Emerging driver-based rating factors are changing the competitive landscape in commercial auto insurance. These cost-effective, driver-centric data assets fit together to augment a carrier’s existing underwriting processes. Driver-based rating factors include life experience data, driver claims history, driver violation likelihood, alternatives to credit data and telematics.
Commercial auto doesn’t have to underperform or serve merely as a loss leader to other, more profitable lines. Individual, driver-based data can help carriers better understand the overall risk associated with a commercial fleet, facilitating better risk selection and pricing, lowering costs and improving profitability.