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Insurers could face new transparency obligations as well as technological and regulatory challenges as they explore different methods of rating pay-how-you-drive and even pay-where-you-drive auto coverage, an industry executive warned.

Such programs, in which insurers use knowledge of potentially dangerous driving activity to set rates, were described by Roger Grobler, chief executive officer of Australia-based Real Insurance, speaking at the recent ACORD-LOMA Insurance Systems Forum.

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