New AA insurance policy will use sat-nav tracker to monitor drivers
By David Gerges
Last updated at 9:31 PM on 10th February 2012
The AA is launching a new service which promises to cut the cost of insurance for safe drivers.
Motorists will be offered the chance to instal a small tracking device in their car which will monitor how fast they are driving.
And those who keep their speed to a minimum could save up to £850 a year on their policies.
Simon Douglas, director of AA Insurance said: 'It is likely to appeal to inexperienced drivers as well as parents, whose youngsters have their first car.
'Parents know driving behaviour is being tracked by a system that also provides crash, breakdown and theft alerts.'
Douglas added that the system will offer drivers tips and alerts to improve their performance behind the wheel.
He told The Daily Telegraph: 'Most people can improve their driving standard and Drivesafe can help them to do that.
'I believe that in time, systems of this type will become increasingly widely used by drivers of all ages.'
The AA will be able to identify the exact location of the car in the event of an accident or if the vehicle is stolen.
Whilst users will be able to view their performance either on their computers or courtesy of a free phone app that has been launched for smartphones.
It has emerged that a number of other insurers have launched similar products with Direct Line believed to be piloting their own technological tool.