ISO’s Applied Informatix unit is developing a data source for insurers that want to develop state-of-the-art underwriting and rating plans involving driving behavior or use analytics to differentiate their driving behavior programs.
According to Steven C. Craig, general manager of Applied Informatix, the new Driving Behavior Database for Modelers (DBDM) as the product will allow insurers to create their own telematics programs through the aggregation of telematics and insurance data.
“This groundbreaking program will define the relationship between losses, traditional policy information, and driving behavior,” said Craig. “The risk information that will be uncovered will provide insurers with a platform for improving existing products and developing new ones.”
ISO’s Driving Behavior Database for Modelers will be created by collecting risk-level telematics data transmitted from insurers’ covered vehicles and matching it with associated insurance data, including exposures, premiums, and losses.
As previously announced, ISO is equipping its own fleet with telematics devices and will include this data in the DBDM.
Companies can decide to receive only their own policyholder data, or they can join a group of companies choosing to anonymously share statistically selected samples of data so that each will have more information for modeling and other uses.
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