Ah, today’s young drivers. Many people think them irresponsible. Many people think we should increase the legal driving age. Many people think they shouldn’t be able to own their own car, or even drive unsupervised. On the other hand, many people think that we misjudge these young drivers. They think we don’t give them enough credit, and that they have the capability to be responsible, safe, in control drivers.
No matter which side you find yourself on, there is one thing that can’t be argued with: today’s young drivers are tomorrow’s future. What they like today, is what we will see happening tomorrow.
So What is the Future of Car Insurance?
Telematics.
Doesn’t that just sound like something that young people would like?
So first off, what in the world are telematics and what do they have to do with car insurance?
To put it simply, telematics are devices that are used to send, receive, and store data. In relation to car insurance, they are the devices that are used for usage-based car insurance policies. These types of policies, in which you are able to receive discounts for safe driving habits, are also called Telematic Car Insurance Policies (because of their use of telematic devices in collecting data about the driver’s driving habits).
Telematic Car Insurance Policies are Great Solutions for Young Drivers.
Many young drivers get frustrated by the fact that they are automatically grouped with other young drivers. Whether they have better skills, are more careful, etc, it doesn’t matter. They are automatically stereotyped as “inexperienced,” “irresponsible,” or “high risk.” Some of these young drivers find it unfair to be punished for the actions of others.
Telematics can help these young drivers prove themselves, and pull themselves out of these unwanted stereotypes. It gives them the opportunity to prove that they have good driving habits (and be rewarded if they do). Instead of being judged (and charged) for their irresponsible peers, they are able to pay for how they as individuals drive.
Not only do telematic car insurance policies give young people the chance to prove themselves, but they also are more in line with young peoples’ lifestyles. Everything they know is technological based. They grew up in the age of computers, cell phones, social media, DVR’s, and all of Apple’s offerings. They don’t remember a time without cell phones and texting. They don’t know what it’s like to not be able to fast forward through commercials. And, as they become the leaders of tomorrow, they won’t stand for out-of-date ideas and archaic programs, even when it comes to car insurance.
That is another reason why telematic policies are so appealing to our young people. To start with, any good young driver finds these policies necessary because it gives them the opportunity to stand out from their less responsible counterparts. But on top of that, every young driver will feel drawn to telematic policies, because it coincides with what they know and are comfortable with. It is technologically based, and it gives instant, up-to-date, data-based information. And that is what they have come to expect.
Why Telematics are the Future For Car Insurance
As I talked about above, whether you like it or not, today’s young people are the ones who will determine what we see (or don’t see) in the future. That is because they are the future! They are the ones who are the innovators. They are the ones who will be leading our companies in the future. They are the ones who will be tomorrow’s inventors, manufacturers, and consumers.
So what they like, stays and grows. What they don’t like, gets left in the dust. Telematic car insurance policies are the perfect policies for young people. The concept behind it is easy for them to understand; it is familiar to them.
So, as today’s young drivers become tomorrow’s leaders and decision makers, you better believe that they will continue to push the telematic insurance technology and philosophy forward. It is safe to say that telematic car insurance policies aren’t going anywhere. They are here to stay, and as our youngsters grow, I would bet that we will continue to see these telematic policies and technologies grow and evolve right along with them.
Nicole covers the news and cheap car insurance sections at CheapInsurance.com.