Deutsche Telekom and DriveFactor Offer Insurers Complete M2M Solution for
Usage-based Insurance (UBI)
BONN, Germany, May 7, 2013
BONN, Germany, May 7, 2013 /PRNewswire/ --
*M2M solution enables insurers to roll-out reward programs for safe drivers
*Do-it-yourself device installation by insured persons accelerates time to
Deutsche Telekom and DriveFactor are presenting on May 7 and 8 at the European
Insurance Telematics Conference in London a complete usage-based insurance
(UBI) solution that enables motor insurers to offer their customers special
benefits for driving safely. The offer is based on a machine-to-machine (M2M)
solution that evaluates driving behavior.
For the insurer it is a turnkey solution-from the tracking module and SIM card
for the insured person's vehicle to the platform services and statistical
evaluation of driving data. The UBI or pay-as-you drive (PAYD) insurance
concept is equally attractive for insurers and their customers. Insured
persons benefit from reduction in the premium paid in return for taking part
in the program. Insurers can automate processes such as first notification of
loss on the basis of the M2M solution and thereby respond faster to insurance
claims. Furthermore, the turnkey solution is provided at a fixed monthly rate.
"Jointly with our partner DriveFactor we offer insurers a complete
single-source UBI service-from the hardware to integrating evaluated driving
data into their IT systems," says Jürgen Hase, Head of Deutsche Telekom's M2M
DriveFactor was shortlisted twice for this year's Telematics Update Awards: as
a 2012/13 Industry Newcomer and in the Best Insurance Telematics Product or
Service Launch category. "In cooperation with Deutsche Telekom we can equip
insurers around the world with our telematics technology," says DriveFactor's
CEO, Steve McKay. "We specialize in usage based insurance programs which are
easy to implement and consumer oriented."
The ease of deployment of the self-installed devices and smartphone apps
developed by DriveFactor accelerates the product's time to market. Motorists
can fix a device, compatible with most cars manufactured since 1996 in North
America and 2001 in Europe, to their car's 16-pin OBD-II diagnostic connector
themselves. With the aid of several sensors and a GPS receiver the device
recognizes, for example, how the car accelerates and brakes and takes bends or
curves. After the journey the device transmits the data it has collected to a
DriveFactor server via the cellular phone network. The server evaluates the
data and relays it to the insurer.
Customers can view their personal data and evaluation on web and mobile
portals. That makes individually reduced insurance premiums transparent and
comprehensible. They also receive feedback on their driving that motivates
them to drive safely.
To protect the customer's data DriveFactor relays vehicle information as per
the Terms and Conditions of the person's agreement with the Insurer. This is
typically information such as mileage, braking, acceleration, and time of day.
DriveFactor also relays a total driving score to the insurer which can be used
to calculate the savings earned by safer driving.
In Germany the market consists of an estimated 40 million vehicles, in Great
Britain of an estimated 25 million vehicle.
About Deutsche Telekom Deutsche Telekom is one of the world's leading
integrated telecommunications companies with more than 132 million mobile
customers, over 32 million fixed-network lines and 17 million broadband lines
(as of December 31, 2012). The Group provides products and services for the
fixed network, mobile communications, the Internet and IPTV for consumers, and
ICT solutions for business customers and corporate customers. Deutsche Telekom
is present in around 50 countries and has 230,000 employees worldwide. The
Group generated revenues of EUR 58.2 billion in the 2012 financial year - more
than half of it outside Germany (as of December 31, 2012).
Contact: Deutsche Telekom AG : Corporate Communications, Tel.:
+49-228-181-4949, E-Mail: email@example.com, Further information for the media
at: http://www.telekom.com/media and http://www.telekom.com/photos
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