What Happens When You Mix a U.K. Insurance Company with a Telematics Provider?

UK-based auto insurance provider Admiral is partnering with Cambridge Mobile Telematics (CMT) to launch a behavior-based smartphone telematics program in the UK — with the goal of improving driving safety.

CMT has pioneered Behavior-Based Insurance (BBI), which is a unique way for insurers to capture driving performance for setting insurance premiums, mitigating risk, and encouraging safer driving. Through CMT’s advanced technology in analytics, and machine learning, risky driving activities such as phone distraction, hard braking, abrupt acceleration, sharp cornering, and speeding, can be captured using mobile sensors on the phone. In addition to obtaining a snapshot of a driver’s behavioral profile, feedback and gamification are provided to him or her through a mobile app, resulting in better and safer driving habits.

The stakes are indeed high: Automobile injuries and crashes – 50 million annually – are a serious worldwide problem. According to the World Health Organization, about 1.25 million people die each year in traffic- related collisions. Through its DriveWell program, CMT’s mission is to make drivers safer by providing valuable feedback about each trip, driving tips, mapped events, and gamification.

“We have found that through behavior awareness and incentives, people actually do drive better and have a much lower risk of getting into an accident. Admiral shares our vision and wants to reward their customers for driving safely,” says William Powers, Chief Executive Officer at CMT. “Together, we will launch a successful, behavior-based insurance model offering Admiral customers an accurate, personalized solution to improve driving performance.”

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