Good drivers could a break on their car insurance with a new gadget that’s … well … progressive.
Progressive Insurance announced today a high-tech gadget known as Snapshot that allows motorists to save up to 30 percent on their car insurance – if they’re willing to sacrifice some privacy in return.
Here’s how it works: If you think your driving habits are better than most, Progressive will send you a device to plug into the diagnostic port beneath your steering wheel. For the next 30 days, the insurance company will keep an eye on your driving.
Progressive will monitor:
- The time of day you drive. (The less time you spend on the road during peak hours, the better.)
- The number of hard stops. (Gentle braking will improve your score.)
- How many miles you drive. (Progressive will reward people for driving fewer miles.)
Progressive will NOT monitor:
- The speed of your vehicle. (Snapshot provides no information about whether you are driving faster than the speed limit.)
- Where you are driving. (The gadget doesn’t have GPS technology to track your location.)
The insurance giant insists it won’t raise your insurance if you turn out to be a car-wreck-waiting-to-happen. But Progressive says it can lower your insurance between 0 and 30 percent, depending on how well you drive.
“At worst your rate stays the same,” Progressive President and CEO Glenn Renwick said in a statement.
Drivers who tested the technology reduced their insurance rates an average of $150 a year, the insurance company reported today. Whatever the savings, Progressive says it will honor that discount as long as you stay with the company.
In most states, Snapshot is free. However, the company charges a $30 technology fee in Alabama, Georgia, Kansas, Rhode Island and South Carolina.
So what do you think?
For more information, check out Progressive’s website here.
