Richer Datasets & Unseen Parameters are transforming the insurance industry. Insurance companies use different parameters to determine eligibility for fleet insurance. However, more and more insurance companies are moving towards next-generation insurance policies that align with gaining a deeper insight into driving styles.
The time for traditional auto insurance is up
Traditional assessments include policyholders’ driving records, credit rating, age, safety features, etc. However, insurance providers are transitioning to technology using different parameters that directly use driver behavior, such as location data, road conditions, driving habits, etc., to develop personalized insurance plans.
Usage Based Insurance is a data-driven technique. Apart from building a more robust client relationship, it also allows insurers to offer customized policies per the client’s driving behavior.
This article elaborates on how datasets acquired through connected data services and unseen parameters like speed, safety-belt usage, etc., help insurance providers offer personalized and comprehensive services.
Richer Datasets and Additional Parameters for the Next-Generation Usage-Based Insurance
Next-generation usage-based insurance presents more flexibility and insight into driver behavior. For example, CerebrumX’s UBI is integrated with connected vehicle data, enabling insurers to gather data based on actual driving instead of concentrating only on age, gender and driving years.
What makes Usage-Based Insurance by CerebrumX different from other traditional UBIs?
Most UBIs employ speed, geo-locations and acceleration parameters to calculate driver behavior. Let us look at how these parameters help in tracking data.
1. Geo-location
Insurers use the location information to determine the driver’s eligibility for discounts. Besides, it helps send assistance whenever the user is stuck in unforeseen conditions like a flat tire or roadside mishap.
2. Acceleration
Insurance companies use acceleration data collection with the help of inbuilt sources to know how safe a driver is on the road. As a result, it aids insurers in rating good drivers and provides them with better insurance discounts.
3. Speed
Evaluating the vehicle speed helps insurers know road conditions and whether the driver implements harsh braking.
Additional parameters that enable insurance providers to offer more personalized services
Apart from the above-listed parameters, These are the additional datasets & parameters used to provide personalized usage-based insurance services.
- Distracted driving
- Advanced Driver Assistance Systems (ADAS)
- Speed
- Crash
Read more about it below
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Distracted driving
Distracted driving includes actions that throw light on situations that will take the driver’s attention away from the road. For example, whether the driver uses cell phones while driving or paying attention on the road. In addition, it will help insurers to know the number of tickets a driver is charged and accordingly increase or decrease insurance rates.
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Advanced Driver Assistance Systems (ADAS)
Advanced Driver Assistance Systems (ADAS) are the passive and active safety systems that prevent road accidents, death, or injuries, ensuring road safety. ADAS assists in the following:
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- Detecting blind spots
- Automatic emergency brakes
- Recognizing traffic signs
- Warning and lane departures
- Detecting pedestrian movement
ADAS helps insurers know how vigilant the driver is when using the vehicle on the road to provide better discounts and reward points.
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Speed
CerebrumX’s usage-based insurance helps in monitoring drivers’ behavioral mobility risk. Pay how you drive (PHYD) considers attributes like overspeeding, acceleration, harsh braking and safety belt usage. Based on the parameters, the users are rewarded lower premiums for following safe speed and penalized for distracted driving.
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Crash
It enables understanding of events that happened before and after causing collisions. Herein, it allows insurers to access crucial data to reconstruct the entire accident sequence and also aid in investigations.
The information gathered include:
- Access crash summary data
- Analyzing FNOL
- Gaining insight into the cause and effect of accidents
- Unlock ADAS data for collision assistance
Benefits of Additional tracking parameters for Insurance Companies offered by CerebrumX
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Insurance Fraud Detection
CerebrumX richer datasets provide accurate data analysis of all parameters without leaving any room to provide wrong information.
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Data-Driven Crash Analysis
CerebrumX helps analyze crashes to predict the impact of different highway projects. In addition, the tools assist in tracking traffic, geo-locations, the number of tickets collected and previous crash occurrences to determine the eligibility of insurance policies.
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Increase Customer Retention & Acquisition
UBI assists in understanding every individual’s driving behavior by monitoring parameters such as rapid acceleration, mileage, overspeeding, etc., to design personalized insurance plans that meet the driver’s needs.
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Accurate Analysis
CerebrumX’s UBI employs richer datasets which are directly acquired by evaluating in-car telematics.. The resulting datasets proffer more accurate and reliable results, enabling insurers to acquire deeper analysis without any error.
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Cost Effective
As additional data parameters enrich the quality of insights gathered, and of corresponding insurance products, insurance providers stand to benefit with low-cost operations. Expenditure related to third-party apps, devices and unreliable data is saved, and passed on to the customers as discounts on insurance premiums.
Conclusion
A usage-based analysis is accurate and utilizes richer datasets acquired directly based on driver behavior. CerebrumX‘s tracking parameters are designed to assist insurance company providers in offering users customized plans that are accurate and based on driver needs. Visit the website to know more details