Filed Under:Carrier Innovations, Information Security

Insurance's Version of Pay to Play

Telematics is viewed as the most equitable form of underwriting personal auto policies.

It’s difficult to think of anything about the personal auto insurance market that could be considered niche, but for years that is exactly how telematics was perceived within the industry. As leading insurers continue to expand their use of the technology, though, it seems inevitable that carriers of all shapes and sizes will one day be adopting telematics.

Celent recently issued a report—Telematics-based Insurance: Has Its Time Finally Arrived?—and U.K.-based Catherine Stagg-Macey, senior vice president for the research and advisory firm, explained why this underwriting technology is beginning to take off.

With telematics, adds Stagg-Macey, there are some additional questions such as the use of a telematics device: Will you use smart phones, or OBD? Does this require a network for installation of the device? What telecoms network are you using? How are you collecting this data? And how much of the data will you collect?

Stagg-Macey believes consumers are holding back the widespread use of telematics today, although she feels some insurers still have doubts.

Featured Video

Most Recent Videos

Video Library ››

Top Story

5 ways insurance agencies can improve their websites

The way people use the Internet has changed over the past few years. Has your website changed with it?

Top Story

15 tips for driving safely on ice and snow

More than 800 people die each year in the U.S. in vehicle crashes caused by snow, sleet and freezing rain.

More Resources


eNewsletter Sign Up

Carrier Innovations eNewsletter

Critical news on the latest tech solutions, information security, analytics and data tools and regulatory changes to help decision-makers at insurance carriers keep their business thriving – FREE. Sign Up Now!

Mobile Phone

Advertisement. Closing in 15 seconds.