Research and Markets: Usage-based Insurance: A Market Assessment 2010 Edition Out Today

Research and Markets (http://www.researchandmarkets.com/research/6eb8d2/usagebased_insura) has announced the addition of the “Usage-based Insurance: A Market Assessment” report to their offering.

Introduction

The premise of UBI is that it identifies good drivers and influences behavior resulting in fewer or less severe accidents. Insurers charge these drivers lower premiums for improved claims experience. Insurers verify the driver’s behavior wirelessly from a telematics device in the vehicle supported by a robust set of IT solutions.

Features and benefits

Assessment of the UBI marketplace.

Identification of key UBI ecosystem participants.

Discussion of the major business models being used by insurers offering UBI.

Discussion of the drivers and inhibitors shaping the UBI marketplace.

Discussion of the technology and telecommunications requirements needed to implement and support UBI.

Highlights

UBI premium-setting is based on an individual driver’s behavior and represents a dramatic shift from insurers’ use of the law of large numbers. This fragmentation of the risk pool puts insurers on a path towards one-to-one customer interactions and provision of best-of-class customer service.

Your key questions answered

What is usage-based insurance?

Which insurance companies are offering UBI?

What are the opportunities for mobile operators in the UBI marketplace?

What are the opportunities for IT firms supporting insurers offering UBI?

What are the value propositions and major objectives of key UBI ecosystem players?

Key Topics Covered:

SUMMARY

THE UBI LANDSCAPE IS AN ECOSYSTEM OF MANY INDUSTRIES

UBI is a dramatic shift from traditional automobile insurance

The UBI marketplace encompasses a diverse ecosystem of industries

FINDING THE RIGHT GO-TO-MARKET STRATEGY IS CRUCIAL

A variety of insurer business models exist, each with its own implications for UBI providers

Prepaid UBI models let customers buy blocks of miles

Mileage/odometer-based UBI models are relatively inexpensive

Behavior-based UBI models provide insurers with the most desirable information

Location-based UBI models are desirable, but also controversial

Device-based plus VAS models create revenue opportunities

Insurers must balance the benefits of key rating factors with the cost of collecting them

The UBI space is characterized almost entirely by market potential

There are three major operational platforms in the UBI ecosystem

Customer trust platforms can help insurers save on UBI operational costs

Partner platforms support a variety of UBI business models

Ownership platforms give insurers VAS positioning strength

There are several market positioning paths available to insurers

DRIVERS AND INHIBITORS SHAPE THE UBI SPACE

A host of market drivers could make UBI a reality

Inhibitors slowing UBI adoption are centered around cultural inertia and insurer uncertainty

UBI participants must manage a wide range of regulations

TECHNOLOGY PLAYS A KEY ROLE IN THE UBI SPACE

Technology underpins entire process

Wireless communications is critical to UBI

UBI platforms require equipment, connectivity, and applications

Mobile operators need device platform partners for UBI

Wireless access and device costs must come down

RECOMMENDATIONS

APPENDIX

For more information visit http://www.researchandmarkets.com/research/6eb8d2/usagebased_insura

Source: Ovum