While telematics is not new to the motor sector, it has never been more relevant. The introduction of the Gender Directive last December and the cost of claims in the sector have brought the technology-first used by US firm Progressive in 1999 - firmly back into the spotlight.
However, the increased interest in telematics has focused largely on products and how much they could save policyholders, neglecting the processes involved in bringing a successful proposition to market.
Insurers should be wary of rushing into the telematics market alone-pricing, legacy technology and cost mean collaborating may be a wiser strategy. This article explains why.