Mobile network operator (MNO) O2 has become the first mobile company in the UK to offer a car insurance product with the launch of O2 Drive , a service that uses the internet of things (IoT) technology to encourage responsible driving.
Built with assistance from Junction, the brand partnership arm of Peterborough-based insurance services provider BGL Group, the O2 Drive product will include an optional telematics proposition, called Box on Board, to monitor any driver behaviour that may positively or negatively affect premiums.
Drivers who choose to take the Box on Board product, which is fitted alongside their car battery, will get an up-front discount on their premium – O2 mobile customers will also get a discount – and give access to driving data and scores via an accompanying mobile app, along with tips to improve safer driving.
The app will also offer information on emergency breakdown assistance, policy details, advice on what to do and say in the event of an accident, and perks such as discounted repairs, MOTs and servicing, as well as access to the O2 Priority event ticketing service.
O2 said the service was pitched at young drivers between the ages of 17 and 24, who traditionally have been subject to higher insurance costs as they are at higher risk of crashing.
