Connected Vehicles and Insurance: Geo-Spatial Analysis as a Critical Success Factor

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Boston, Mass. (Aug. 1, 2017)Strategy Meets Action (SMA) has released a new blog by Partner Mark Breading: “Connected Vehicles and Insurance: Geo-Spatial Analysis as a Critical Success Factor.”

The whole transportation sector is in for massive transformation. The way that people and goods will be moved from point A to point B in the future will be completely different. I am not (yet) talking about a Star Trek style transporter, although scientists have moved matter at the atomic level from one side of a room to another, so we may eventually get there.

The transformation I want to focus on is much closer. Consider the future that the young children of today may experience. They may never own a car, or understand what it means to hail a Taxi, or even rent a car. The next generation will find it odd that we used to put “gas” in our vehicles, and may think of driving a vehicle as something that you do in an amusement park. Imagine the future at Disneyworld, standing in a long line waiting for the new “1978 Camaro ride.”

When you consider the impact of telematics, electric vehicles, the sharing economy, autonomous vehicles, and new modes of transportation – like the Hyperloop or the fleet of drone taxis that Dubai plans to have in operation by 2020 – you start to see that these developments are not just science fiction. They are becoming science reality.

Collectively, these technologies and trends have the potential to dramatically reduce accidents, improve safety, and optimize vehicle usage, which are great benefits for society as a whole. For insurers, however, this is a mixed blessing. Insurers have always been some of the biggest proponents of technologies that improve the safety of vehicles. But the potential to dramatically reduce accidents also comes with the probability of dramatically reduced premiums – the bread and butter of many P&C insurance companies (for both personal auto and commercial fleets).

Click here to read the full blog.

About Strategy Meets Action

Strategy Meets Action is a strategic advisory firm offering consulting, advisory services, and research to help insurers bridge today’s business strategies, plans, and technology investments to the new world of digital transformation, emerging technologies, and InsurTech. SMA is an independent advisor to insurers and traditional and InsurTech solution providers, helping clients prepare for the unprecedented changes in our industry as it undergoes significant transformation. Learn more at www.strategymeetsaction.com.

SOURCE: Strategy Meets Action

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