A telematics policy is different from a usual car insurance policy. These policies change your premium based on your driving habits. For example, if you use more fuel or frequently speed, it's likely your premium will increase.
To have a telematics policy, a tracking device or black box will be installed in your car.
This type of insurance is sometimes known as black box car insurance, GPS car insurance, or smartbox insurance.
These policies are usually aimed at younger drivers to encourage safer driving. This could lower the cost of your insurance policy.