The effectiveness of real-time monitoring of drivers by insurance companies

The traditional model for setting auto insurance premiums has been to base rates on the motorist’s driving history, age, gender and even marital status (in some states). Thanks to new technological options, insurance companies and motorists have started to work together to give the insurance companies access to better data on an individual driver’s risk level, and give the same driver a sense of greater control over how much he or she will pay in insurance premiums.