Telematic insurance

Insurer Norwich Union will place 5,000 black boxes in cars in the United Kingdom (U.K.) to collect data about driving and travel habits. Global Positioning System (GPS) coordinates are used to determine a car’s route, usage time, and speed. Data are uploaded to the insurer’s computer system and you receive a monthly bill based on your personal driving habits and risk factors. A car hooked up with GPS and telematics is also more difficult to steal.