How does GPS tracking prevent insurance claims? And why do insurance companies love GPS tracking systems so much?

Lower chance of claims due to vehicle theft. Without GPS tracking, it often takes police department’s weeks to track down stolen vehicles. In many cases, the vehicle is never recovered, and the auto insurance company pays out a large claim. But if one of your vehicles is stolen, the installed GPS tracking system makes it highly likely that you’ll recover the vehicle quickly.

Improved driving behaviour. Many accidents, and therefore insurance claims, are caused by speeding and other reckless driving behaviours. When your drivers know they are being monitored by the installed GPS system, they are unlikely to speed and risk an accident. Insurance companies are very happy with GPS systems for this reason.

Discourage misuse of vehicles. The more a vehicle is driven, the chances of any type of accident increase. Insurance companies know this, and appreciate GPS tracking systems which prevent employees from taking company vehicles out on a joy ride “off grid”

Proper maintenance prevents accidents. A vehicle which suffers a tire blowout or mechanical malfunction is more likely to cause an accident. If your GPS tracking service notifies you when it’s time to perform regular maintenance operations like oil changes and tire rotations, your company vehicle is less likely to be involved in an accident. Insurance companies appreciate the lower level of risk, and lower risk means lower auto insurance premiums.