Earlier quoted context omitted.
My reading is the lower initial price is a incentive to allow the company to collect data. The data can then be used as evidence of poor driving, which then allows the company to raise prices. Although I've never used such a tracker, my understanding is they use proxy metrics for safety (accelerometer thresholds vs. accident record) that can facilitate this.
I know someone who's an actuary, and the reality is much simpler: people who consent to tracking tend to be safer drivers because they aren't afraid of the insurance company seeing their driving habits. It gives the insurance company a way to identify a lower risk group of drivers so they can charge that group lower prices.
IDK. I've declined the tracking with State Farm, and I drive pretty conservatively. I might speed by 5mph or so but I really try to watch traffic and minimize my need to accelerate/brake as it does result in better fuel economy (and saves wear on the brakes). The MPG on my cars absolutely drops by 2-3 MPG when my kids are driving. I just reject the tracking on principle. There's too much incentive for the companies to monitize this data once they have it, and most of us know that really anonymizing data can be quite difficult.