How Do Those car insurance tracking Devices Work?

Car insurance tracking device is a necessary expense for anyone who owns a vehicle. It protects you in the event of an accident, theft, or other unforeseen events. However, the cost of car insurance can be a burden on your budget. The good news is that there is a way to save money on your car insurance: by using a car tracker.

How a Car Tracker Can Save You Money on Car Insurance

Car insurance companies use various factors to determine your premium, including your age, driving history, the make and model of your car, and your location. However, one of the most important factors that insurance companies consider is your risk level. The higher your risk level, the more you’ll pay for insurance.

One way to lower your risk level and potentially save money on car insurance is by installing a car tracker. A car tracker is a small device that is installed in your car and sends information to a monitoring system. Here are some ways a car tracker can save you money on car insurance.

Theft Prevention:

Car theft is a common occurrence, and it is a major risk factor that insurance companies consider when determining your premium. If your car has a car tracker installed, it can be quickly located in the event of theft, increasing the chances of recovery and reducing the risk for the insurance company.

Accident Prevention:

Some car trackers can monitor your driving behaviour and provide feedback to help you improve your driving habits. This can include information on harsh braking, speeding, and other behaviours that can increase your risk of an accident. By improving your driving habits, you can lower your risk level and potentially save money on insurance.

Recovery Assistance:

In the unfortunate event that your car is stolen, a car tracker can help the police locate and recover your vehicle quickly. This can reduce the risk for the insurance company and potentially save you money on your premium.

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Reduced Claim Costs:

car insurance tracking

In the event of an accident, a car tracker can provide valuable information to the insurance company, such as the location of the accident, the speed at which you were travelling, and other details that can help determine fault. This can reduce the time it takes to process a claim and potentially lower the cost of the claim, which can result in lower premiums for you.

Installing a car tracker can provide valuable benefits that can help you save money on car insurance. However, it’s important to note that the cost of the car tracker and installation may outweigh the potential savings on your insurance premium, so it’s important to carefully consider your options before making a decision.

Who Offers Insurance Trackers?

Car insurance companies

There are many companies that offer insurance trackers, also known as usage-based insurance (UBI) or telematics insurance. Some of the popular companies that offer insurance trackers include:

  1. Progressive
  2. State Farm
  3. Allstate
  4. Nationwide
  5. Liberty Mutual
  6. Geico
  7. Metromile
  8. Esurance
  9. Travelers
  10. Root Insurance

It is important to note that availability of insurance trackers may vary depending on your location and the specific insurance company. Additionally, some insurance companies may require certain qualifications or criteria to be met in order to qualify for usage-based insurance.

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The Benefits of Combining Car Insurance and a GPS Tracker

Car insurance and a GPS tracker

Combining car insurance and a GPS tracker can have several benefits for drivers. Here are some of the most significant benefits:

Lower Insurance Premiums:

Many insurance companies offer discounts to drivers who use GPS trackers. These discounts are often based on safe driving habits, such as driving within the speed limit and avoiding harsh braking or acceleration. By demonstrating that they are safe drivers, customers can often reduce their insurance premiums.

Improved Driving Habits:

Using a GPS tracker can help drivers become more aware of their driving habits. By receiving feedback on their driving behaviour, they can identify areas for improvement and work to become safer, more responsible drivers.

Theft Prevention:

GPS trackers can also help prevent car theft by providing real-time location data. If a car is stolen, the GPS tracker can help law enforcement quickly locate and recover the vehicle.

Emergency Assistance:

Some GPS trackers come with features like automatic crash detection and emergency response. In the event of an accident, the tracker can alert emergency services and provide them with the car’s location, potentially saving valuable time and helping to minimise injuries.

Peace of Mind:

By combining car insurance and a GPS tracker, drivers can enjoy greater peace of mind. They can rest assured that their car is protected against theft and that they have the tools they need to drive safely and responsibly.

Combining car insurance and a GPS tracker can be a smart move for drivers who want to save money on insurance premiums, improve their driving habits, and protect their vehicles.

What Data Is Tracked by insurance companies that offer tracking programs ?

