Perspective on UBI

UBI is a singular gateway to innovation in insurance. For industry participants contemplating UBI and its implications, it is all about preparedness. The introduction and adoption of UBI will mean:

  • Thinking differently about how the auto product is configured, priced, delivered and promoted
  • Revisiting and revising long-term strategies
  • Reshaping the regulatory framework
  • New levels of transparency
  • New levels of consumer engagement
  • Rethinking core assumptions about the nature of the product
  • Innovative value propositions incorporating additional consumer benefits
  • The potential to increase fairness and redistribute premium more equitably

UBI is not a novelty or a fad; it is a disruptive combination of enabling technology and changing consumer expectations that has precursors in multiple industries. The biggest impediment to successfully engaging with UBI and benefitting from it, is failing to prepare for its advent.