* This chart and data were pulled from the Usage-Based Auto Insurance Report by Insider Intelligence. Purchase the report here to get immediate access to the full analysis. |
Usage-based insurance (UBI) is personalizing the previously impersonal business of auto insurance. This business model enables insurers to charge customers per mile they're driving or based on their driving behavior, rather than demographic information.
The UBI market is expected to grow significantly over the next few years, driven by the coronavirus pandemic and advances in technology. There are three key categories of auto insurers in the UBI market that are personalizing policies for their users to boost satisfaction and offer relevant coverage to consumers and workers: |
| Insurtech platforms focused on gig economy workers. The UBI model is particularly relevant for gig economy workers, such as those driving for ride-sharing platforms like Uber or food delivery services like Deliveroo, as they don't require insurance coverage on a monthly or annual basis, but only when they're working. |
| Insurtech platforms focused on consumers. The biggest insurtech players in the US include Metromile and Root, which both operate as carriers, meaning they operate using their own insurance license. They own the whole value chain, including claims management and underwriting. |
| Incumbent insurers focused on consumers. A number of incumbents are also leveraging the opportunity of offering... |
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| This is just a preview of the information and insights you'll find in The Usage-Based Auto Insurance Report by Insider Intelligence. Purchase the report today for $495 to access the full analysis. |
