http://insurance-technology.tmcnet.com/topics/insurance-technology/articles/226478-ingenie-chooses-redtails-vam1-telematics-hardware-datawarehouse-solution.htm

Insurance Technology - Ingenie Chooses REDTAIL's VAM1 Telematics Hardware and DataWarehouse Solution

 By Deepika Mala , TMCnet Contributor

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Ingenie, a fresh-thinking car insurance for young drivers aged 17 to 25, has selected REDTAIL Telematics, a global business entity based in North America with headquarters in the United Kingdom, for its new telematics technology inspired car insurance product.

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Currently, the young driver market is suffering from traditional insurance companies treating all young drivers as high risk.

By using REDTAIL’s VAM1 telematics hardware and DataWarehouse solution,Ingenie  will be able to rate a driver on how they drive as an individual, so a young driver will simply need to pay for coverage based on how they drive.

In a release, Richard King, CEO of Ingenie, said, ”REDTAIL’s innovative technology demonstrated a cost effective solution for the high frequency sampling that we need and their track record as a supplier to the automotive aftermarket gave us confidence in their manufacturing and supply capabilities.”

I have commented on telematics and usage based insurance before, but I find new developments fascinating. This article is different because it actually gets into a particular market, that being young drivers. My company is definitely part of the group of traditional carriers who view young adults as high risk, and we try to target customers who are older and have a larger asset portfolio in order to get more account-rounded policies.

 

With the new technology described in the article allowing for the ability to rate young drivers based on how they drive by installing a device in the actual car. As a result of this, I am sure that many traditional carriers will be more open to writing these policies. However for us, it would be a lot more involved due to our current business model, the way that we advertise, the products we offer and our brand name in general. I believe we would have to do a lot of revamping in order to truly tap into this market; if we do not,  we have the potential to lose a lot of market share to our competitors as we may be looked at as a company who is unwilling to change, adapt to new technology, and accept innovation.