4 Technological Features That Impacts Auto Insurance Cost

Technological Features That Impacts Auto Insurance Cost

Technology is fast developing. Everything is getting automated and innovations are quickly changing the way we live our lives, including driving. The new technology introduced on cars not only affect the way people drive; it may also have an impact on the drivers’ auto insurance cost.

Auto insurance premiums are calculated based on several factors, including the likelihood of risks. Since many of the newly introduced technologies are designed to reduce accidents, injury, theft and others, it follows that having such technology will cut the cost of your auto insurance.

4 auto safety features that can cut down insurance cost

  1. Autonomous Features
    Many of the new cars sold in the market now have autonomous features, including automatic braking and parking assistance. Technology such as this, as found out by experts, is responsible for the reduction of accidents and crashes up to 38%. Because of the accident-reducing features of such technology, it is likely that insurers will offer you with cheaper premiums. Reduced accident risk is generally equivalent to lower insurance cost.
  2. Black Box Technology
    This technology is also called telematics. The main function of this technology is to monitor the drivers’ actual usage of their cars. Through a small device or phone app, the insurers will be able to check the actual driving behavior of the insured. Aside from this, driving experience, the type of car used and the age of the driver are also measured in. Factors like the number of times the car is being used, the braking and the speeding are also accounted. All these will help insurers have a better idea on the possible driving risks. So if you have such technology, and the records show that you are a careful driver, then the insurer will likely give you reduction on your premiums.
  3. Dashboard Cameras
    Dashboard camera is the most accessible and affordable kind of technology for cars. This is the reason why many drivers now avail of such device. Also known as dash cam, this small camera is mounted on the dashboard of the car with the purpose of recording the car’s journey. This makes it easy to watch and check the actual footage of the conditions and events leading up to the accident. This is important in determining whether the driver was at fault or not. If you have a dash cam, it is easier to provide that the accident was indeed not your fault or out of your control. Because of the importance of dash cam, insurers now give discounts on drivers who mount dash cam on their vehicle.
  4. Extra Security
    Security devices for vehicles are also now available. There are systems and devices that are designed to minimize the risk of vandalism, theft and damage. These security devices will allow you to convince the insurer that your vehicle is a low-risk. By adding or installing high-tech security features, it is likely that you will be given cheaper premiums.

So if you want to minimize your auto insurance cost, consider getting any of the abovementioned devices or technology. It’s not only that, you can also ensure your safety and that of your family when driving. Make an appointment with Gebhardt Insurance today.

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Steve Gebhardt

Gebhardt Insurance Group was honored by AAA Insurance for being the top New Policy Agency in Arizona for 2013 and achieving the "Emerald Achievement Award."
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