Turning raw driving data into actionable insights is a major challenge facing insurers trying to turn the corner and write usage-based auto coverage profitably.

The ability of auto carriers to economically collect information about driver performance will be a key factor determining the fate of usage-based insurance programs, particularly for smaller companies looking to compete against the industrys data-rich giants.

There are basically three types of prospects for usage-based auto insurance programs, depending on how comfortable they are with carriers monitoring their driving performance.

Personal auto carriers are rapidly approaching a moment of truth when it comes to usage-based insurance programs, whether they have already launched such products or have remained on the sidelines.

Under the right conditions, having the private marketwhether primary insurers, reinsurers, the capital markets or some combination of all threepitch in to take on additional flood exposure could be a win-win for taxpayers as well as the insurance industry.

While flood insurance might represent the biggest growth opportunity for private carriers in years, its no certainty the industry would be eager or even willing to take on a greater share of such exposures unless conditions are established to give them a reasonable chance of making a profit.

While flood insurance might represent the biggest growth opportunity for private carriers in years, its no certainty the industry would be eager or even willing to take on a greater share of such exposures unless conditions are established to give them a reasonable chance of making a profit.

As a growing number of insurance carriers attempt to sell small-business coverage direct to consumers, agents will need to be more than mere policy peddlers and price shoppers to remain relevant for their customers.