Telematics
/tel-uh-MAT-iks/
Technology that monitors your driving for insurance discounts.
Definition
Telematics uses GPS and sensors (via a device or smartphone app) to monitor driving behavior including speed, braking, mileage, and time of driving. Insurance companies use this data to offer usage-based insurance programs that reward safe drivers with lower premiums.
Example
Using Progressive's Snapshot telematics program, careful driving earned Amy a 25% discount on her premium.
More Auto Insurance Terms
Insurance that pays for damage or injuries you cause to others.
Coverage for injuries you cause to others in an accident.
Coverage for damage you cause to others' property.
Insurance that pays to repair your car after an accident.
Insurance for non-collision damage like theft or weather.
Protection if you're hit by an uninsured driver.
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