Published by Leon Hurst , CEO Mobility, IMS
IMS data threw up some interesting insights for mobility providers during the lockdown. Checkout my previous article. Who knew that one of the favourite destinations for London-based car club users during the lockdown were marinas? A case of the have-yachts and the have-nots, as it were.
Everyone else had to leave their cars at home, and they were not happy. Public pressure on the insurance industry to recompense customers led to UK motor insurer Admiral offering £25 compensation to each of their policyholders. The £110m bung seemed to be a very old-world response to the problem.
One of the lessons of the pandemic is that new insurance propositions will need to be created to complement emerging patterns in vehicle use and ownership. Where cars have been unused for weeks (so reducing claims), mileage-based insurance programmes will emerge bring considerable savings for the public. In commercial lines insurance, the accelerated shift to freelance drivers (gig-economy workers) creates big opportunities for flexible commercial lines cover that is underpinned by telematics data, bought through an app. Zego has already made huge strides in this area.
Less experienced drivers, migrating away from public transport, will create increased road risk and subsequently collision damage for mobility operators like car clubs. The monitoring of driver behaviour through app-based telematics solutions will enable car clubs to identify, risk manage or even de-select high-risk drivers. And on those occasions where an accident does happen, the same tech will greatly improve claims settlement (Read more about our exciting new tech driving claims innovation).
We could even see new pricing models that echo the ‘Pay-how-you-drive’ approach that has been adopted by many motor insurers, meaning that responsible car club members could pay lower rates than those that are borderline reckless.
We’ve also found that with vehicle fleets laid up and increasing financial hardship, there has been an increase in theft.
……Overall, the post-Covid19 landscape looks to be a far from settled one within both mobility and insurance. We’ll continue to identify trends through real-time data and help the partners we work with to stay ahead of the curve.
If you would like to discuss further, feel free to reach out directly to myself using our Contact form: https://ims.tech/contact/