SAS and Octo Telematics have entered into an agreement to provide policyholders and insurance providers with business insight using telematics data.
The wide ranging agreement is looking to exploit technology with joint R&D to create algorithms and services with a common go-to-market strategy aimed at selected insurance companies.
Changes in the insurance market has led companies to assess the potential for usage-based insurance, already in Europe and North America, UBI has tripled between 2010 and 2013, with telematics-based car insurance in the UK rising by 60% since June 2012.
Through this joint agreement, Octo Telematics and SAS hope to create the acceptance rate of telematics into the insurance market, by creating and proving business value to insurers and consumers.
Marco Icardi, Managing Director for SAS Italy, said: "Pairing leading-edge analytics and industry innovations from SAS with Octo’s telematics technology, data and global leadership is the first step in our vision of leading the insurance telematics revolution with a robust platform."
It is hoped that the system will help insurers to gain better consumer insight, improve CRM, generate more accurate pricing and have a more predictable risk base. For consumers the benefits are likely to be improved individualised pricing, additional value-added services, better prices and potentially improved safety.
Fabio Sbianchi, CEO of Octo Telematics, said: "To date, Octo’s success has been built on the capability to understand the needs of insurance companies and consumers. This means conceiving, designing and implementing services that are able to: reward good driving behavior, improve the claims management process efficiency, reconstruct accident dynamic and accelerate the claims indemnification process."
"The agreement with SAS is a fundamental acceleration for Octo strategy; together with SAS we will build a unique platform to serve as a market benchmark for leading insurers and global carmakers."
