Consumer Awareness towards Telematics in Insurance

Telematics in insurance is a recent concept to be formalised soon by IRDA. Telematics insurance works by fitting your car with a small device – commonly known as a 'black box' – that records speed patterns and distance travelled as well as the type of roads you are using, and when. The technology can also monitor braking and cornering to build up a picture of your driving style. The new phenomenon is proposed to track and clear the motor insurance sector. Claim processing and settlement is to be made on the basis of this. This paper attempts to assess the awareness of consumers regarding this new initiative.