In the latest move by motor insurers to use telematics,
AXA Insurance has teamed up with telco giant Singtel to launch a
device that is installed in cars to monitor driving behaviour.
Telematics — or the use of wireless telecommunications
technologies to transmit data — can help insurers to track
information related to a motorist’s driving style, including speed.
And a potential benefit for the motorist-client is that he or she
may get to pay lower premiums with the insurance company, if data
shows that he or she is a safe driver.
In the latest collaboration, AXA and Singtel are
offering a year of free car insurance worth S$5,000 to the safest
driver found. To qualify, drivers have to sign up to activate the
smart car device provided, drive at least 3,000km during a
stipulated period, and match up to a “driving score” computed on a
smartphone-based application (app).
There is a 24-month contract involved and drivers
taking part need a Singtel postpaid mobile plan and a new Singtel
MobileShare subscription, both companies said in their press
release on Tuesday (May 16). This is to work with the smart car
device and the cloud-based app subscription for 24 months.
Together, these technologies analyse driving patterns
through the vehicle’s on-board diagnostic port, where the device
will synchronise with the smart car app on the motorist’s
smartphone over Singtel’s mobile network.
Drivers get insights into their driving habits, such as
braking, acceleration and speed, which may also help them improve
on lowering fuel consumption or to troubleshoot potential engine
problems based on engine health information provided, such as
battery voltage and engine temperature.
Apart from these, they may also get alerts for speed
limits, their trip history, real-time location monitoring that
could help them find their car, or to schedule reminders on vehicle
maintenance.
This tie-up between Singtel and AXA comes on the back
of insurer AIG’s announcement early this month that it would be
offering motorists discounts on their insurance premiums if they
are assessed to be of low safety risk based on a 20-minute
questionnaire.
To gauge a motorist’s driving and reward the ones who
drive well, AIG teamed up with the AAS Academy, a subsidiary of the
Automobile Association of Singapore, on the questionnaire to test
drivers’ knowledge, concentration and observation, driving
attitudes, and hazard perception. Those who get a “low-risk” score
will get a 15-per-cent discount on vehicle insurance premium.
Earlier in March, AIG already launched a smart driving
app that grades a motorist’s driving each time he or she takes the
wheel, using telematics to measure indicators such as acceleration,
braking, cornering and speed. Safe drivers get up to 15 per cent
off their insurance premiums. With the online questionnaire, a
motorist could potentially get 30 per cent off on premiums.
Last year in October, NTUC Income also launched a
scheme giving discounts to good drivers. Motorists have to download
a free smartphone app that tracks their speed, manoeuvres, drive
time and mileage, and the data is used to compute a score. Those
who meet a high score and a minimum mileage can get savings on
their motor insurance premiums.
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