Car insurance and tracker

Insurance companies that offer tracking programs may track various types of data, depending on the specific program and the insurance company’s policies. Generally, these programs use telematics devices or mobile apps that collect data about how, when, and where you drive. Some of the common data points that may be tracked include:

Driving behavior:

This includes data on your speed, acceleration, braking, and cornering. The insurer may use this data to determine if you are a safe driver and offer discounts based on your driving habits.


The insurer may track how many miles you drive in a given period. This information is typically used to calculate your insurance premium, as the more you drive, the higher the risk of an accident.


The insurer may use GPS tracking to monitor where you drive. This information can be used to verify your mileage, as well as to determine if you are driving in high-risk areas.

Time of day:

Some insurers may track when you drive, such as during rush hour or at night. This data can be used to assess your risk level and offer discounts based on your driving habits.

Vehicle health:

Some tracking programs may also monitor your vehicle’s health, such as battery life, engine performance, and tire pressure. This data can be used to alert you to potential maintenance issues and help you keep your vehicle in good condition.

It’s important to note that not all insurance companies track the same data, and the amount of data collected can vary depending on the specific program. Before signing up for a tracking program, it’s a good idea to read the terms and conditions carefully and understand what data will be collected and how it will be used.

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The Surprising Ways a Car Tracker Can Lower Your Insurance Costs

Car insurance can be a significant expense for drivers, but there are ways to lower your costs. One of the most surprising ways to lower your car insurance costs is by using a car tracker. Car trackers, also known as telematics devices or black boxes, are small devices that are fitted to your car and collect data about your driving habits. Here are some of the surprising ways that a car tracker can lower your insurance costs:

Personalised insurance rates:

Car trackers allow insurance companies to gather information about your driving habits, such as your speed, braking, and acceleration. This data can be used to calculate a personalised insurance rate that reflects your driving behaviour. If you’re a safe driver, you could see a significant reduction in your insurance costs.

Incentives for safe driving:

Many insurance companies offer incentives for safe driving. For example, you may receive discounts on your insurance premium for maintaining a low-risk driving profile or for avoiding accidents. With a car tracker, you can track your driving habits and work to improve your score, which can help you qualify for these incentives.

Theft prevention:

Car trackers can also help prevent theft. If your car is stolen, the tracker can help you locate it quickly, which can reduce the likelihood of damage or total loss. Insurance companies may offer lower rates for cars equipped with trackers because they are less likely to be stolen.

Reduced risk of fraud:

Car trackers can help reduce the risk of insurance fraud. If you’re involved in an accident, the tracker can provide valuable information about the circumstances surrounding the crash, which can help insurance companies determine fault and reduce the likelihood of fraudulent claims.

Improved emergency response:

Car trackers can also help improve emergency response times. In the event of an accident, the tracker can provide information about your location, which can help emergency responders arrive on the scene more quickly. This can help reduce the severity of injuries and damage and may result in lower insurance costs.

Maximise Your Savings: How to Use Car Insurance and a Tracker Together

Shop around for car insurance:

Before you install a tracker, make sure to shop around for car insurance quotes from different providers. Look for insurance companies that offer discounts or incentives for drivers who use trackers.

Choose a reputable tracker:

When choosing a tracker, it’s important to choose a reputable provider. Look for a tracker that is easy to install and provides accurate data about your driving habits.

Understand how your driving behaviour affects your insurance rates:

With a tracker installed, you’ll be able to see how your driving behaviour affects your insurance rates. Make sure to review the data regularly and make adjustments to your driving habits if necessary.

Use the tracker to improve your driving habits:

Car trackers can help you identify areas where you can improve your driving habits. For example, if you tend to accelerate quickly or brake suddenly, you can work on improving these habits to reduce your insurance risk profile and potentially qualify for lower rates.

Take advantage of insurance incentives:

Many insurance companies offer incentives for safe driving, such as discounts or cashback rewards. Check with your insurance provider to see if you qualify for any of these incentives and take advantage of them to save money on your premiums.

Monitor your car’s location:

If you’re concerned about theft, make sure to use your tracker to monitor your car’s location regularly. This can help you recover your vehicle quickly in the event of a theft, potentially reducing your insurance costs.

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