Swiss Re to launch new Motor solution: the ADAS risk score. The score (to be launched in 2019) will enable insurers to better price ADAS equipped vehicles.
Motor insurance is one of the most important lines of business for our clients and car automation is now a major topic for the industry. On the journey towards autonomous vehicles, cars are increasingly equipped with advanced driving assistance systems (ADAS) that actively support the driver in avoiding accidents. Swiss Re research shows that these features can already have an impact on loss frequencies, but most insurers do not yet reflect the impact of ADAS in their motor insurance products.
Sebastiaan Bongers, Head Strategy, Products & Technology, Swiss Re: "Insurers will have to adapt as the automotive sector is on a journey towards fully Autonomous Vehicles (AV). But we do not have to await the arrival of Autonomous Vehicles as ADAS equipped vehicles will already reduce accidents. The issue for insurers is how they get to know what ADAS features are installed, how much safer these systems are, and to what extent drivers use these systems."
To build and launch the ADAS Risk Score, Swiss Re engaged in a strategic partnership with the BMW Group. With their expertise, we have developed the ADAS risk score that allows us to assign a safety score to individual vehicles that insurers can use in their pricing approach. Our scoring models assist insurers with the burdensome task of continuously assessing all the safety features of individual (Original Equipment Manufacturers) car manufacturers.
The ADAS risk score will be available by means of an online platform and will benefit the underwriting and portfolio management of insurers across the markets.
Andrea Keller, Senior Strategy & Partnership Manager, Swiss Re: "We want to drive innovation in the motor insurance sector, helping our clients to enhance their product suite. That starts with enabling insurance products for automated vehicles. Furthermore, by stimulating customers to purchase ADAS, accidents will be reduced. It completely fits our vision to make the world more resilient."
Find out more about our partnership with the BMW Group.
BMW Group and Swiss Re invites car manufacturers globally to join forces and together create a market standard for ADAS risk assessment. We aim for a win-win situation. By enabling insurers to include ADAS in risk assessments, customers will benefit from purchasing safety-enhancing systems, and our roads will become even more safer.
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