June 24, 2020—CCC is out with a press release on the benefits of telematics-backed insurance as a cure for fewer drivers and sales slumps amid COVID-19.
CCC says that usage-based insurance policies backed by telematics data are more profitable and offer longer customer retention. In turn, carriers might have a better foundation of risk assessment.
"Insurance carriers can better balance their risk portfolios using mileage and behavior data, both of which are more accurate risk predictors than demographic data," according to CCC. "And OEMs can drive value by leveraging connected car data to offer meaningful experiences for their customers."