Both consumers and commercial fleets are increasingly embracing UBI programs and their tracking devices. Consumers and managers of commercial fleets, alike, are experiencing a shift in their opinions with regards to usage based insurance, as the benefits of being able to save money and encourage safer driving practices appear to be winning out over concerns with regards to privacy. These auto insurance programs have been slow to be accepted due to the telematics devices that track vehicles. Drivers are starting to discover that there are some considerable financial benefits that…
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Auto insurance telematics appealing to most European drivers
Provided that premiums would not increase, the majority of motorists would opt for usage based coverage. According to the results of a recent survey among six countries across Europe, the majority of drivers would choose an auto insurance program that uses telematics if they were guaranteed that they would not experience a premiums increase. Most of the survey respondents expressed a level of interest in usage based coverage programs. The majority of the participants in this recent Towers Watson survey said that they were interested in usage based auto insurance…
Read MoreUsage based insurance may exchange discounts for privacy risks
Although the programs are offering cheaper premiums to good drivers, it may come at a cost. Pay as you drive programs, also known as usage based insurance plans, are rapidly increasing in their popularity and use a wireless device installed in the car to allow the insurer to track the actual driving behaviors of the individual so that he or she can receive discounts based on safe habits. However, a recent study is indicating that in exchange for lower premiums, the driver’s privacy may be at risk. The usage based…
Read MoreUsage based insurance from Allstate Drivewise reaches a million miles driven
The auto policies that use telematics technology through this insurer are expanding at an increasing rate. Allstate is celebrating a considerable usage based insurance milestone – so to speak – as the insurer has now passed one billion customer miles driven in the Drivewise program over the course of data spanning 38 million driving hours. This represents the equivalent of driving around the globe 40,000 times. As this news was released, Drivewise was also launched by Allstate into two more states – Kentucky and Montana – bringing that insurer’s usage…
Read MoreUsage based insurance subscribers expected to double
Over the next three years, there will be twice as many users of UBI auto policies in the United States and Europe. According to the latest data from Frost & Sullivan, a business consulting firm, sixty percent of large insurers in the United States are already offering usage based insurance telematics programs to provide discounts to their auto insurance customers who are safe drivers. The U.S. is seen as the fastest growing market for this type of coverage technology program. Among those auto insurance companies who are offering this type…
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