Allianz’s Bennett Joins Drivestyle Insure Holdings As Ceo

AndrewBennett

Andrew Bennett, previously Broker Sales Manager with Allianz, has joined car insurance telematics pioneer DriveStyle Insure Holdings as Chief Executive – and says the scale and impact of the pay-as-you-drive opportunity is way deeper than much of the market appreciates.

Andrew led the Allianz team working with DriveStyle Insure on the 18-month development of the Coverbox DriveStyle pay-as-you-drive/pay-how-you-drive (PAYD/PHYD) behavioural insurance products.

Coverbox is a simplified pay-as-you-drive motor insurance product, DriveStyle a more sophisticated product which brings into account driving behaviour.

“PAYD and PHYD insurance products are not simply a different way of delivering cheaper premiums for customers. Some traditional car insurance products may become outdated as propositions like ours use technology to provide value for money, or, crucially, help make significant savings on defending or supporting claims,”

said Andrew Bennett.

“There is a big education job to be done on telematics into the insurance industry – much of which in all innocence doesn’t know what it doesn’t know – the government, which perhaps doesn’t have a complete picture of the potential for saving the country money, and to the consumer, the vast majority of whom have no appreciation of how telematics could genuinely cut their costs.”

Andrew joins DriveStyle Insure Limited with nearly 25 years motor insurance industry experience under his belt, including Insure the Box, RBS/Direct Line and BGL – and was a member of the Insure the Box start-up team.

“Telematics will bring claims costs down, consequently bring down the cost of overheads to the insurance industry, will mean a cut in insurance costs and premiums to consumers, ultimately have a much broader and deeper economic impact, and is likely to significantly impact crime and insurance fraud,”

said Andrew.

“The market will also now start to open up – telematics works not just for young drivers, but for any driver.

The challenge is provoking the consumer pendulum to swing – but the issue could well be addressing it when it happens: many will remember how SMS and texting suddenly took off, and the telecoms networks weren’t ready for it.

“Telematics-based insurance may well take the same course, but the least-prepared insurers will find their customers dropping off in droves because they don’t have a PAYD/PHYD product to offer them.

“Part of what DriveStyle Insure Limited has built into its development and delivery programme is the capability of providing robust and thought-through affinity products which can be switched on very quickly for those insurers who recognise the need, and want to outsource.

“To address this likely growth in demand, we’re currently re-invigorating the Coverbox panel product – but there will be far, far more happening not just at DriveStyle Insure, but throughout the motor insurance sector as a consequence of the growth in acceptance, and then demand for, telematics-based insurance products.”

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Car Insurance First: See Real Cost Of Every Journey Instantly

Coverbox DriveStyle customers are the first drivers in the UK to discover the cost of their pay-as-you-drive car insurance as it happens.

Policy holders – who are the only UK drivers who also don’t pay the whole of their premium up-front – can log in to their personal dashboards and get the price of their car usage in terms of insurance immediately after every journey.

“We are the first insurer to allow drivers to see how they are being charged, and to have an immediate understanding about how they can change their driving style or habits to save money, rather than to wait until the end of the month – and, let’s face it, how many of us can remember a journey we made as long ago as 31 days earlier?”

said Mariane van der Merwe of Coverbox DriveStyle.

“In just about every other aspect of our lives we can influence the costs we incur – you turn the heating down, you pay less; you switch the lights off, you pay less; you buy talk time on your phone as you use it – so why not influence the price of your car insurance, and, what’s more, pay only when you burn up miles in the same way as you burn up, for instance, energy at home?”

Dashboard explained, here: https://www.drivestyle.co.uk/dashboard_explained.php

Once a Coverbox DriveStyle policy is taken out, and after drivers have bought their initial minimum of 5,000 miles of cover, they then buy bundles of 500 miles of insurance cover as and when they need them instead of buying insurance for the year in advance, with technology allowing them to influence the price of those 500-mile bundles by rewarding good driving with cheaper insurance payments.

“New customers taking out a policy with DriveStyle will need to estimate their annual mileage – and they really do need to underestimate rather than overestimate so they pay the absolute minimum – and initially pay for half the miles they believe they’ll cover, providing it is a minimum of 5,000 miles: these are the ‘Guaranteed Miles’. After that, and they’ve used up those miles, they then buy TopUp-Miles as they need them,”

said Mariane.

“We’ll fit a ‘POD’ – premium optimisation device – to their car, which enables driving style and habits to be downloaded to their own personal PC dashboard, which in turns allows drivers to see how they can cut costs by changing their driving habits. “

This is also likely to lead to them driving both more economically and more safely, resulting in a lower risk of making a claim, so getting increasingly cheaper TopUp-Mile – and they may well change how, when and where they drive – bundling several journeys into one for additional savings.”

How it works: https://www.drivestyle.co.uk/how_drivestyle_works.php

Coverbox Drivestyle Pay-How-You-Drive Car Insurance

Allianz to be exclusive underwriter of new “pay-how-you-drive” insurance product from Coverbox DriveStyle.

Insurance broker DriveStyle Insure Limited is to launch Coverbox DriveStyle, a new proposition that recognises individuals’ driving behaviour to give customers a more personalised price. Allianz will be the exclusive underwriter for this product.

In the first year, the insurance premium will be based on the annual mileage the customer believes they will drive. For the duration of the policy, customers can visit a website where they can view their driving history, and see tips to help them drive more safely. They will be able to see their own personalised insurance cost-per-mile calculation and see what actions they can take to reduce their risk and future premiums.

The proposition was developed based on feedback from consumers who felt that their premiums were being adversely affected by the mistakes of other drivers. Customers told us that they wanted flexibility and did not want to be constrained by curfews or limited miles. With Coverbox DriveStyle there are no restrictions on driving times and customers are able to increase the number of miles they are covered for during the term of the policy should their needs change.

Johan van der Merwe of Coverbox DriveStyle said:

“No one wants to have an accident, and Coverbox DriveStyle is unique because it allows customers to work collaboratively with their insurer to reduce risk. It’s better for their safety and better for their pocket. The benefit for the insurer will be the ability to reduce claims costs and assist customers more quickly if an accident does occur.”

Simon Brimicombe, Director Retail Broker and Corporate Partner in Allianz, said:

“We are delighted to work with DriveStyle Insure Limited to support this initiative which encourages safer driving. We believe pay-per-use policies are a fair and transparent way of calculating premiums. Our aim is to ensure that we are making the best use of the technology that is available in the market to ensure that we are in a position to provide solutions which meet our customer needs.”

Customers will be able to obtain a quote from www.drivestyle.co.uk.