For auto insurance carriers, claims account for over 70% of net premiums written. Any reductions that insurers can make to claims costs are critical to improving their combined ratio. Telematics is uniquely suited to address all the major contributors to claims expenses and help insurers achieve sustainable cost reductions. This infographic explores the growing loss ratio challenge auto insurers face today, identifies the specific ways telematics reduces claims costs, and provides an example of the impact of telematics on an insurer’s combined ratio.
For a more in-depth exploration of how telematics impacts claims and a detailed explanation of the bottom-line impact of telematics, read our white paper Optimizing Claims Organizations’ Financial Outcomes through Telematics.