Angelica Solutions Joins PACTS to Develop Young Driver Insurance Safety Rating System

Angelica Solutions has joined a Parliamentary Advisory Council for Transport Safety (PACTS) project to develop a safety rating system for young driver motor insurance. For carriers and brokers, this initiative signals a move toward standardizing telematics data to prove safety outcomes, potentially shifting the competitive landscape from pure price to measurable risk reduction.

What was announced

The Young Driver Insurance Safety Framework project is funded through Transport Scotland’s Road Safety Framework Fund. It aims to determine if a common framework can help insurers demonstrate the safety value of their products, allowing young drivers and their parents to evaluate policies based on safety features rather than just the lowest premium. The research will focus on telematics, or “black box” insurance, examining the specific driving behaviors these products measure, how feedback and incentives are delivered, and the evidence linking these features to safer driving.

The feasibility study is scheduled to run until August 2027. During this period, the group will develop and test a safety assessment framework and a prototype consumer rating system. The project is collaborative, involving contributions from young drivers, parents, insurers, brokers, and comparison platforms to ensure technical and commercial viability. Led by PACTS, the project involves a broad range of specialists, including Angelica Solutions for insurance analytics, price comparison site Confused.com, data firm Agilysis, and financial product grader Defaqto. Research expertise is provided by Dr Neale Kinnear and Dr Elizabeth Box, alongside road safety communications specialist Rebecca Morris.

"We’re pleased to bring our insurance analytics expertise to this project. Insurers have an important role in helping young drivers develop safer driving habits and understanding which product features make a difference is central to that. Working with PACTS and our project partners, we will explore how that evidence could support product development and help families make more informed insurance choices."

Sarah Vaughan, Founder and Director of Angelica Solutions.

The companies involved

PACTS, the Parliamentary Advisory Council for Transport Safety, is a UK-based body that provides independent research and advice on transport safety to policymakers. By leading this project, it bridges the gap between road safety research and the commercial insurance sector. Confused.com is one of the UK’s leading price comparison websites and is a key player in the distribution of motor insurance. It is owned by RVU, a group that also includes brands like Uswitch and Money.co.uk. Confused.com’s involvement suggests a focus on how safety ratings might eventually be integrated into the customer journey on comparison platforms.

Angelica Solutions provides specialized insurance analytics. Led by Founder and Director Sarah Vaughan, the firm focuses on the data-driven aspects of insurance product development and risk assessment. The collaboration also includes Defaqto, a well-known independent financial research company that provides ratings for thousands of financial products, and Agilysis, which specializes in transport data and road safety analysis.

What FF News has reported before

FF News has previously covered the evolving role of price comparison websites in the insurance distribution chain. This includes reporting on how specialized providers are integrating with major platforms to reach niche audiences. For instance, Insurtech Pikl announces partnership with Confused.com to provide specialist holiday home insurance as part of customer quote journey highlighted how Confused.com expands its ecosystem through strategic partnerships. Additionally, the publication has tracked broader financial trends affecting younger demographics, such as in Gen Z Tackles Credit Card Interest as UK Debt Costs Surge 80%, which explores the financial pressures and changing behaviors of Gen Z consumers.

What this means from an insurtech perspective

This project addresses a fundamental tension in the motor insurance market: the commoditization of policies by price comparison websites versus the technical complexity of telematics. For years, telematics MGAs and carriers have struggled to communicate the "safety premium" of their tech-heavy products to price-sensitive young drivers. If a standardized rating system gains traction, it could force a shift in underwriting priorities. Instead of a race to the bottom on premiums, carriers may be pressured to prove their feedback loops actually lower loss ratios. This puts legacy insurers with basic telematics offerings under pressure to match the sophisticated behavioral analytics of modern insurtechs.