LexisNexis Risk Solutions and Mitsubishi Motors (MMC) are working together so that MMC vehicles can connect directly to the LexisNexis Telematics Exchange to help lower insurance premiums based on driving data.
The goal of the proof of concept is to design seamless usage-based insurance (UBI) solutions for Mitsubishi automobile owners and drivers. A vehicle equipped with this technology in its head unit coupled with the Mitsubishi telematics app will automatically integrate the driving behaviour data enabled and collected through the connected technology of Mitsubishi vehicles into the LexisNexis Telematics Exchange to automate and expedite the reporting process.
The technical collaboration and collection of data will “enable Mitsubishi Motors to add even more value to its products and services by promoting safer driving through owner awareness of driving habits and enhancing customer ownership experience by allowing its owners to enroll and easily participate in UBI to potentially help lower their insurance premiums, which further reduces the cost of vehicle ownership”.
“Smartphones have transitioned from just being communication and entertainment devices to becoming resources for critical information,” said Shingaku Kochi, Manager, Connected Information Business Department, Mitsubishi Motors Corporation. “At Mitsubishi Motors we are looking for ways to tap into this evolving technology to give our owners more insight into their driving experience.”
As more cars become connected, car data is increasingly becoming attractive for insurers to leverage as part of their UBI program. This will enable insurance carriers to help save customers money, while offering a better customer experience throughout the policy lifecycle.
The LexisNexis Telematics Exchange is described as ‘device-agnostic’. It collects, processes and scores telematics data from many sources, including auto manufacturers, OBDII devices, 12 volt devices and smartphone apps. LexisNexis Risk Solutions began creating its device-agnostic telematics solutions in 2007 and built its telematics platform as a way for insurers, auto manufacturers and drivers to benefit from the evolution of UBI. Insurers are able to leverage their existing systems integrations with LexisNexis Risk Solutions to utilise normalized UBI data into their internal processes. This enables insurers to offer the same UBI program and score across many different data collection devices to fit various consumer preferences.
“Our recent studies show that drivers want pay-as-you-drive insurance policies, but only a quarter are being offered these programs by their insurers,” said Ash Hassib, Senior Vice President and General Manager, Auto and Home Insurance, LexisNexis Risk Solutions. “So the demand is here, and through our partnership with Mitsubishi, we’re able to make UBI options more accessible for consumers and the data more efficient for insurers to utilise.”