A variable car insurance system according to driving data is struggling to establish itself in France. With a box built into the car, “pay as you drive” faces many restrictions on a legal and cultural level.
Some insurance companies launched the “pay while you drive” formula before backtracking.
Having arrived in France several years ago, insurance with usage-adjusted coverage is still struggling to develop. In fact, the “pay while driving” formula, which works by installing a box that records driving data, did not have the desired effect with the French.
“Feeling that you are being watched to earn five euros a month doesn’t work‘, he explains Christophe Dandoa, president of the new Leocare Insurance Company. to the customer,”The game is not worth itThe savings generated are too low to justify installing a tracking device that will send speed, distance traveled and driving style to the insurance company.
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Some players such as Groupama developed this formula before backtracking. This is not the case for Direct Assurance, which has been offering the “Youdrive” offer since 2015. A formula that goes so far as to take into account the quality of the driver’s deflection to adjust their premiums from month to month. “The accident rate for Youdrive customers is much lower, around -15%Direct Insurance Marketing Director offers, Emmanuel Wehrey nearFrance Press agency. The device encourages driving, he said.Better, quieter and less“.
This type of equation still faces various obstacles. Among these regulationsVery strict on data usage“As AXA France points out. The group does not see itself, as it is, making a show”liquid and satisfying“For the customer. The leading French insurance company, which is also the parent company of Direct Assurance, joined forces with car manufacturer Stellantis in December to offer this type of product.
On the US side, Tesla has been testing its insurance policy for less than a year in nine states of the country. Thanks to the data collected by the car directly,degree of safety“It is calculated and determines the next month’s premium.
“You will pay monthly payments based on your driving behavior rather than the traditional factors like credit, age, gender, claims history and driving history used by other insurance providers‘, proud of your companyElon Musk.
If it is struggling to develop in France, the concept “It might make sense for young drivers”, admits Christophe Dandoa. The latter has no driving history, they pay the full price by default. And the performances only develop an additional component, never a penalty. (With France Press agency)