Insurance carriers are all racing to implement pay-as-you-drive insurance models to provide competitive differentiation and meet customer demand. These new models, commonly referred to as either usage-based auto insurance or UBI, use driving behavior data wirelessly transmitted from a telematics device installed in the vehicle to analyze driving patterns, encourage safe driving practices and reward customers with lower premiums for good driving behavior.
With the Axeda Machine Cloud and Axeda UBI Solution, leading system integrators, such as Modus, formerly Walsh Vision, are providing end-to-end, usage-based insurance solutions to insurance carriers. Esurance, one of the world's leading auto insurance carriers, chose Modus to craft and implement a comprehensive and cost-effective usage-based insurance program for its customers. Esurance and Modus use the Axeda Machine Cloud to collect data from the driver-installed device, monitor driver performance and set insurance policy rates based on data processed and delivered by Axeda. The solution enables them to track speeds, idling time, parking location, distances traveled, hard stops, and more. Drivers that participate in the usage-based insurance initiative can also review their activity in a web browser and visual dashboard.
Axeda’s UBI solution is a highly differentiated cloud-based service for connecting to remote OBDII devices and vehicles, managing the driving behavior data, integrating the data with enterprise systems, and developing new innovative “connected vehicle” applications. Below are the capabilities that set Axeda’s solution apart:
- A reference UBI solution and architecture for fast-time-to-market (see sample dashboard below)
- Device flexibility to enable the use of any OBDII device or a mix of devices within a single application. Devices are abstracted from the data management layer and application APIs
- A platform approach with web services and APIs that enable rapid development of new innovative applications and easy integration with other business systems
- A management console for easy provisioning, configuration, administration, SIM management, device management and vehicle monitoring
- A scalable solution proven to handle hundreds of thousands of devices
- A lower cost of ownership based on world-class cloud infrastructure and services
For rapid implementations, Axeda’s usage-based insurance solutions can use a hardware unit/device (data tracker and cellular modem) already certified and available via the Axeda Ready program. Available OBDII devices include Calamp, Danlaw, and Xirgo. Alternatively, insurance carriers can work with Axeda to rapidly certify and add new devices to the Axeda Ready device list.
Once the device is configured and provisioned, it collects data defined by the insurance carrier, such as speeds, idling time, parking location, and distances traveled and sends that data to the Axeda AnyDevice Service running in the Axeda Machine Cloud. This data is sent over a cellular network and can be stored and accessed securely in the Axeda cloud or delivered to the insurance carrier’s back office systems and connected vehicle applications.
Axeda also provides a rich set of APIs (Web Services) to enable insurance carriers to develop their own innovative “connected vehicle” applications, customer dashboards and mobile smart phone or tablet applications. Axeda can also provide data feed services to deliver the data into back-office systems and in-house data repositories.