Since it launched in 2011, the Co-operative Insurance has saved its Young Driver policyholders over £7.4m in their first year of driving*.

Latest data from the Co-operative Insurance has found that on average its Young Driver policyholders receive £120 back in their pockets in the first year of taking out their policy.

The Young Driver Insurance policy works by rewarding policyholders for safe driving and the Co-operative Insurance was one of the first mainstream insurance providers to bring telematics to the mainstream market. It prices discounts based on four factors:

• Speed – keeping within limits
• Acceleration and Breaking – not accelerating/ breaking suddenly
• Cornering – driving in a controlled manner around corners
• Time of driving – certain times can be risker to drive at

Conversely, policyholders who drive badly may also see an increase in their premium policy price.

Steve Kerrigan, Head of Telematics at the Co-op Insurance said: “Young drivers can be labelled as being bad drivers, often unfairly. Our telematics-based product has enabled us to give back over £7.4 million to customers since 2011, who have proved that they are safe drivers.

“Keeping communities safe is one of our priorities. By offering a policy which aims to improve road safety as a result of incentivising good driving behaviours and giving driving tips to people who need driving improvement is a positive step to achieve this.”