Inform your driver risk assessment at-quote
Auto insurers need to improve their profit margins in the face of rising claims costs. To overcome this challenge, it’s essential for insurers to better understand drivers before pricing them.
But without the right resources, you can’t accurately assess customers at quote because you might need to gather new data. The result? Inaccurate pricing and unnecessary costs.
Telematics data allows you to determine a personalized price upfront that benefits both you and your customers. While your customers are priced fairly based on their actual driving behavior, you can increase profitability by pricing more accurately. In other words, telematics data adds efficiency and accuracy to your pricing process.
While your customers are priced fairly based on their actual driving behavior, you can increase profitability by pricing more accurately.
Improving the customer experience
As costs rise for customers and insurers, personalized pricing based on actual driving behavior data is a proven way to meet customers’ high expectations. Without it, you’re less likely to attract and retain good drivers who want their driving behavior reflected in their pricing at quote. Instead, you may find yourself with a book of drivers who have a different risk profile than you intended, leaving profitability up to chance.
Long monitoring periods that lead to delayed risk assessments offer no visibility into profitability at quote. Then when price increases occur down the line, you risk customer dissatisfaction. But when your pricing process is tied directly to actual driving behavior, you’ll build customer loyalty while ensuring you are accurately pricing every driver.
Driving long-term benefits for your organization
Beyond accurate upfront pricing and better customer satisfaction, telematics pricing at quote generates long-term value for your business. By leveraging telematics driving behavior data, you can avoid underpricing unsafe drivers and overpricing valuable customers. With better drivers in your book of business you’re better positioned to reap several long-term benefits:
- Lower expenses: Avoid the unnecessary claims costs that come with bad drivers.
- Increased average customer lifetime value: Find and retain the most valuable drivers.
- Long-term profitability: Do business with drivers that improve your bottom line over time.
How Arity can help
Maximizing profit is easy when you target your most profitable prospects and integrate telematics into your operations. With Arity IQ, you can have all the telematics data you need to price accurately.
Arity IQ℠ helps you price drivers with individualized Drivesight® scores that reflect actual driving behavior. This technology enables you to price customers upfront with driving behavior insights on tens of millions of drivers.
Our solutions provide the stability you need at quote to make sound pricing decisions across the board.
Start taking advantage of upfront pricing with Arity IQ℠
When you have the data you need at the time of quote, your business and your customers benefit. Arity IQ℠ takes the ambiguity out of pricing with driving behavior data that empowers you to price confidently.
Contact us to learn more about our offerings.