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Old 23rd July 2014, 08:28   #16
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Default Re: Usage Based Insurance (UBI) - Will it work in India?

UBI is quite popular in the above countries as they offer a variety of Motor Insurance products. For eg a young college kid driving a car would buy a insurance which would cover any damages to his vehicle only when he is driving it. Now a friend of his wants that vehicle say for a weekend he would have to opt for a UBI. This helps keep the premiums on the lower side as if you opt for an Insurance where anyone driving with a valid license is covered, then the premiums would be much higher.


But in India a family of four would have one car and maybe three out of those four members would use the car, so a UBI would just not make sense. Just imagine you have to go buy groceries or maybe pickup someone from the airport and just for that you have to sit down and opt for a UBI.


Further, motor Insurance premiums are already on the lower side, with companies offering almost 40% discount on tariff rates and only a few years back has the Insurance Industry introduced the concept of zero depreciation policies.


So with third party claims rising every year and stiff competition I don't see this concept coming to India anytime soon. But if the business of hiring self drive cars picks up in India, then it would make sense for Insurance companies to introduce UBI.


P.S - I am an Insurance professional myself and have done motor insurance for 4 years out of the 10 years I have completed till date. So the above is my take from my experience over the years.
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Old 23rd July 2014, 11:51   #17
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Default Re: Usage Based Insurance (UBI) - Will it work in India?

Quote:
Originally Posted by tilt View Post

...Any data that is collected like this by a corporation can be stolen by malcontents and misused. Please do not tell me about HTTPS and 4096-bit encryption etc., there have been too many incidents of data being stolen from even reputed corporations and entities.
True. Not many people will be comfortable with data sharing. But then, isn't it pretty harmless? It will just help the end customer get a personalized plan. I'd rather have a tailored plan based on my needs rather than paying a flat rate.

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Originally Posted by tilt View Post
...Any data that is collected like this will surely be used to serve more ads and spam besides what I already get.
I firmly believe targetted ads are better than ads that are randomly pitched to you, just because you happen to be viewing or listening. But then, that is just my view.


Quote:
Originally Posted by SnS_12 View Post
...For eg a young college kid driving a car would buy a insurance which would cover any damages to his vehicle only when he is driving it. Now a friend of his wants that vehicle say for a weekend he would have to opt for a UBI. This helps keep the premiums on the lower side as if you opt for an Insurance where anyone driving with a valid license is covered, then the premiums would be much higher.
Precisely. I firmly believe, that the insurance premium needs to be based on who is driving rather than what is being driven.


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Originally Posted by SnS_12 View Post
P.S - I am an Insurance professional myself and have done motor insurance for 4 years out of the 10 years I have completed till date. So the above is my take from my experience over the years.
Good to have an expert opinion on the matter. Thanks!


Cheers!
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Old 25th July 2014, 12:00   #18
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Default Re: Usage Based Insurance (UBI) - Will it work in India?

Good topic Cartman!

Looking at all the benefits of UBI, I would say it would definitely work in India. Someone who drives sedately and takes care of the car would love to pay lesser premium. And rightly so. Where as the ones who simply abuse the car and drive thinking the road is a race track, should end up paying more! So if all the elements are taken care of, people would slowly start driving more sensibly and might as well maintain there cars.

Everything depends upon the cost of the device that would give all the data to the insurance companies. If it isn't too expensive, then it might work in India. But in case the device itself is costly, then there would be problems.

P.S. Wouldn't it be a good idea to include a poll in this thread?

Cheers
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Old 4th August 2014, 15:15   #19
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Default Re: Usage Based Insurance (UBI) - Will it work in India?

After some more digging, I came across this link. Apparently, PolicyBazaar claims to have launched usage based insurance already in India. Has anyone tried it out?

Link: http://www.thehindubusinessline.com/...cle4620053.ece


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Old 5th August 2014, 09:52   #20
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Default Re: Usage Based Insurance (UBI) - Will it work in India?

UBI might become a reality soon in india.

This is an agenda topic in the telematics Seminar to be help in Pune in a couple of weeks,

http://telematicswire.net/conf/2014/...tml#Exhibition
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Old 15th August 2014, 18:57   #21
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Default Black box insurance in India?

Came across this new type of insurance available abroad during a discussion earlier today.

This is a insurance where your car is tracked and monitored remotely. If you drive poorly or in any illegal manner, your insurance may end early. Or if you drive well, within speed limits, your insurance stretches further.

Further, in case of accident, the insurer knows about the location, speed and such telemetry right away, as well as can dispatch emergency services to your location promptly.

Some reference : http://www.moneysupermarket.com/car-...nsurance-work/

Is this available in India? Who are the providers right now?

For the global members : what had been your experience with this insurance in case you have had this?
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Old 16th August 2014, 18:42   #22
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Default Re: Black box insurance in India?

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Originally Posted by latentpotential View Post
Came across this new type of insurance available abroad during a discussion earlier today.

This is a insurance where your car is tracked and monitored remotely. If you drive poorly or in any illegal manner, your insurance may end early. Or if you drive well, within
Some reference : http://www.moneysupermarket.com/car-...nsurance-work/

Is this available in India? Who are the providers right now?


For the global members : what had been your experience with this insurance in case you have had this?

Most interesting indeed.

I shall follow this thread with interest.
I wonder if one can subscribe to such an insurance service in India at all.
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Old 16th August 2014, 19:21   #23
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Default Re: Black box insurance in India?

Had read about some thoughts by private insurers, this was a couple of years back. No further news on this.
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Old 16th August 2014, 20:17   #24
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Default Re: Black box insurance in India?

A Russian friend had once mentioned something in similar lines. But that was more like security agents rather than insurance agents. But if you have a deal with the security guys for your car, then you get considerable discount on the insurance part. This is as far as theft goes. Security team does tracking and monitoring of your car and even has stand-by teams to deploy immediately in case of theft or emergency which will be aided further by cops. I am not sure if any agency in India offers such security services, I mean other than just GPS tracking.
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