View this article online: https://www.insurancejournal.com/news/national/2015/02/11/357191.htm
Driveway Software and Pinnacle Actuarial Resources have teamed up to offer the auto insurance industry a coordinated usage-based insurance (UBI) approach that includes driver behavior scoring. Auto insurers can now leverage Driveway’s technology backed by Pinnacle’s rating, actuarial and regulatory guidance. The services are offered a la carte so insurers can choose technology, consulting, scoring individually or the coordinated package.
“Insurers know they need to break into usage-based insurance but some are unsure about the best way to approach filings, rating and product management,” said Igor Katsman, CTO of Driveway Software. “Now, with our technology and Pinnacle’s guidance, insurers can control their exposures and launch a UBI program that will deliver a more accurate price to the consumer with a better loss result for the carrier.”
Driveway Software’s smartphone app + cloud-based platform eliminates the costs and potential inefficiencies of onboard diagnostic device (OBD)-based programs. The Driveway product continuously tracks driver behavior (such as time of day, garaging location, braking, cornering, speeding and mileage) using a smartphone app.
Data is transmitted from the app to a secure cloud where a proprietary analytical platform processes the data of each individual risk component to derive a scored result for each risk element, as well as an overall safety score for each trip captured.
The Driveway app features automatic trip detection without any user or hardware dependency, or adverse impact on smartphone battery life and performance. More than 200,000 drivers have already downloaded and used the app, giving Driveway and Pinnacle the opportunity to collect and analyze more than 500 million miles of driving data.
“Applying Pinnacle’s analytics capabilities to half a billion miles of driving data provides insurers with a credible basis to incorporate driver behavior scores into their rating plans. The scoring is easily customizable, allowing companies to focus only on the behavior elements of interest to them,” said Pinnacle’s Principal and Consulting Actuary, Roosevelt C. Mosely Jr.
Pinnacle Actuarial Resources, Inc. is an independent, full-service actuarial firm focused on the property and casualty insurance industry.