Insurance is changing and providers across the industry are realizing the potential of data-driven insights across multiple areas of business operations. Not only that but the value of partnerships in the industry is being increasingly recognized. AI + telematics providers + insurance companies = a powerful combination. And the result of that powerful combination is an entirely new digital offer: AI telematics insurance.
AI telematics insurance is the result of a telematics provider, an artificial intelligence (AI) data analytics company, and an insurance company, working together. And, as partners, creating an insurance product unlike anything else currently on the market.
The beauty of combining AI with telematics is that it uncovers deeper driving risk insights than ever before. And these insights can equip insurance companies with intelligence that facilitates accurate, transparent insurance pricing.
Many motor insurance companies already utilize telematics to get an understanding of how people drive. Usually this involves measuring driver “events” such as speeding or harsh maneuvers (acceleration, braking, cornering).
With AI to further enhance telematics, insurance companies get an even deeper understanding of driving risk. For example, at Greater Than, our AI uncovers real-time crash probability and climate impact insights. This makes it easy to generate accurate, transparent pricing for digital insurance products.
Today, many telematics providers are turning to AI data analytics companies to uncover greater value from their existing GPS data. And, because telematics providers have vast amounts of driving data at their fingertips, it’s easy to share that data with an AI data analytics specialist who can convert the data into new insights.
Armed with deeper risk insights, telematics companies are in a powerful position to seek insurance partnerships. Especially when the telematics company offers a ready-made customer-base for whom they can access valuable crash probability and climate impact insights.
This three-way partnership generates multiple benefits for all involved. For the telematics provider a key benefit is the value-add for customers, which ultimately strengthens relationships. For the insurance company it improves their understanding of driver risk and enables tailored digital insurance products with accurate pricing.
Of course, accurate pricing is also attractive to the end customer, as is the transparency that can be ensured with such a digital insurance offer. Not only that, but with real-time crash probability and climate impact insights, telematics providers and insurance companies are positioned to influence safer, more sustainable driving.
These dynamic new partnerships have the potential to transform the insurance industry. Particularly since sustainability and Environmental, Social & Governance (ESG) is so high on the business agenda. Telematics companies are in a unique position to build on the relationships they already have with customers, by utilizing AI to incorporate sustainability and ESG into their offerings.
Now, with AI telematics insurance, companies throughout the insurance space have a ready-made sustainability solution to offer customers. AI-generated crash probability and climate impact insights enable customers with at-work vehicles to quantify their environmental and societal impact. This means that, by working with a telematics company and AI data analytics provider, insurers can offer solutions that are good for business and good for society. This is a great example of AI for good.
At Greater Than we were proud to recently announce our new partnership with ABAX, Europe’s largest telematics company, and Eir, a fully digital insurance company. Read the press release.