ISO will equip more than 600 ISO company vehicles with telematics devices to monitor and record data about driving behavior. Information will include Global Positioning System (GPS) and On-Board Diagnostic (OBD-II) data for vehicle information and 3-axis accelerometer data for driving maneuvers.
Telematics data will help ISO, through its Applied Informatix unit, to assess the methods needed to leverage this new source of data for analytics to predict loss and streamline rating, underwriting, and claims workflows.
"ISO is undertaking this effort as part of its pioneering study to assess the predictability of telematics data for rating, underwriting, and claims purposes," says Steven C. Craig, general manager of Applied Informatix and A-PLUS. "Using the ISO fleet as a source of telematics data will provide our analytics staff an invaluable test bed for product development and telematics data troubleshooting."
ISO created the Applied Informatix business unit to gather and analyze telematics data from devices installed in private passenger and commercial vehicles. The unit also plans to mitigate the obstacles currently experienced by insurers who wish to collect and use driving behavior data to create differentiated auto insurance products.
"By equipping the ISO fleet, we will gain firsthand knowledge of all aspects of such a program from installation, activation, data collection, and processing to linkage of claims and policy data," said Craig.
ISO is working with Geotab, Inc., to equip the ISO fleet with Geotab's GO5 telematics device. GO5 offers Geotab's patented tracking algorithm, which accurately recreates vehicle trips and incidents.
In addition to contributing to the ongoing Applied Informatix telematics study, ISO expects to reap other benefits, according to Craig. "We want to use the technology to help our risk management program increase fleet safety and efficiency, thereby reducing costs while supporting ISO's green initiatives," he says.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.