Insurance Industry
As a pioneer project in Iran, Arshin’s cooperation with Saman insurance in 2020 leads to presenting a new product called “pay as you drive” car’s body insurance to the customers of this company. The main ability that using Arshin’s telematics system bring to the insurance companies is the creation of customized packages based on each customer’s risk. In this industry, usually the insurance company receives the adjusted software and hardware from us and then, supplies them as a part of their product’s package to the end users.
Smart analysis of driving risk
Customers specified risk assessment is the most important challenge for the active companies of this field in the way of presenting varied package of insurance products. This is fairly logical that insurance services cost more for the riskier people and cost less for the safer ones. Such assessments and analysis are conducted in many countries based on basic inaccurate criteria like history of insurance payment or the living location of the owner. Arshin’s telematics system using Internet of Things (IoT) tools and Artificial Intelligence (AI) advanced analysis, enable the insurance companies to assess the drivers’ risk more accurately.
Risk model parameters
In this risk assessment model, in addition to accident history and home address, many other parameters take into account based on real data such as driving culture and habits, status and using frequency of routine routs, etc. For instance, in car movement analysis, the IoT devices report some parameters to the system such as overspeed, sudden acceleration, sudden brake, spiral movements, sudden twist, deviation of the straight road, etc. The combination of such parameters with the sensors observing the driver’s conditions such as drowsiness, cell phone talking, smoking, vital signs status, concentration on the straight road, seat belt status, etc. can be regarded as a valid and plausible data resource to analyze the habits and behavior of people while driving. Having such assessment tools, the insurer would be able to modify the insurance fee of each client based on their specified records.
Lucrative benefits for the low-risk ones
While using the telematics system help the insurance companies to detect the high-risk ones, it is more useful for the low-risk individuals to reduce their costs. With the notable augmentation of cars’ price in the recent years, the cost of car’s body insurance has become a very important challenge for the owners. This issue is of even more importance regarding the expensive and luxurious cars. Since those cars mostly remain in the parking and do not usually have daily use, yet their insurance costs a lot of money annually. With the telematics system installation and using the insurance package of “pay as you drive”, the owners of such cars can pay the insurance fee based on the kilometers they drive instead of annual timing. Therefore, using the benefits of car’s body insurance would cost less for the owner if they do not use the car every day.
Competitive advantage and social impact
Presenting such products can be regarded as an emerging and innovative competitive advantage for the insurance companies to gain a bigger market share in this competitive industry via offering special valuable packages. Also, in the long run, presenting such ideas may be considered as a part of the social responsibility of the insurance companies in improving the driving culture and habits of the society. Since when people know that their harmful behavior would cost them even if it does not trigger a damage, they have more willing to follow the driving standards and rules. Like many countries around the world, it can be expected in our country that a motivator like less cost of the insurance fee may lead to the correction of public driving culture without any need to judicial control fines or punishments.
