The pilot of this partnership’s project saved customers as much as 20 percent on their premiums.
The State Farm insurance company and Ford automaker are working together on a project involving ADAS features which improve driver safety while reducing auto policy premiums.
The companies have already completed a pilot project which it ran for a full year.
The purpose of the ADAS features project is to make it possible for Ford vehicle drivers to enjoy safety improvements while reducing the cost of vehicle ownership by decreasing premiums through State Farm auto insurance. The idea is to boost safety and then have coverage for the vehicle reflect the reduced risk resulting from that improved safety.
Following the twelve-month pilot project, the new Vehicle Build Data API product from Ford has made it possible for the State Farm to build a better understanding of how specific vehicle advanced driver-assistance systems (ADAS) options affect the number and severity of auto claims relating to that vehicle.
State Farm and Ford found that the ADAS features lead to savings that were as high as 20 percent.
As a result, many of the drivers who are customers of both companies received auto insurance rate adjustments as high as 20 percent off their premiums during the first half of this year.
“We’re finding solutions for the future by grounding everything in data, research and insights. What’s unique about this project is we’re not just looking at the make and model of a vehicle, but ultimately to the individual safety features on each vehicle,” said Craig Isaacs, State Farm Vice President of Operations, as quoted in a recent media release about the collaboration.
“Our new build data API piloted with State Farm is another way we’re using data to help our customers get the most out of their Ford, at a lower total cost of ownership. What’s more, State Farm can access build data back to 2010, which means second and third owners also benefit,” added Tim Meek, Ford Digital Insurance Manager, Ford Enterprise Connectivity, as quoted in the same media release about the safety and savings improvements from the ADAS features in the automaker’s vehicles.