Car Insurance eco-circle will be overturned by the network of cars?

"Car networking will subvert the entire insurance ecosystem. "It is because of this belief, so driven by Qiang (alias) resolutely waved the large insurance company motor Vehicle Insurance Department actuarial supervisor of the position, and the creation of a network of vehicles, the company is designed for insurance companies to design and develop internet-based car insurance innovation products.

Because in his serious, car networking is rapidly changing the pricing system of auto insurance products--in the past, the insurance pricing is mainly by the actuarial consulting company to assist insurance companies based on the insured amount, models to estimate; however, in the era of car networking, auto pricing will be able to achieve "people-oriented", That is, the owner's driving habits and mileage as the benchmark for insurance pricing.

A car owner with a good driving habit may only pay 20% to 30% of the existing insurance premium, whereas it is likely to pay 3-4 times the existing premium.

The impact of car networking on the insurance pricing system will not be ignored by insurance companies.

Reporters have learned that, PICC insurance, PICC, Ping ' an and Pacific insurance and other companies are in different ways to research and development based on car-connected vehicle insurance products.

An insurance company executive pointed out that with the market reform of auto insurance rates further clear, insurance companies to reduce the rate at the same time to expand claims liability, with the help of car network to carry out insurance product innovation, is undoubtedly a new way for insurers to seek differentiated competition.

In the case of PICC, it has completed a comprehensive solution to the network-related insurance, including technology selection, analysis modeling, business model and operation framework, and the formation of two modules for business vehicles and home use vehicles. In the future, PICC also plans to select 5 cities nationwide to test the customers, comprehensively observe, evaluate and verify the operability of the technology and business programs, especially the owner's acceptance degree.

At the same time, including (progressive ping) has become a benchmark. The insurance company collects a large number of vehicle owner's driving data through the network OBD technology, carries on the model verification to the vehicle owner's individual driving behavior, and gives more premium discount to the car owner with good driving habits.

Forward insurance Company's Test water success, attract more domestic insurance companies have to follow.

The above mentioned insurance company executives Blunt, from the car networking technology layout, insurance companies mainly to solve two problems, one is binding technology, that is, OBD, UBI equipment and insurance vehicles, the rigidity of the link to prevent vehicle owners looking for other vehicles to replace, leading to fraud insurance and other moral hazard; That is, the insurance company must always master the driver's driving data for timely adjustment of the pricing rate reference.

The success of US advance insurance has its own specificity, with the insurer owning more than hundreds of thousands of U.S. car driver data and mileage. However, the domestic insurance companies to test water tanker Network Insurance of a large short board, it is precisely the lack of sufficient comprehensive vehicle driving data.

This has also made Internet companies "an opportunity". In addition to Teng Xun launched car networking products Teng Xun road treasure, China's third party auto insurance web site car security recently also launched based on vehicle networking and large data car safety smart box-Chebao.

Qiang bluntly, a major source of revenue for these networked products was the transmission of large numbers of vehicle driver data to insurance companies for the development of differentiated pricing insurance products for insurance companies to charge a certain amount of service; But when internet companies accumulate enough drivers to drive data, They have the ability to independently research and design personalized insurance products, the first through the insurance company to complete the product registration record, and then through the Internet platform sales, which can make more lucrative gains.

But whether the data is fully effective becomes the key to success or failure of the network insurance products. Because the vehicle insurance network technology application time is not long, really add ubi or OBD equipment, the number of owners is not large enough, may lead to the corresponding driver data in the collection and analysis process deviation, and then affect the car insurance companies on the vehicle network pricing accuracy, the ultimate insurance company itself had to "low premiums, high claims" pay.

In Qiang's view, the prerequisite for the rise of car networking insurance is that the car manufacturers install the car network UBI or OBD equipment at the factory, help the insurance company to collect the driving record data of all the vehicle owners, establish a more comprehensive and accurate model of car driver style evaluation, and make the pricing of insurance products more accurate and reasonable.

But in the era of car networking, waiting for time means losing opportunities. Qiang bluntly, he is trying to use a new car network business model, in the subversion of the original insurance pricing system at the same time, further deconstruct the existing business structure of insurance companies, for their own greater development space.

Car insurance business Structure "was deconstruction"?

Qiang is trying to reverse the existing pricing model for car-networking insurance.

"Most car networking insurance research and development model is to collect data before the formulation of product terms and differential pricing, but what I want to do is to finalize the profit margin of the insurance company to operate the vehicle network insurance by the actuarial model, and then combine the driver style to evaluate the data and the product service demand, design the personalized car network insurance product online sale. "he said.

Implement to the specific product model, that is, each owner will be fitted with a taxi-meter-like car networking equipment, this meter shows the amount is the car owners need to pay the insurance premiums, and the method of calculation of premiums, is the combination of driving mileage, driving style, driving process of various moves and other factors, Measured by a large data analysis model.

He did not disclose that the large data analysis model would track the driver's driving behavior on the basis of trade secrets, but he bluntly said that the benefits of this mode of operation are to ensure that insurance companies in the car network insurance yield, to avoid the error of data acquisition analysis and set the wrong product pricing, resulting in operating losses.

This also means that the insurance company's product pricing and underwriting work, has been through the "meter" independently completed, the future of the business structure of car insurance can be more simplified, or even peel off the insurance pricing actuarial and underwriting, just retain claims, customer service, product design and other related departments. But that may be a drag on the company's existing framework.

"Some European and American insurers have considered similar models of insurance business, but they are not allowed to do so by local law." Qiang, for example. For example, the insurance company can collect each owner's driving process by OBD the length and frequency of the call time, as a vehicle network insurance through some data model independent pricing an important reference. However, this practice has violated some privacy information protection laws.

While China's collection of such information has not yet been rigorously restrictive, some of the ways in which it can access large numbers must also face resistance from some consumers.

But for the insurance company, they are facing the difficult choice of the car network insurance business model, it is to cooperate with the external organization to build the vehicle network operation platform, or to host the platform to the external organization operation, or simply to build the platform.

One of the insurance company's insurance directors, Chen, regardless of the model adopted, the first thing an insurer needs to clarify is a business paradox that the car insurance companies are about to face, namely, that the sales department is eager to further lower policy pricing for them, and to gain greater market share and business income, And the Wind control claims department that the car network insurance pricing should not be too low, at least need to cover the moral hazard of fraud insurance and other costs incurred by the additional claims.

"In fact, this is similar to the operating problems faced by the market reform of car insurance rates, on the one hand, the insurance rate is further reduced, on the other hand the insurer needs to expand the responsibility for claims, the conflict between the departments will be more obvious." "he said.

Qiang on the profit forecast of the operation mode of vehicle interconnection insurance--under the premise that the car network insurance obtains certain sale scale, the insurance company can improve the underwriting profit margin by simplifying or stripping the pricing, underwriting and other business processes.

Currently, he says he is working with a large insurer to develop the chariot network insurance business model. However, the implementation of this mode of operation still requires regulatory approval. Especially when the car networking is transforming standardized insurance products into personalized products, whether these products can be audited through the filing, often depends on the advice of the regulatory authorities.

After all, car-networking insurance is no longer a simple technology application, but the change of the business model, may need the supervisory department to do "the top design" first, establishes the new regulation standard in the business model determination, the technology choice and the standard establishment and so on, promotes the vehicle networking insurance and the insurance company business innovation to form the benign interaction, Promote the process of market reform of auto insurance rate.

In fact, the CIRC has encouraged the innovation of insurance products based on the Internet. "The insurance director said to the 21st century Economic report. (Edit Zhao)