Many people working within the linked automobile area are looking for explanations for the sluggish shopper adoption of telematics-enabled, usage-based insurance coverage, or UBI, packages, particularly as extra new automobiles are embedded with connectivity, which helps energy personalised insurance coverage insurance policies and may profit clients.
Though insurers have broadly embraced knowledge, together with driving and automobile knowledge or telematics knowledge, to cost insurance policies and handle claims danger, consumer-driven utilization has but to really develop. However as each automobile and telematics applied sciences evolve, I consider we have to interact a key participant typically lacking within the dialog to assist clients uncover the advantages of utilizing their knowledge for insurance coverage: automakers.
In our newest U.S. Client Survey, carried out in December 2021, we discovered that 67 % of respondents are conscious that their driving and automobile knowledge can be utilized for insurance coverage reductions. Nonetheless, solely 22 % of shoppers have used their knowledge for reductions on their insurance coverage premium.
Based mostly on the survey outcomes, shoppers can see the worth of utilizing their driving and automobile knowledge however could wrestle to interact in UBI packages. So, how can automakers assist their clients reap the benefits of their telematics knowledge?
Automakers, actually, already play a big function in supporting their clients’ engagement in UBI packages. They’re enabling shopper participation by way of embedded connectivity, which permits the gathering and transmission or sharing of car and driving habits knowledge. They’re additionally partnering with insurance coverage firms and different third events to seek out optimum alternatives to leverage their automobile and driving knowledge. Automakers are actually engaged in delivering a extra personalised expertise for his or her clients.
However they’ll do extra.