While information derived from usage-based insurance telematics hasn’t fully been utilized in the claims process, the benefits that it can provide – consistency, efficiency, and accuracy – offer a way to reduce claims costs.
Telematics is considered an accurate way to predict loss costs for insurers in Britain already. They have been implementing telematics information as the first notice of loss. But how can telematics change the insurance future?
Outside of the U.S., every LexisNexis client using telematics data in its claims processing is experiencing significant savings. Should an accident happen, the information is transmitted back to LexisNexis. The information is then used as a first notice of loss (FNOL). A message alerts the carrier of the insured’s accident. The carrier can then reach out to the insured and send help to the scene.
The insurer can also expedite repairs! They can send a tow truck and a rental car to the scene! The telematics send the information of the crash, such as the date, time, speed of the car, weather, location, etc. to the insurer so that the claims can be processed immediately!
In a small crash, such as a parking lot crash, there are usually no police involved and it’s word against word. Telematics can step in to determine if the hit car was stopped or reversing. In many cases, the information on the car can solve disputes which clears up the claim process significantly.
The future is bright with telematics technology, and from these few incidents alone, we have a lot to look forward to! Luckily, you can have your insurer determine the best auto insurance policy, coverage, and rate to suit your needs and budget until then! Contact Agers Insurance Services, serving Oakley, California!