Insurance technology startup True Mileage is to begin pilot testing an NFC-enabled vehicle tracking device that “can save providers up to 50% over the cost of other usage-based devices in the industry”.
Drivers install the True Mileage tracker by plugging it into their vehicle’s on-board diagnostics port. They then tap their NFC phone to the device every few months, on request, to download the data collected by the tracker.
“We use your most recent mileage summary data to determine the discount your insurance company will apply at renewal,” the company says. “The lower your mileage, especially at night, and hard braking, the more you will save.”
As well as offering the potential for insurers to reduce the cost of administering usage-based policies, True Mileage also offers greater driver privacy, the company says.
“Our program allows for greater adoption by the end-user — the policyholder — since they do not require location triangulation (GPS tracking) or transmit second-by-second speed data,” CEO Ryan Morrison explains.
“True Mileage already has requests from three of the top 10 US insurers to participate in the pilot program, with plans to follow up with larger pilots and implementations,” the startup adds.
A video produced by True Mileage shows how the service works.