Telematics is the branch of information technology which deals with the long-distance transmission of computerized information. It is the convergence of telecommunications and information processing, the term later evolved to refer to automation in automobiles, such as the invention of the emergency warning system for vehicles. GPS navigation, integrated hands-free cell phones, wireless safety communications and automatic driving assistance systems all are covered under the telematics umbrella. This is a basic presentation which describes a futuristic model of telematics system which will not only provide the vehicle user guidance, emergency or road side assistance or vehicle diagnostic/ health report on data captured but will also provide in much more deeper level a real time risk of any failure or service requirement in a vehicle, User Based Insurance services, driver detection etc. These predictions and services are implemented by highly sophisticated and well-integrated advanced telematics model and the intelligent optimization and management of on board and off board data with the help of machine learning.