The automotive industry is currently the second-most data-driven industry in the world so it shouldn’t be a surprise that technology such as driver and vehicle data are impacting the insurance sector and how insurance is being sold.
Autonomous tech, advanced vehicle safety features in vehicles, connected car data, changing consumer behaviour and an array of new vehicle ownership options means that insurers need to reassess commonly held assumptions about risk and policy cover.
To date, car insurance has traditionally been based in most cases around a standard annual policy, but insurers are starting to realise they need to harness tech solutions and offer a broader connected experience to their policyholders
Top trends set to impact insurance
- Increase in subscription services and non-owned vehicles options
- Electric Vehicles
- Connected Car Data
- The growth in shared vehicles and rentals
- Improved in car technology and data
- Increase in demand for PAYD and UBI insurance
Retaining customers has historically been difficult for car insurance companies as the focus has been purely on price. As the industry develops and evolves consumers are demanding a more tailor-made experience that goes above and beyond the norm. Consumers are much more focused on value added services.
By utilising technology such as driver and vehicle insights firms can build trust, brand loyalty and retain more consumers. Understanding how customers utilise their policies, when and how they drive, and own vehicles and the health of these vehicles insurance companies can offer a truly tailored solution and benefit from the knowledge to understand their customer’s retain customers much more efficiently.
