AFRICA
customers drive or how distracted they tend to be whilst on the road . “ We price you based on traditional insurance parameters but we also measure how you drive and adjust your premium downwards if you are a good driver ,” describes Thomas .
Telematics may not be a new innovation for the South African market , but Liberty Short-Term Insurance is putting a new spin on the traditional model . First of all , unlike typical insurers which ask you to install a cumbersome physical device , Liberty ’ s solution is mobile-based . Additionally , the insurer has also scrapped the idea of daily monitoring in favour of shorter trips which build up an accurate profile of a customer . “ From the research we ’ ve conducted , we found that a customer ’ s average driving behaviour doesn ’ t deviate significantly throughout the year ,” says Thomas . “ Therefore , we can collect data from just 300km or 25 trips and understand who you are as a driver .” One other startling difference that Thomas underlines is the fact that many insurance companies offer loyalty or reward points following these tests which make it difficult for redemption . In contrast , Liberty offers a simple cash reduction on their premium . Once the Driving Test has been complet-
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