Edelweiss General Insurance (EGI), India’s first cloud native insurer, announced the launch of an innovative, app-based Motor OD floater policy – Edelweiss SWITCH. This driver-based motor insurance policy, launched under IRDAI’s Regulatory Sandbox, allows vehicle owners to SWITCH their motor insurance ON and OFF, based on usage and covers multiple vehicles under a single policy.
What differentiates Edelweiss SWITCH from other Motor OD policies, is that it is driver-based insurance, where the insurance is calculated on the age and experience of the driver. Edelweiss SWITCH uses a pay-as-you-use model that allows the customer to pay the premium only on the days they use the vehicle, offering significant cost savings and convenience. Customers can use the app to SWITCH their policy cover ‘ON’ and ‘OFF’, depending on whether they are driving that day. Also, while the policy covers accidental damage when it is switched on, vehicles will be covered 24/7/365 against fire and theft, even if the policy is switched off at that time, since these incidents can happen even if the vehicle is not being driven.
IRDAI’s Sandbox platform is a welcome and progressive move, to encourage creation of innovative solutions for customers. Under this, nine GI players were given approval for products under the “Pay as you use” model. Of these, only three players, including Edelweiss General Insurance, have been given an approval for motor floater products. The “Pay as you use” model is expected to change the erstwhile industry standard of determining premium for Motor OD (by age, make and model of the vehicle), to premiums based on usage and driving experience.
TATA AIG General Insurance Company Limited launched an innovative telematics-based next-gen application and device ‘AutoSafe’ today. The app helps policyholders to save on premiums by selecting the kilometers driven, promotes safe driving, works as anti-theft device as it comes with a GPS-based tracking facility. Available on all policies offering personal accidental cover to the tune of Rs. 15 lakhs for owner and driver, this app also tracks distance traveled by the vehicle, live speed and other driving pattern parameters and offers bonus kilometers for good driving behavior at the time of the renewal, thus, promoting safe driving habits.
The usage-based insurance (UBI) private car policy for car owners, launched under the IRDAI’s Regulatory Sandbox, is personalized, affordable and offers a customized solution towards your driving profile. This policy includes other value-added propositions like depreciation reimbursement, daily allowance, no claim bonus protection cover etc.
Policyholders will benefit from the policy’s flexible kilometer-based package that enables savings on premiums compared to conventional policies. Policyholders can choose between 2,500 kilometers, 5,000 kilometers, 7500 kilometers, 10,000 kilometers, 15,000 kilometers and 20,000 kilometers. Customers having exhausted all the kilometers within the policy period can buy additional kilometers by opting for the top-up kilometers option. They can choose between 500 kilometers, 1000 kilometers and 1500 kilometers, thus, helping savings on cost based on usage.
The ‘Auto Safe’ device is GPS-enabled and is linked to a mobile app that records all information, tracks the distance traveled and generates reports about vehicle health or driving patterns of the policyholder. This telematics device or app is fitted or linked to the car as the motor insurance policy becomes active and must be kept throughout the policy period. The information collected is evaluated over time and each driver cum policyholder is allocated points based on performance. Besides, this device contains motion sensor support and generates fuel-saving reports apart from monitoring aspects like hard braking, nighttime driving and acceleration. Also, this device guards against fuel slippage and dangerous driving habits.
