Active and Passive devices are the two main types of vehicle tracking devices. An active device collects data and transmits it to data centre for assessment. This transmission is done via a satellite or cellular network. Verizon Wireless and TrackYourTruck are some of the companies that offer active devices. Once the data is transmitted to the centre, the vehicle is monitored and communication is maintained with it.

A passive device is not always operational. It stores information like GPS location, speed etc. At the end of the trip, the data is downloaded to a computer. It is analyzed later. Commercial vehicles do not use this device because they require constant vehicle monitoring while moving and that is not possible with a passive device. TravelEyes and TrackStick are two companies that offer this device.

To establish communication between the vehicle and the distant user, some systems combine a satellite or cellular transmitter. By doing this, the remote user can see the vehicle's information on an electronic map. This is possible via the internet or if you have specialized software.

These systems cab be incorporated with other systems; for example if your vehicle is moved without your permission, an automatic alert to a phone will be sent. This way your vehicle can be protected against any theft. The system is used as an anti-theft device. Almost all the cars are equipped with these systems nowadays. If the vehicle is stolen, tracking it becomes very easy. Police just needs to follow the signals and the vehicle can be located in no time. Due to these advantages, National Insurance Crime Bureau has made the vehicle tracking system a part of the multi-layered approach to vehicle protection. This system has helped the police in a big way to locate stolen vehicles.