Is USA based company that launched its PAYD programme styled MyRate in 2008.
Progressive, one of USA’s largest auto insurers, says it has moved to a more empirically based valuation method because: “A principal problem with . . . conventional insurance determination systems is that much of the data gathered from the applicant is not verifiable, and even existing public records contain only minimal information, much of which has little relevance towards an assessment of the likelihood of a claim subsequently occurring.”
Norwich Union (Aviva)
A UK company which launched (2007) and suspended (2008) a PAYD product.
The French company in the same group as Norwich Union has announced plans to launch a PAYD product in France in 2008.
South Africa’s PAYD launched it’s PAYD in 2006
Hollard’s sister company is based in Australia.
Pay As You Drive from Real Insurance, is a new insurance product whereby qualified customers prepay their insurance based on the number of kilometres they plan to travel.
The premium is calculated in two steps. First a base premium is calculated and then an additional premium is charged based on the number of kilometres the insured expects to travel. If the insured finds they are going to exceed their expected limit during the period of insurance Pay As You Drive offers a top up service.
“Motorists are changing their travel patterns to accommodate the rising cost of petrol, increased traffic congestion and strained household budgets. Environmentally conscious motorists are also cutting down on driving their cars in response to climate concerns” said Real Insurance CEO Mr Roger Grobler.
“It was against this background, that we felt the time was right to offer a robust, comprehensive motor insurance product for which they pay only for the kilometres they plan to travel.”
Is a Japanese based company that has operated a PAYD since 2005. They install a device in the car that records the odometer value, the car condition and the time. This information is collected by receivers placed by the road thus allowing it to approximate the trips of the car.
Milemeter is a Dallas based start-up insurance company that only markets PAYD.
A major Dutch insurance company started offering their kilometre policy in 2005.
A German company uses a GPS device to determine distance travelled. They also collect speed data but only insofar as speed limits are exceeded. The insured party collects negative points for rating purposes when speeding and these point impact on premium.
An Israel Company uses odometer readings to determine distance travelled. The recording of data occurs at fuel filling pumps of the country’s largest petroleum company. It data obtained is transmitted by radio.
A Canadian uses an OBD to determine distance travelled and transmits the data using Bluetooth, USB key to transmit data.
A Spanish company uses GPS data transmitted by GSM network. The device records kilometres driven, type of road used, average length of trip, time of day, region where car is driven, average speed and percentage of night hours.
The processing of this data is contracted out to a third party.
Is an Italian company marketing under the brand name “SaraFreeKm” gathers GPS data through a device supplied by Movietrack to compute actual distance and transmits the data on a GSM network.
An Austrian company gathers GPS data on the own devices and transmits the data via a GSM network.
Coverbox Car Insurance
Choose the date and time to suit you – if your car is stolen, one call to us and we are able to trace the vehicle, and liaise with the police for its return. The tracker also counts the miles that you drive against your forecast, if you drive less miles than you forecast then your premium will be reduced and if you drive more than you think it may be increased. You can check your miles daily on your personal web site to help keep track and put you in control of the costs.
You get your own personal dashboard so you can check out the times and the miles that you drive, plus lots of other useful information. You can pay for your insurance monthly or annually the choice is yours.
Octo Telematics SpA
Octo Telematics SpA specializes in the provision of telematics services and systems for the insurance and automotive market. Founded in Rome in 2002, Octo Telematics has over 850,000 active clients and more than a million total subscribers, with subsidiaries and partners in Europe, USA, South America, and Asia.
Bearing the largest telematics fleet in Europe for the number of clients and a database of the most complete figures and statistics globally, Octo Telematics represents a best practices scenario within the panorama of infomobility and vehicle telematics.
Casualty Actuarial Society (CAS)
04/14/2010 — CHICAGO, March 16 — As usage-based insurance (UBI) gains momentum among major auto insurers, actuaries have an opportunity not just to rate and price a product but to affect peoples’ lives, attendees of the Casualty Actuarial Society (CAS) Ratemaking and Product Management Seminar were told.
Robin Harbage, senior consultant, EMB America LLC, explained that usage-based insurance uses driving data collected from telematic devices that allows auto insurers to determine more accurate rates while also empowering customers to control these rates.
Unlike traditional auto pricing models which rely on information such as gender, age or marital status, usage-based insurance allows insurers to pull information through the entire policy period and analyze an insured’s loss cost potential based on how they use a vehicle.
“This enables insurers to determine a much more accurate price,” Harbage said.
At the same time, insurers have an opportunity to provide feedback to the insured and tell them how they’re doing with their driving. “Hopefully you’ll have a much better driver at the next cycle based on what you told them and the insured has the opportunity to do something they’ve never done before – control the rate.”
The Speeding Driver: Who, How And Why?
S G Stradling and M Campbell, Transport Research Institute, Napier University; I A Allan, R S J Gorell, J P Hill and M G Winter, TRL Limited; S Hope, NFO System Three Social Research
An International Study in Scotland on speeding and driver attitude concluded that:
- Attitudes on speed related attitudes – to speed limits, speed cameras remain unchanged
- Drivers are attached to their cars and the possibilities that they offer.
- At the broadest level of analysis, drivers will exceed the speed limit if they have the opportunity to, feel the obligation to, or cannot resist the inclination to.