Verisk Launches Next-Generation DrivingDNA® Score to Support Usage-Based Insurance Innovation
June 23 2021 - 10:00AM
Verisk (Nasdaq:VRSK), a leading global data analytics provider, has
launched the next generation of its advanced telematics scoring
model: The DrivingDNA® Score. With an associated rating rule and
expansive state rollout plan already underway, the updated and
enhanced score can make usage-based insurance (UBI) market entry
and expansion easier with straightforward implementation and a
single API.
Enabled by the growth of the Verisk Data Exchange™ and its 260
billion miles of robust driving behavior data, the DrivingDNA
Score:
- Indicates a powerful separation between the best- and
worst-risk groups with a 12 times difference in expected
losses
- Can improve insurers’ risk segmentation 5.5 times above
traditional rating variables
- Gives insurers the ability to calculate precise,
percentile-based risk scores using as few as ten weeks of driving
data
- Provides multisource compatibility — including telemetry data
from connected cars, OBD-II hardware and mobile apps — while
retaining uniform performance
- Incorporates advanced analytics to adjust for seasonality
effects and, optionally, distracted driving
- Leverages advisory and government relations capabilities of
ISO, a Verisk business, for trusted, actuarially-justified,
state-level filings
“Consumer interest in auto insurance pricing that is more
reflective of individual driving risk is surging, so behavior-based
rating has become a strategic imperative for insurers,” said Joe
Wodark, general manager of Verisk’s IoT and telematics business.
“The pre-filed DrivingDNA Score makes it easy for our insurance
company customers to enter this exciting market with confidence,
grow their programs profitably, and deliver a compelling customer
experience.”
Insurers can use the DrivingDNA Score to deliver an enhanced UBI
purchase experience to over 8 million connected car drivers who
have consented to share their driving data with the Verisk Data
Exchange. When these eligible drivers begin a quote, their score
and personalized discounts can be calculated immediately at point
of sale, without the need for lengthy driving observation
periods.
A new Verisk Distracted Driving Score is also available as an
optional feature for insurers with mobile-based programs. This
score can adjust the DrivingDNA Score by measuring phone-handling
events that have been contextualized by the speeds at which they
occur.
The DrivingDNA Score is part of a robust portfolio of
point-of-sale solutions designed to aid insurers on their
telematics journeys. Multiple top-10 national insurers, as well as
regional carriers and InsurTechs, already rely on Verisk’s data,
scores and advanced analytics to support streamlined market entry
and ongoing program growth.
The DrivingDNA portfolio also includes DrivingDNA Data,
normalized driving behavior data attributes and mileage information
from drivers across multiple leading automakers, and access to
DrivingDNA Lab, a research and development environment where an
insurer can study the impact of Verisk’s score and telematics data
attributes on its existing portfolio.
“With insurers at different stages of UBI development, our
DrivingDNA suite of solutions have a proven track record of helping
insurers overcome common product development challenges, providing
access to data, and furthering their UBI strategies,” Wodark
said.
Verisk operates the Verisk Data Exchange, a leading Internet of
Things (IoT) and telematics platform that is helping personal and
commercial lines insurers to harness the power of data from the
connected world. The Exchange works with numerous automotive
manufacturers - including General Motors, Honda, Hyundai, and Ford
– and applies advanced analytics and artificial intelligence to
generate insights that enable superior decision-making across
the life cycle of insurers’ telematics programs.
About Verisk Verisk (Nasdaq:VRSK)
provides predictive analytics and decision support solutions to
customers in the insurance, energy and specialized markets, and
financial services industries. More than 70 percent of the FORTUNE
100 relies on the company’s advanced technologies to manage risks,
make better decisions and improve operating efficiency. The
company’s analytic solutions address insurance underwriting and
claims, fraud, regulatory compliance, natural resources,
catastrophes, economic forecasting, geopolitical risks, as well as
environmental, social and governance (ESG) matters. Celebrating its
50th anniversary, the company continues to make the world better,
safer and stronger, and fosters an inclusive and diverse culture
where all team members feel they belong. With more than 100 offices
in nearly 35 countries, Verisk consistently earns certification by
Great Place to Work. For more: Verisk.com, LinkedIn, Twitter,
Facebook, and YouTube.
Media Contact:Michelle
Pantinamichelle.pantina@verisk.com 551-500-7327
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