The Unseen Passenger: How Telematics Data Is Reshaping Private Passenger Auto Insurance
Insurers have spent decades attempting to assess drivers' likely behavior. Nothing tells that story like the data generated by telematic devices.
Given that early hackers have shown their ability to penetrate vehicle systems, those setting up telematics programs have to employ state-of-the-art security practices, including revisiting security at each layer of access.
Telematics is evolving along multiple hardware paths, including fob, apps and even via auto-based wifi.
Because many insurers are adopting telematics programs that operate via smartphones, some telematics providers have learned to interpret data that shows if a person is operating a vehicle or sitting elsewhere.
Customers will share their data, but only if insurers are clear about how it will be used and how its use will add value to the customer.
