CLOUD & CYBER sphere is the way it is used , which often results in punishing drivers , resulting in a poor relationship between insurer and customer .
He says , " In the UK , personal motor insurance has predominantly used telematics to penalise drivers . This has created friction to adoption from customers . They see it as a tool that is only used to manage young drivers or higher risk . At By Miles , we just use the telematics data to track the miles driven .”
Rimmer says it is this approach that will improve the public perception of telematics . “ I believe customers will allow their data to be collected if they receive both a better experience and also clearer and more transparent premium charging .
“ I also believe the existing negative associations with telematics will be eliminated with a collection of data directly from a connected car vehicle where the relationship feels more like an existing app experience ."
Perception of value The suspicion surrounding telematics from the consumer sphere could also have been caused by the perception customers have of value and how it is measured . Brockman believes that by giving away black boxes , insurers have sent a clear signal to the customer that the technology is serving the company ’ s needs . This means consumers are yet to see the value that can be derived from telematics .
“ You need to make the device a desirable piece of technology that consumers would value in their own right ... By exploiting advances in technology , insurers can get asset value from telematics , i . e . extract greater economic value from the technology than its cost . That means using the data to mitigate risk , manage claims effectively and lower costs and ultimately give customers a better insurance experience ,” he says .
Telematics and driver behaviour One of the strongest arguments for the use of telematics is that it can improve driver behaviour and contribute to road safety . But how true is that - and to what extent would driver actions be modified through the use of such technology ?
Rimmer doesn ’ t believe so and says the technology should be about customer choice and flexibility . " There is an element of positive selection that comes with telematics . Better risk will pick telematic policies . Telematic technologies could improve driving behaviour , but it is subjective .”
Rather , he says , telematics should be seen as a driver enhancement system because it can “ lower premiums ( through UBI ), warn of toll charges , give engine health and diagnosis , find the vehicle for you , and help alert your insurer if a likely crash has happened .”
However , Morris-Fletcher believes one of the technology ’ s greatest advantages is its ability to improve poor driving .
“ Telematics can certainly improve driver behaviour ,” he says , explaining that it records data relating to a number of driving behaviours , such as speed , braking severity and corner taking harshness — all of which do lead to unsafe driving in a variety of ways .
“ The technology can quickly show if a driver is behaving dangerously when they ’ re
“Autonomous vehicles are not yet as safe as cars with real drivers ”
LLOYD MORRIS-FLETCHER HEAD OF DIGITAL , ICOMPARIO
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