Mythbuster: 16 common 'Black box' insurance & Telematics myths debunked

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Admiral takes a look at the 16 most common myths surrounding Telematics and black box insurance. Find out more.

Many people think black box insurance has a bad rep, not least because of the misconceptions people have about the products.

Fears of 'Big Brother is watching' and scams to hike up premiums are often mentioned in connection to Telematics, but our products are made to reward good drivers, not penalise them.

Read on for the truth about Telematics.

Myth 1: Admiral will use the data to fine people who have underestimated their mileage
We do not use the Telematics data to fine drivers who wrongly estimate their mileage; we contact our customers prior to them going over their stated mileage so we can amend it; there is an admin charge of £19.50 for policy amendments. If you think you've covered fewer miles than you've been charged for, simply contact us and we'll reimburse the difference according to the pricing structure at the time.

Myth 2: Companies use Telematics data to hike up insurance premiums for drivers who brake heavily
We are looking to reward good drivers, not penalise them. Your driving score is based on your overall standard of driving over an extended period of time or miles; your score will not be affected if you brake heavily once or twice during these periods, only if you are repeatedly braking heavily. But remember, regardless of your driving score we will not put your price up during your policy.

Myth 3: If you're involved in an accident we'll use the data to prove you were to blame
We wouldn't use Telematics to prove you were to blame, however, if you're in a non-fault accident you may wish to access your data to prove you weren't speeding or if you were stationary when hit. Admiral is an award-winning insurance company and we are all about giving our customers the best service possible.

Myth 4: Admiral will pass the data onto other insurance companies to penalise drivers at renewal
We do not pass on your details or data to rival insurance companies.

Myth 5: Admiral uses Telematics to track where you drive
Admiral does not track where you drive in real-time. The emphasis is not on where you drive but how you drive; we look at how well you drive in order to offer you the best discount possible. We take a positive approach to your car insurance and encourage our customers to enjoy driving.

Myth 6: We monitor your driving habits to increase your premium
Looking at your driving habits allows us to get a better understanding of how you drive so we can reward you and give you the discount you deserve. Our products are designed to enable us to reward good drivers and only a minority of drivers who get consistently low driving scores will see their premiums rise at renewal. We send you regular feedback on how you're driving, with tips to help you drive safely and get the best discount.

When it's time for your policy renewal, we'll look at all the data we've gained to offer you a price based on how well you have driven over the previous months and 80% of people using LittleBox get a discounted price at renewal.

Myth 7: It will soon be compulsory to have a black box in your car if you want an Admiral policy
We have no plans to make LittleBox compulsory. Insurance is a competitive business and we strive to offer our customers a choice of innovative products and the best prices. We do not know what will happen with Telematics in the future but we have no intentions of making ours compulsory.

Myth 8: Insurance companies monitor your driving and then inform the police if you were speeding
Admiral does not inform the police if the data collected suggests you were speeding. We will only share data if a Police request is made about a criminal offence.

Myth 9: You're subject to a curfew and penalised if you drive at certain times
There is no curfew with LittleBox. Of course, there are certain times of the day when accidents are more likely to occur, like at night. But you won't be charged a fee for driving in the night with LittleBox; you may not get as big a discount if you always drive at night but you will still get an upfront discount and potential renewal discounts.

Myth 10: Telematics interfere with your car and will turn down your radio
LittleBox is completely safe and does not interfere with your car. We're not interested in how loud you like to listen to your music while driving; we just want to reward good drivers. Like any electronic device, there would be a small usage of electricity from the battery, but as long your car is driven normally this won't cause a problem.

Myth 11: Having a black box fitted will void your car's warranty
LittleBox will not affect your car's warranty; while it is the only product we have that requires installation, it's fitted out-of-sight behind your dash and not plugged into the diagnostics port like they are in America.

Myth 12: The black box is big and everyone will know I have one

Not the case with Admiral’s LittleBox. The unit is actually very small – sits comfortably in the palm of your hand - and is fitted out-of-sight behind your car’s dashboard. Your passengers will be none the wiser unless you tell them.

Myth 13: You have no idea how well you’re driving

LittleBox is all about rewarding safe drivers with lower premiums so of course we want you to be able to see how well you’re driving! With LittleBox you have access to your own personalised Dashboard which will show you lots of information about your driving such as your overall score, mileage, a list of your journeys and average speed. We also send you tips on how to improve your driving so that you can get the best score and discount at renewal.

To access your Dashboard visit www.admiral.com and log-in to your documents portal under the Existing Customers tab. Once you’re logged on you will find a link to the LittleBox Dashboard.

Myth 14: A black box will be distracting when you’re driving

With LittleBox being fitted out-of-sight in your car there’s no way it could distract you while you drive. It isn’t like some apps that you need to switch on and off for each journey, the silent unit is fitted behind your car’s dashboard and doesn’t need to be touched again. You can simply forget it’s there and drive as you normally would.

Myth 15: You can’t drive until the black box is fitted

When you take out a LittleBox policy you are insured to drive immediately and you don’t need to wait until the box is fitted.

Soon after you’ve bought your cover and engineer will contact you by phone or email to arrange a time and place to have LittleBox installed. It can take a few days but rest assured you’re fully covered and legal to drive while you wait.

Myth 16: You don’t know what happens to your data after your policy finishes

We only use your individual data to tailor any future insurance premiums for you. If you decide to cancel your policy we remove all your personal information from the LittleBox data and use it to improve the products and services we offer. But don’t worry, we use thousands of people’s data for this and you can’t be identified in any way.

And, of course, we don't share any LittleBox data with rival insurance companies.

For more info on black box insurance or to ask a question visit our Black Box Insurance Myths Busted page

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