What can a black box detect?

Allstate Drivewise is a usage-based insurance program that tracks drivers with a mobile app and rewards them with rewards and a semi-annual rebate for safe driving habits. The Allstate Drivewise app tracks three main driving characteristics: safe speed (under 80 mph), braking (minimal abrupt stops) and time of day (limited late-night trips).... read full answer

Allstate Drivewise - Key Features

How Allstate Drivewise Works

Allstate Drivewise works by tracking drivers’ habits through the Allstate mobile app. Users do not have to take any action to log trips on the app. Your phone just needs to be charged to at least 25% and have location services enabled in order for your trip to be detected. Once you’ve traveled at least 20 mph for a short distance, the app will begin tracking you.

However, if you’re a passenger in a moving vehicle and not the driver, you will have to either delete the trip from the app or put the app into “sleep” mode for the duration of your trip.

Drivewise does not affect premiums directly, instead offering cash rebates to drivers based on their performance. So if you practice unsafe driving habits while using Drivewise, your rates won’t go up. But drivers who practice good habits can expect to earn lucrative rewards.

Allstate Drivewise Rewards

If you’re a current Allstate customer, you can earn up to 10% of your premium in cash back rewards just for signing up. Depending on your driving habits, you can earn up to 25% cash back every six months by using the program.

Drivewise also allows users to earn Allstate Rewards points, which can be redeemed for daily deals, gift cards, sweepstakes, and more. Even if you’re not an Allstate customer, you can still sign up for Drivewise in order to earn points. Drivers earn 10,000 points after signing up, and can earn bonus points for completing safe driving challenges such as going three consecutive days with no high speeds or sudden braking.

How to Sign Up For Allstate Drivewise

To sign up for Drivewise, the primary policyholder needs to download the Allstate mobile app on their smartphone and activate the program. Then, additional drivers on the policy who want to use Drivewise can download the app and enter an activation code.

Drivers who aren’t Allstate customers can also create an account on the app in order to earn rewards.

Yes, your insurance can go up with a black box telematics system in many cases, though some insurers only use telematics to calculate a discount. Usually, car insurance premiums can go up if the black box shows that you regularly exhibit risky driving habits, like speeding, or if it shows you are responsible for an accident.... read full answer

How Black Boxes Affect Insurance Rates

Insurance companies that offer black box telematics programs use the devices to collect data about how a customer is driving, when they’re driving, and where they’re driving. In a few cases, such as with Nationwide and Allstate, the insurance company will only use this information to calculate discounts for customers who drive safely, leaving rates unchanged for other drivers.

In contrast, other car insurance companies use the data to calculate a customer’s insurance rate, which could lead to a premium increase, decrease or no change, depending on how the driver performs. For example, Progressive states that 20% of drivers participating in its Snapshot telematics program see a rate increase.

Event Data Recorder “EDR” Black Boxes

Your insurance can also go up if the event data recorder (EDR) – often called a “black box” – in your vehicle shows that poor driving contributed to you causing an accident. EDR black boxes are recording devices constructed of crash-resistant material that record the moments leading up to, during, and immediately after an accident, to help investigators determine exactly what happened. While black boxes are most often associated with airplanes, they are now standard equipment in most modern vehicles as well.

Depending on the state, your insurance provider may already meet the qualifications to access the data in your vehicle’s EDR black box, or it could get a court order to obtain it if you object. So, if you have an accident and your insurance provider finds information in your car’s black box that reflects poorly on your driving habits, your insurer may consider you a higher risk, and your insurance premium could go up when it’s time to renew your policy.

It’s important to remember that while your car insurance rate can go up with a black box if it shows you’re a risky driver, it can also go down if it shows you’re being a safe driver. The best ways to make sure your car insurance bill doesn’t rise because of what’s on the black box are to drive safely and to monitor the data it’s sending the insurance company yourself, which you can typically do online or through a mobile app.

Telematics insurance is a type of car insurance that bases your insurance rate on how far and how safely you drive. Insurance companies use telematics to track your driving distances and behavior, and then use that data to assess how much risk the way you drive might pose. This risk assessment is then used to calculate your insurance premium.... read full answer

Your insurance company will provide you a “black box” device that attaches to your car, or an app that you can download to your phone. Both the device and the app then track your driving behavior – including speed, breaking and acceleration, among other factors. The black box device has a SIM card that records your driving information and sends that data back to the insurance company. The phone app uses your car’s GPS capabilities to record data on your driving behavior and sends it back to your insurer.

The company then uses this data to analyze how safe your driving behavior is and calculates your insurance premium accordingly. The safer and less you drive, the more you save.