Applications and Benefits of Insurance Vehicle Telematics

Insurance Vehicle Telematics are used extensively in both commercial and personal use. It has proven to be a powerful and valuable tool to improve the efficiency within organizations and businesses.

Herewith find a brief reflection on the wide range of benefits and applications in use today:

  • GPS anti-theft systems reduce car theft: GPS tracking devices are now widely recognised and required by motor insurers on high-end car models.
  • Crash data reporting: Reports can provide insurers and vehicle owners with the necessary guidance to what caused an accident.
  • Fraud prevention: Vehicle telematics can assist in exposing attempted fraud and provide answers in the sudden disappearance of vehicles.
  • Improved risk management for commercial fleets: Information provided by state of the art vehicle telematics solutions provides insurance companies and their agents with the tools to reward fleet operators who maintain a high standard in traffic safety.
  • Research assistance: Floating car data can provide motor insurers with valuable statistical data about driving behaviour that can be used for fine-tuning their complex insurance models for premium calculation.
  • Creating incentives for high-risk drivers: Male drivers aged 18-25 pay premiums several times higher than older drivers because they are more frequently involved in accidents. By installing a telematics device they have a chance to save on insurance as they prove that they are more careful than the average.
  • Vehicle Tracking: Tracking of vehicles is done by way of monitoring the location, movements, status and behaviour of a vehicle or fleet of vehicles. This is achieved through a combination of a GPS (GNSS) receiver and an electronic device (usually comprising a GSM GPRS modem or SMS sender) installed in each vehicle, communicating with the user (dispatching, emergency or co-ordinating unit) and PC- or web-based software. The data are turned into information by management reporting tools in conjunction with a visual display on computerised mapping software.
  • Trailer tracking: The technology of tracking the movements and position of an articulated vehicle’s trailer unit, through the use of a location unit fitted to the trailer.
  • Cold storage freight:  Cold store freight trailers are increasingly incorporating telematics to gather time-series data on the temperature inside the cargo container, both to trigger alarms and record an audit trail for business purposes. An increasingly sophisticated array of sensors, many incorporating RFID technology, are being used to ensure that temperature throughout the cargo remains within food-safety parameters.
  • Fleet management: The management of a company’s vehicle fleet and can include functions such as vehicle financing, vehicle maintenance, vehicle telematics (tracking and diagnostics), driver management, fuel management and health & safety management.
  • Satellite navigation: The technology of using a GPS and electronic mapping tool to enable the driver of a vehicle to locate a position, then route plan and navigate a journey.
  • Wireless vehicle safety communications: This is telematics installed with the purpose of exchanging safety information, about such things as road hazards and the locations and speeds of vehicles etc.
  • Emergency warning system for vehicles: “Intelligent vehicles” are equipped with technology intended to accord (blend, or mesh) warning information with surrounding vehicles in the vicinity of travel, intra-vehicle, and infrastructure.

Applications and Benefits of Insurance Vehicle Telematics

Insurance Vehicle Telematics are used extensively in both commercial and personal use. It has proven to be a powerful and valuable tool to improve the efficiency within organizations and businesses.

Herewith find a brief reflection on the wide range of benefits and applications in use today:

  • GPS anti-theft systems reduce car theft: GPS tracking devices are now widely recognised and required by motor insurers on high-end car models.
  • Crash data reporting: Reports can provide insurers and vehicle owners with the necessary guidance to what caused an accident.
  • Fraud prevention: Vehicle telematics can assist in exposing attempted fraud and provide answers in the sudden disappearance of vehicles.
  • Improved risk management for commercial fleets: Information provided by state of the art vehicle telematics solutions provides insurance companies and their agents with the tools to reward fleet operators who maintain a high standard in traffic safety.
  • Research assistance: Floating car data can provide motor insurers with valuable statistical data about driving behaviour that can be used for fine-tuning their complex insurance models for premium calculation.
  • Creating incentives for high-risk drivers: Male drivers aged 18-25 pay premiums several times higher than older drivers because they are more frequently involved in accidents. By installing a telematics device they have a chance to save on insurance as they prove that they are more careful than the average.
  • Vehicle Tracking: Tracking of vehicles is done by way of monitoring the location, movements, status and behaviour of a vehicle or fleet of vehicles. This is achieved through a combination of a GPS (GNSS) receiver and an electronic device (usually comprising a GSM GPRS modem or SMS sender) installed in each vehicle, communicating with the user (dispatching, emergency or co-ordinating unit) and PC- or web-based software. The data are turned into information by management reporting tools in conjunction with a visual display on computerised mapping software.
  • Trailer tracking: The technology of tracking the movements and position of an articulated vehicle’s trailer unit, through the use of a location unit fitted to the trailer.
  • Cold storage freight:  Cold store freight trailers are increasingly incorporating telematics to gather time-series data on the temperature inside the cargo container, both to trigger alarms and record an audit trail for business purposes. An increasingly sophisticated array of sensors, many incorporating RFID technology, are being used to ensure that temperature throughout the cargo remains within food-safety parameters.
  • Fleet management: The management of a company’s vehicle fleet and can include functions such as vehicle financing, vehicle maintenance, vehicle telematics (tracking and diagnostics), driver management, fuel management and health & safety management.
  • Satellite navigation: The technology of using a GPS and electronic mapping tool to enable the driver of a vehicle to locate a position, then route plan and navigate a journey.
  • Wireless vehicle safety communications: This is telematics installed with the purpose of exchanging safety information, about such things as road hazards and the locations and speeds of vehicles etc.
  • Emergency warning system for vehicles: “Intelligent vehicles” are equipped with technology intended to accord (blend, or mesh) warning information with surrounding vehicles in the vicinity of travel, intra-vehicle, and infrastructure.