Consumer Interest for On-Demand Digital Insurance Provides Significant Opportunities for Insurers
WATERLOO, ON, July 17, 2017 /PRNewswire/ – Intelligent Mechatronic Systems (IMS), a leading connected car and insurance telematics solution provider, has been chosen by Amica Mutual Insurance Co., a top 25 automotive insurer in the United States, as its partner for an on-demand insurance telematics program. Amica’s upcoming program will be powered by IMS’ award-winning and industry-acclaimed DriveSync® connected car platform, and it will be made available to policyholders this summer.
The partnership comes at an opportune time for an on-demand digital auto insurance offering, benefiting from substantial growth in the telematics market and surging consumer interest for on-demand services. PTOLEMUS, an insurance strategy consulting firm, revealed in its May 2017 quarterly report that the UBI global market grew by 32 percent in 2016 to 14 million policies. More than half of those policies are based in North America, and up to one-third of all new auto policies are telematics-based.
Demand for telematics and digital insurance offerings is coupled with surging consumer interest in on-demand products and services. The Harvard Business Review has reported that the on-demand economy is attracting more than 22.4 million consumers annually – worth $57.6 billion in spending. Forward-looking organizations, such as Amica and IMS, are partnering to enable delivery of the unique value and benefits offered by on-demand digital insurance products to insurance consumers.
“We are excited to work with Amica to introduce an innovative take on telematics-based insurance with its upcoming on-demand program,” said Ben Dailey, Vice President, US Sales at IMS. “Top global insurers and businesses, such as Amica, are finding it’s easy to take advantage of IMS’ platform-based telematics capabilities. They can introduce flexible and innovative programs that deliver unique and engaging experiences demanded by policyholders, which also help better control claims ratios and costs for the insurer.”
“Amica and IMS share a common vision to be leaders in delivering the future of digital insurance and telematics-based offerings that provide policyholders the ability to choose new insurance products that meet their needs,” said Ben Mellino, Amica’s Assistant Vice President Sales and Client Services. “IMS’ industy expertise, quality of experience and thoroughness of their solutions has made for a rewarding partnership.”
Amica will provide an update on its consumer-facing program, first launched in Oregon, later this summer. For insurers, businesses and governments looking to understand how they can take