Copy for Insurance Times’ The Big Question. Response attributed to Martin Williams, COO, ThingCo.
From a motor insurance perspective, telematics insurance emerged almost a decade ago to support young drivers to help make premiums more affordable. As lower-cost technology has emerged, using AI and Voice to do more for the customer, and operational costs have reduced, telematics is becoming far more viable for brokers to offer other segments of the market such as older drivers and those that want a miles-based product.
At ThingCo, we are seeing growing interest from brokers looking for flexible telematics-based motor insurance solutions to offer their customers in recognition of the huge pressures on household finances as well as the change in working patterns as a consequence of the pandemic. It offers a way for brokers to incentivise safer driving with discounts at renewal for the best drivers, while also helping them meet the FCA’s new pricing rules.
Telematics will also help lower income households when insurers really start to use the data at claim to lower their claims costs. One of the best things about telematic solutions is that they put power into the hands of the consumer. By driving safely, motorists know their premiums will drop and make their time on the road more affordable.