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Calls for driver-based insurance

Date: 25 July 2011

Driver-based insurance should be more closely examined by the corporate sector, according to telematics expert Cobra.

"The entire motor insurance industry needs a complete reform, which will ultimately pass through the corporate sector," said Cobra boss Andrew Smith.

Smith also suggested a range of driver-focused measures including paying by mileage, the time, distance and location, or based on how drivers behave behind the wheel.

"Pay-how-you-drive insurance should automatically deliver lower fleet premiums to reward those company drivers who drive sensibly and pay-as-you-drive means fleets only pay for the journeys their drivers undertake, which could be relevant for lower-mileage users," said Smith.

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