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Usage-Based Insurance Accelerating to Reach 170 Million Drivers by 2025 with 25% of Policies Now Based on Apps, Reports PTOLEMUS

November 6, 2018

LONDON--(BUSINESS WIRE)--Nov 6, 2018--In the last 12 months to June 2018, the UBI market grew by 40%. By contrast, the mobile-enabled UBI segment grew by 200% to 4.8 million policyholders, finds PTOLEMUS’ Mobile Insurance Global Study.

The US is spearheading smartphone-based insurance. All major carriers have launched apps to collect driving data. State Farm leads the market by volume, but Allstate, Progressive and Liberty have all converted at least part of their previous OBD dongle-based offerings to mobile. In Europe, only a few players such as AXA and Allianz have made the first steps.

Smartphones are pushing the market to transition from Usage-Based Insurance to User-Based Insurance.

Apps are becoming an essential customer on-boarding and relation tool. “20% of the top insurers worldwide have a Try-Before-You-Buy programme”, says Thomas Hallauer, Research & Marketing Director.

Apps can use 5 times more sensors than black boxes. After mileage based pricing, insurance evolved to event monitoring such as acceleration and crash. With apps, insurers can preempt and change risk, for example by understanding the context of specific events; being distracted while driving is one of the most predictive factors of risk.

The study analyses how mobile apps are accelerating the growth of the UBI market and how they will impact future insurance strategies in terms of value propositions, scoring, claims management or distribution

Based on the evaluation of over 220 mobile apps globally, the Mobile Insurance Global Study brings:

2018 - 2025 estimates and projections of the mobile telematics insurance market, Over 600 pages of analysis on the use cases of mobile apps in insurance and their impact on the industry, Case studies of winning mobile UBI programmes around the world, A competitive analysis profiling, evaluating and ranking 26 leading insurers, 30 apps and 15 vendors worldwide.

An abstract of the Mobile Insurance and UBI study with its executive summary are now available

About PTOLEMUS Consulting Group

PTOLEMUS is the first strategy consulting & research firm entirely focused on connected & autonomous mobility and the Internet of Things. It assists leading technology players, automotive OEMs, insurers and service providers in defining & deploying their strategies.

© PTOLEMUS - www.ptolemus.com - Mobile Insurance Global Study - All rights reserved

View source version on businesswire.com:https://www.businesswire.com/news/home/20181106005484/en/

CONTACT: PTOLEMUS

Thomas Hallauer

Marketing Director

thallauer@ptolemus.com

KEYWORD: UNITED KINGDOM EUROPE

INDUSTRY KEYWORD: TECHNOLOGY DATA MANAGEMENT MOBILE/WIRELESS PROFESSIONAL SERVICES INSURANCE

SOURCE: PTOLEMUS

Copyright Business Wire 2018.

PUB: 11/06/2018 07:09 AM/DISC: 11/06/2018 07:09 AM

http://www.businesswire.com/news/home/20181106005484/en

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