Swiss Re has purchased a global licence from Collision Management Systems (CMS) to embed the UK company’s software into its own telematics-based reinsurance proposition.
With the addition of CMS Crash Detection Software to its platform, Swiss Re can process vehicle data from any telematics system and deliver a crash alert to its insurance clients without having to deal with large volumes of alerts based on false-positive results.
Sebastiaan Bongers, head of products and technology at Swiss Re, explained: “We want to create a product that customers love and one that enriches the entire value chain of an insurer—from marketing appeal to underwriting to claims. Insurers can expect one of the most—if not the most—accurate solutions available on the market.”
“Accuracy goes from the product properly identifying risky driving manoeuvres to properly identifying an accident. Regarding the latter, insurers have experienced many false positives—telematics devices detecting accidents that did not happen in reality. With our partnership with CMS, we are able to provide a reliable crash alert to ensure the insurer can immediately act and help its customer in need.”
Bongers went on to say: “We noticed that insurers across the globe are interested in telematics as a means to turn around the recent trend of increasing number in motor claims. However, costs, lack of customer appeal, and doubts as to whether telematics factors are a good proxy for risk have hindered insurers seriously entering the market with telematics products.”
Swiss Re decided to offer white-label telematics solutions to its clients and launched a completely new internet of things and telematics platform in 2017.
Charles Smith, CEO of CMS, commented: “The crash filtering and data aggregation software licence taken by Swiss Re demonstrates the value and reach of our solution. We are proud that an established and well-regarded organisation such as Swiss Re is embedding us into the unique proposition being offered to their global customer base.”
“It’s now widely recognised, that early intervention following a vehicle accident saves significant operational and claims costs. Insurers are all striving to provide added excellence and cost benefit to their customer service, especially around First Notice of Loss (FNOL). Our crash detection solution enables this to be realised in an automated way.”