Ford Motor Co. in Dearborn is partnering with an insurance carrier to provide connected vehicle owners with personalized and more affordable car insurance.
The deal with San Francisco’s Metromile provides an insurance policy based on real-time sensor readings and artificial intelligence that can save eligible Ford owners an average of $741 per year, according to a recent Metromile survey.
Owners of eligible Ford vehicles with built-in connectivity will be able to opt in and connect their vehicle to Metromile. The insurance company will then count any miles driven directly from the vehicle’s odometer without any additional equipment. Metromile customers who don’t currently have factory-fitted connectivity in their vehicle, use a wireless Pulse device plugged into their vehicle’s onboard diagnostic port.
“Connected vehicles have the potential to deliver great benefits to Ford customers, including the ability to help lower their insurance premiums,” says Alex Purdy, director of business operations, enterprise connectivity at Ford. “Metromile’s approach to insurance is an excellent example of how connected vehicles can help people save money by simply paying for only what they use. This is another way Ford’s latest connected vehicles are improving the ownership experience for our customers.”
The agreement is Metromile’s first with a major manufacturer, and Ford models are the most popular domestic make among Metromile customers. Since its launch in 2012, Metromile has used telematics and sensor-based pricing on more than 3 billion miles of driving.
“Working with Ford is a big step forward in our goal to becoming the first truly connected insurer,” says Dan Preston, CEO of Metromile. “When drivers connect their vehicles directly to their insurance, they will have more opportunities for convenience, customization, and savings. Together with Ford, we are now at the forefront of making that a reality.”
According to a recent Metromile survey, eligible Ford owners can save an average of $741 a year because they pay per mile.
Metromile customers also benefit from the insurance company’s claims assistant, AVA, which uses artificial intelligence to verify claims within seconds and guide drivers through filing a claim, including collecting damage photos, finding repair shops, or scheduling a rental car when relevant.
According to the company, Metromile can resolve and pay claims faster because it can reconstruct the scene of an accident as a “virtual witness,” helping to remove ambiguity from car accidents, disputes, or liability concerns.
Metromile customers also can use Metromile’s app, which includes free smart-driving features to enhance their driving experience. Drivers can avoid parking fines with street-sweeping alerts in select cities and find their lost or stolen car. Metromile boasts a 92 percent stolen car return rate.
“We are impressed with Ford’s commitment to innovation and its role in shaping the future of mobility,” says Paw Andersen, chief technology officer at Metromile. “Our agreement is particularly timely, as people drive less and look for ways to save money during the COVID-19 pandemic. Moving forward, we expect additional telematics from connected vehicles to create a better experience for customers and resolve complex or difficult to prove claims such as hit-and-run accidents.”
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