With pending changes in technology poised to lower the barriers to customer adoption of usage-based insurance, insurers should start planning for a future that includes telematics.
Our latest report, Telematics in Insurance: Key Issues and Trends, is designed to provide an overview of current and future potential uses of telematics in insurance, including social media, gamification, and connected services; and to help insurers understand how to incorporate telematics into their strategic plans.
Our key findings include the following:
- The most common application of telematics in the insurance industry is UBI.
- Telematics adoption has been around the longest on the commercial side for the managemtn of fleets, and is commonly in use with leading carriers. Personal auto use, however, is growing.
- The use of smartphones and mobile applications are changing how telematics services are offered, in addition to lowering the cost of telematics implementation.