Motor insurance providers must tune up data enrichment plans as cost-of-living crisis impacts vehicle ownership
LexisNexis® Vehicle Insights to Offer One-Stop Shop of Insights on the Car and Policyholder
Trends in car values, ownership duration, age and mileage are changing, not least due to the U.K.’s cost-of-living crisis. Understanding these changes is key to more fair and accurate insurance pricing as well as a smooth claims process for consumers. U.K. motor insurance providers can soon keep pace with the multiple risk factors associated with car insurance through the development and imminent launch of LexisNexis® Vehicle Insights from LexisNexis Risk Solutions, the data, advanced analytics and technology provider to the insurance market. Motor insurance providers in the U.K. are now being invited to test the new solution in readiness for a full launch in mid-2023.
LexisNexis Vehicle Insights is designed to be added and combined with the portfolio of unique, proprietary motor insurance solutions available from LexisNexis Risk Solutions, including LexisNexis® Policy Insights, a contributory database containing more than 95% of the motor insurance market policy information and LexisNexis® Vehicle Build, a VIN-level ADAS fitment solution. By combining Vehicle Insights and these market leading solutions, U.K. insurance providers can gain access to information that was previously unavailable, and which considers the individual, the insured vehicle and the true history of the vehicle – all in combination with a deeper understanding of the safety features available on the vehicle.
Vehicle Insights will be made available through the LexisNexis Risk Solutions single point of entry to enable insurance providers to utilise insights on the car and the driver/s at speed within their workflows from the point of quote through to a claim. The flexibility in ingestion of data can help insurance providers enhance their risk assessment process to deliver more personalised pricing, a better customer experience, improved customer retention and a streamlined claims experience while flagging the signs of fraud. LexisNexis Vehicle Insights is positioned to deliver key attributes around vehicle specification, usage and valuation features.
Used car values have increased for some models by 30% in a year but while values are rising, cars are getting older and research suggests motorists are scrimping on MOTs[iv] and servicing[v] to save money, changing the nature of risk for motor insurance providers. The Motor Ombudsman has revealed that 56% of U.K. car owners who do not have a service plan in place are considering either missing (33%) or delaying (23%) their vehicle’s annual service to save money due to the sharp rise in the cost of living.
Tom Lawrie-Fussey, director of automotive, LexisNexis Risk Solutions, Insurance, U.K. and Ireland, said: “The launch of LexisNexis Vehicle Insights will put key intelligence about the vehicle and the driver at the fingertips of insurance providers, to help them price more effectively, support the customer at claim and manage risk during the lifetime of the policy.
This is all part of our mission at LexisNexis Risk Solutions to help solve some of the insurance market’s pain points by uncovering much more detail about the car, the safety and risk implications of emerging technology and by accelerating how we leverage vehicle data to positively impact policy pricing, renewals and claims.”
Authored by LexisNexis Risk Solutions
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