Telematics improving your combined ratio

Telematics-based insurance can offer benefits to your company above and beyond the extra growth and improved customer retention. One area that is attractive of insurers is the positive impact on your loss experience – and therefore your combined ratio. These types of insurance products attract safer drivers resulting immediately in a healthier portfolio. While risk self-selection can be a transient benefit, well-managed telematics programs also impact your bottom line by improving driving behaviour and saving on claims as shown in our recent study.

Loss ratio improvements are linked to behavioural changes. The tracking of driving behaviours such as phone usage, speeding and sharp turns have an educational effect on your customers. Paired with the right economic incentives, such as different forms of rewards results in a reduced number of accidents with the benefit of making roads safer, saving lives and improving your motor portfolio's performance.

Motivating drivers for better behaviour

Swiss Re's comprehensive telematics solution can be customized with a broad array of engaging in-app gamification options and rewards which lead policyholders to permanently improve their driving behaviour. Recurrently rewarding your customers for safe driving increases transparency, making the link between their driving behaviour and their insurance premium much fairer than with traditional pricing schemes – a feature that makes for a convenient insurance solution your customers want.

An accurate analysis of driving patterns coupled with post-drive coaching enables drivers to understand how to sustainably reach their objectives. Swiss Re's telematics solution not only shows your customers how they drive, but with the support of machine learning processes, it also allows you to analyse huge volumes of data and to establish regular exchange with your customers increasing loyalty and reducing acquisition costs.

Swiss Re supports you by designing A vs. B testing pilots in order to shape the best user experience and reward structure for your brand, creating and sharing value with your customers while improving your bottom line.

While our hardware solutions enhance data quality and improve trip detection, they also enable a suite of services around claims for both you and your clients, maximizing your bang for the buck. Real-time, automatic crash detection helps policyholders in need of care with linked assistance services and makes claims handling easier for them. On the other side, reliable data collection helps reconstructing claims for a more efficient claims handling, saving expenses and diminishing average claim costs for you.

Swiss Re telematics to improve your bottom line

For many insurers, setting up telematics capabilities can be a resource-intensive, complex and costly process. Challenges include compiling vast amounts of data to develop a proper scoring and building up know-how and expertise.

However, without a doubt the opportunity costs of missing out are higher than the development costs. With Swiss Re's solution, even the development costs can be caught smartly and have the benefits outweigh the costs. In collaboration with our strategic partners, Swiss Re has built up comprehensive telematics capabilities and is developing additional expertise and technology to provide you with an end-to-end telematics solution in return for reinsurance. Our global team can help you turn telematics into an effective tool to manage your combined ratio and more.

Get on board and let's be smarter together.

Contact