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Black box standard promises cheap motor insurance quotes

The British Insurance Brokers' Association (BIBA) has unveiled plans that could see many more car insurance companies offering pay-as-you-drive motor insurance quotes.

At present, direct insurance firms such as Norwich Union and More Than are enjoying a monopoly over PAYD schemes, made possible because there is no standard design for the black box system that calculates your premium.

The expense of fitting and replacing these devices means that car insurance customers are reluctant to shop around at renewal time and switch providers.

BIBA's answer is to push for a universal black box design - one that won't tie users to a specific firm. It's good news for the brokers and great news for us customers, as once again the price of motor insurance quotes will be the key factor when it comes to renewing our car insurance.

"BIBA is trying to level the playing field between brokers and direct writers," said BIBA spokesman Paul Inskip. "This is one way of pushing that forward."

 

 

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