News

09:41 AM
Connect Directly
Facebook
Google+
LinkedIn
Twitter
RSS
E-Mail
50%
50%

Ingenie Warms to Self-Installed Telematics Devices

The company relied solely on professionally installed telematics devices before its recent launch and expansion.

Since its inception, Ingenie, a telematics-based auto insurer focused on young drivers, has insisted that its black boxes be professionally fitted by its team of installers. Even though some insurers are wary of the costs associated with telematics, founder Richard King has said that the extra cost is made up by even more accurate underwriting, rating, and pricing.

But as the market for telematics insurance expands, so the company's stance has softened. For its ambitious new products announced earlier this week — a UK product for older drivers and products for young and experienced drivers in Ontario — the company will allow customers to self-install devices in the OBDII port of their vehicles.

"The early OBD devices weren't really capturing the amount of data we needed," King said in an interview with Insurance & Technology. "The boxes we've been testing have been able to capture the kind of data, and the market is moving more toward self-installed devices."

King said the idea to expand the company's offerings came in conversations with the parents of its target market of younger drivers. They were intrigued by the idea of telematics insurance, he says, but the product can't be quite as intense.

"The proposition will have a twist, it will recognize that you're never going to change the driving behavior of someone who's older," he says. "It wont focus so much on education, but on giving a discount."

That's similar to programs in the U.S., like Progressive's Snapshot or Allstate's DriveWise. In addition, interested older customers can "try before they buy" by downloading a smartphone app that will give them an idea of what discounts they might be eligible for.

[Why insurers must learn to love smartphone usage-based insurance]

Nathan Golia is senior editor of Insurance & Technology. He joined the publication in 2010 as associate editor and covers all aspects of the nexus between insurance and information technology, including mobility, distribution, core systems, customer interaction, and risk ... View Full Bio

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
Byurcan
50%
50%
Byurcan,
User Rank: Author
10/11/2013 | 12:29:11 PM
re: Ingenie Warms to Self-Installed Telematics Devices
That is a funny anecdote, but it does make you wonder, for industries that aren't exactly beloved by consumers, like insurance and banking, even something like the nomenclature of certain activities or processes can reinforce certain distrustful feelings. I'm sure that executive felt the same way, which is why he went through great pains to not use the phrase.
Greg MacSweeney
50%
50%
Greg MacSweeney,
User Rank: Apprentice
10/11/2013 | 9:46:59 AM
re: Ingenie Warms to Self-Installed Telematics Devices
Funny you should say that. I was in a meeting with a capital markets brokerage earlier this week and we were discussing "dark pools," which is the a common name for an off-exchange trading venue. The name itself, "dark pool," doesn't instill confidence in many investors. So the executive was using every other name he could find for dark pool in our discussion because he said his company doesn't like to use the term dark pool.
Jonathan_Camhi
50%
50%
Jonathan_Camhi,
User Rank: Author
10/11/2013 | 2:57:53 AM
re: Ingenie Warms to Self-Installed Telematics Devices
You already see the data from automated highway toll systems being used to give people tickets. So what you're talking about Greg doesn't seem so far off.
Byurcan
50%
50%
Byurcan,
User Rank: Author
10/10/2013 | 12:37:31 PM
re: Ingenie Warms to Self-Installed Telematics Devices
I too would like to know exactly what types of data these black boxes are tracking. Also, naming a something a "black box" automatically makes it sounds ominous and evil. They need a better name.
Greg MacSweeney
50%
50%
Greg MacSweeney,
User Rank: Apprentice
10/10/2013 | 9:24:42 AM
re: Ingenie Warms to Self-Installed Telematics Devices
That's the problem, though. Once the data is collected, there is the temptation to use it. This is especially true when it comes to government programs. Couldn't you hear some politician saying, "If you obey all traffic laws, you will have nothing to worry about" during a debate on using data to issue fines?
Black Box Insurance Reviews
50%
50%
Black Box Insurance Reviews,
User Rank: Apprentice
10/10/2013 | 8:51:52 AM
re: Ingenie Warms to Self-Installed Telematics Devices
I do not think that individuals need worry on a personal level. In the UK alone if black box insurance were compulsory there would be around 35 million black boxes and that would generate vast amounts of data. Sifting through that amount of data for general personalised data on one individual would be pointless.

However if police forces demanded data of suspected terrorists or serious criminals the data would be priceless and be of great benefit to the community.

What could cause concern though is that were some future Government to use this data to automatically issue fixed penalty notices to drivers for minor motoring offences as a means of revenue generation.

Now that is worth talking about, you can do this by joining the debate at www.blackboxinsurancereviews.c...
Greg MacSweeney
50%
50%
Greg MacSweeney,
User Rank: Apprentice
9/29/2013 | 1:16:00 AM
re: Ingenie Warms to Self-Installed Telematics Devices
Agreed. Data privacy concerns are growing, especially as consumers see data breaches and stories about NSA surveillance programs that may, or may not, invade one's privacy.
IvySchmerken
50%
50%
IvySchmerken,
User Rank: Author
9/26/2013 | 8:57:32 PM
re: Ingenie Warms to Self-Installed Telematics Devices
Parents paying expensive premiums for teenage drivers may welcome this new self-installed telematic auto insurance device. But what types of data or information is being tracked within the vehicle? Data privacy could be a concern for old and young drivers alike.
Register for Insurance & Technology Newsletters
White Papers
Current Issue
Slideshows
Video