According to a report by Cambridge Mobile Telematics, the 2019 UBI and Telematics Market Demand report, the demand for Usage-Based Insurance (UBI) is at an all-time high.
According to the report, the vast majority of American drivers (75%) reportedly would like insurance premiums to be based on how safely they drive rather than generic factors such as credit score, demographic information, or vehicle model.
“We live in a world where consumers have grown accustomed to customizing their purchases and today telematics offers them a solution that not only improves driving behaviors but also better informs risk assessments and customer retention – it’s a huge opportunity for insurers,” said Ryan McMahon, vice president of marketing at Cambridge Mobile Telematics. “UBI programs can reduce costs for the driver as well as risk for the insurance provider so it’s a win/win. Today’s technology makes these solutions an easy and affordable way to make the roads safer for everyone.”
Findings from the full report can be found here.