London, 12/03/21: Consumer needs are changing over time driving the need for alternative motor insurance products to replace conventional policies. As a result, the creation of new products using telematics, known as Usage Based Insurance (UBI). Globally, ReportLinker estimates that the UBI market is projected to reach USD 125.7 billion by 2027 at a CAGR of 23% from 2019 - 2027.
The long-lasting effects of the coronavirus pandemic are expected to create a new normal where work from home is becoming pervasive, resulting in inconsistent driving habits. Therefore, the usage-based insurance companies are predicted to grow tremendously in 2021 and in the future, spurred by the constraint of traditional motor insurance during the lockdown.
With the growing demand for UBI products, motor insurance companies must have a reliable, scalable, and comprehensive telematics solution to meet the demand. Besides leveraging telematics technology, there are a lot of support functions to consider such as, data management, underwriting, quotation, claim management, etc.
“Carriers who are interested in entering the UBI market should understand there’s more to UBI than tracking a driver’s driving behaviour. There are a lot of moving parts to consider like policy & customer management, customer engagement, gamification through point-scoring, etc.” said Tobias Bergmann, CEO of tigerlab.
A comprehensive solution is a key to UBI product development
i2go offers a comprehensive telematics insurance solution to insurers. It is a powerful and integrated system that enables insurers the ability to deliver the ultimate 360° UBI experience.
Moreover, insurers can choose multiple in-vehicle data collection options (SDK, standalone application, OBDs, or On-Board Units) from i2go, which can meet the different needs of the customer. For example, if insurers have an existing phone application, i2go’s telematics SDK can easily be installed to access all scoring relevant data.
The robust rating engine and policy management module provide insurers a full policy lifecycle system. In addition, it gives insurers the flexibility to develop different UBI products based on a customizable scoring model with a range of data like location, acceleration, time, cornering, braking, speed, duration, distance, direction, and distracted driving.
For the next decade and beyond, insurers can access more data and gain useful insights on their customer experience. As a result, UBI will continue to evolve. And i2go is designed to perfectly support the different phases of the UBI evolution.
i2go, the Insurance PaaS solution, is powered by tigerlab and launched in 2018. The platform enables insurers to work fully digital, connect internal and external systems to the i2go platform through open APIs. With new features like telematics, the No-Code product configurator, engagement, or policy management, tigerlab drives digital change in one of the oldest industries: the insurance industry.
For more information about the telematics solution, please visit our page.
For more information about i2go and tigerlab, please visit our website.