OLDWICK, N.J.--(BUSINESS WIRE)--In this episode of A.M. BestTV, insurers say the use of telematics devices that provide information on safe driving and potential discounts to the customer are gaining speed and winning over those who are suspicious and concerned about privacy. The device monitors habits such as speed and braking, which is then evaluated by the insurer to see if the driver is eligible to receive rewards, typically in the form of a premium discounts. According to executives at Allstate, Progressive and State Farm, the programs will not result in rate increases as a penalty for unsafe habits. Sarah Inciong, director of product operations at Allstate, said feedback to the customer in real time allows them to see immediately how they're driving, a valuable resource. Karen Bailo, business leader, agency distribution at Progressive, said a goal of their program is to make sure the safest drivers, which she said tend to subsidize the unsafe ones, receive the biggest discounts. In addition, while none of the programs at Allstate, Progressive and State Farm use GPS technology, Scott Bruns, technology director at State Farm, said location-based services could be useful in situations where a crime or accident has occurred. Click on http://www.ambest.com/v.asp?v=telematics1013 to view the video program.
People who appear in this episode include:
- Sarah Inciong, Director of Product Operations, Allstate Insurance Co.;
- Karen Bailo, Business Leader, Agency Distribution, Progressive;
- Scott Bruns, Technology Director, Property/Casualty Actuarial Department, State Farm;
- Rick Decker, Assistant Vice President, A.M. Best Co.;
- James Knight, Insurance Agent, Allstate; and
- Chester Krawcykowski, Allstate Drivewise customer.
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