Tracking device can help drivers save on car insurance money

Posted at 3:04 PM, Jul 07, 2017
and last updated 2017-07-07 15:04:00-04

To combat rising rates more drivers like Jerry Arkin are saying yes to a little black box to save money.

When their auto carrier hit the Arkins with a rate increase, the couple signed up to have a tiny device attached to their cars.

Jerry saved 20 percent,  close to $600 a year by signing up for Nationwide's Smartride. His wife saved 25 percent, together the Arkins shaved about $1,200 a year off their policy cost.

While telematics or little black box insurance as it is called has been around for years and more smaller companies now offer it as an option. The downside, your driving habits are an open book. The electronic spy tells your insurance company about your speed, hard brakes and how often you drive at night.

Depending on how you do your insurance may or may not drop even further at the next renewal. That didn't happen in the Arkins’ case and all drivers regardless of the type of policy still face regular rate hikes that plague Florida.

At your next renewal contact an independent agent who can quote multiple companies and then compare them to what your rate would be with a tiny spy attached to your engine.