The price of car insurance is set to rise exponentially if motorists do not get their vehicles fitted with a ‘black box’ device, experts have warned.

The telematic technology records where a driver has been as well as their driving habits including their speeds, the time of day they are on the road and their braking behaviour. Over the next 10 years it is predicted that any motorist without one of these devices installed in their cars will face inflated insurance premiums.

The black boxes are already an ‘opt-in’ option and are targeted at younger drivers getting cheaper policies; they were created so that companies could distinguish between ‘boy racers’ and sensible drivers, offering lower premiums to those proven to drive safely. A number of insurers are now producing self-install devices and smartphone apps that perform the same functions and experts say that it will soon become an question of motorists opting out of having telematics-based policies in the future.

Furthermore, the technology will soon be fitted in new cars as standard; under EU regulations, all new cars will need black box-style technology from October 2015 to help emergency services find crashed vehicles.

Those that do not agree to the use of telematic devices in their vehicle are set to see their car insurance premiums soar over coming years. However, making the technology compulsory has triggered fears over privacy, as drivers would now viably have their every movement tracked on the roads.

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