Search
 

Value, not discounts, key to commercial lines telematics

As insurers start seeing results from their personal auto usage-based insurance programs, they look for new ways to leverage telematics technology.

By Nino Tarantino | Updated on February 27, 2018
With half of the 13 million commercial vehicles in the U.S. connected via telematics, bringing telematics to commercial auto insurance is a logical next step. (Photo: Provided by Octo Telematics)

Over the past year, Octo has seen significant interest in telematics solutions for commercial auto insurance. As insurers start seeing results from their personal auto usage-based insurance programs, they look for new ways to leverage telematics technology. With half of the 13 million commercial vehicles in the U.S. connected via telematics, bringing telematics to commercial auto insurance is a logical next step.

Price-based competition in commercial auto insurance has been a major driver of increasing combined ratios over the past few years. Often in our discussions with insurers, we come to the same sticking point — with record high combined ratios, they cannot make the business case for offering significant discounts to their commercial customers in exchange for telematics data.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Dig Deeper

Recommended Stories

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2024 ALM Global, LLC. All Rights Reserved.