Usage Based Insurance

Measure driver usage & performance

Usage-Based Insurance is a form of auto insurance utilizing in-vehicle telematics to track driving distance and driver behavior, allowing insurers to align driving behavior with premium rates.

While traditional auto insurance methods use personal characteristics (age, gender, and marital status), vehicle type, vehicle use, previous claims, liability limits and deductibles to calculate premiums, UBI allows insurers to measure and track parameters such as distance driven, time of day, GPS location, acceleration rate, braking, cornering and air bag deployment, then assesses the data and to charge insurance premiums accordingly.

Linking insurance premiums to actual vehicle or fleet performance allows insurers to price premiums more accurately, increasing the affordability of insurance policies for lower-risk drivers, and giving consumers the ability to control their premium costs by motivating them to adopt safer driving habits and reduce distance driven. When trips are shorter and driving is safer there are fewer accidents,
less congestion and vehicle emissions.

Ituran’s UBI telematics technology allows insurers not only to use measurable, driver-based, data in order to personalize insurance premiums but to also create new products which promote and instill safer and better driving. Ituran’s 3D accelerating sensor –which is part of the traffic sensor installed in our tracking systems — enhances the performance of UBI by measuring driver behavior in real time and providing an analysis of each drivers’ driving habits.

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