Data Driven Insurance … by Ford

The newsletter’s editorial focused on Ford’s 25 mobility projects, announced by CEO Mark Fields.  One of these projects relates to insurance. Fields asked the CES audience to consider what it would be like to own “a database of [their] driving behaviour for all of the years since [they] got their driver’s license”. He continued: “what if this driver score passport could go with you from car to car, no matter the brand? Imagine that you could share that data with insurance companies to get better rates”.

For this particular project, that will take place in London, Ford will collect driver data from a large fleet and assess how they “could use driver profiles to personalize insurance rates”.

It looks like insurance is also part of the “mobility services” that Ford is considering as it repositions itself from an auto manufacturer to something more as it branches into related areas.

We know that in the US, Ford is working with State Farm in a number of areas. In May 2012, we learned that the two companies “teamed up to track drivers for cheaper insurance rates”. At the end of 2013, Ford announced that it was working with State Farm and the University of Michigan on autonomous vehicle research.

If the experimental project in London meets the company’s expectations, how long before it is introduced into the US? Will State Farm be involved in such work in the US or will Ford, in an attempt to expand its mobility services forward integrate into the insurance space? In a world of shared driverless vehicles, could Ford be considering self-insuring or providing mobility insurance to the customers it will have a relationship with?

 

Photo credit : Dmitry Kalinovsky – Shutterstock

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