insurance to help you figure out if it’s right for you.

In This Guide:

What is a black box?

A black box is known officially as a telematics device but looks like, you guessed it, a little black box. The device monitors your driving and the information is used to calculate adjustments to your insurance premium. The insurer will send you the device which will either hook up directly to the technology already in your van or connect to a mobile phone app. These days you can even just use your phones GPS as opposed to installing a specific black box, but it will still be the same process.

Is it different to normal van insurance?

The purpose of a black box is to reward you based on your driving habits. It factors in a lot of variables such as braking safely, keeping to the speed limit, or even just mileage and driving on certain roads. It’s important to note that black box categories vary from plan to plan. Some plans for instance will have a curfew where you are punished for driving late at night. It is important therefore to compare insurance plans to find out which one is best suited to your needs.

Does a black box insurance plan suit me?

There are a few categories of driver where a black box insurance policy could be a good idea: 

Levels of black box insurance

As with any other insurance policy, there are different levels to Black Box insurance.

This is the highest level and will most likely be the most expensive. This will protect not only you, but your van and the other vehicles should you be involved in an accident.

Should you get in an accident, this will only cover the third party and their vehicle/property. However if you are a victim of theft or if your van sets on fire, you will be covered.

This only covers the third party if you get into an accident, certain plans will also cover your passengers, so it’s important to read the fine print in this instance.

Common misconceptions

Because this is not a  traditional insurance policy, there are often a lot of myths surrounding it that need to be dispelled: