By 2040, 80% of insurance needs will be based on shared mobility and fleets (Source: Deloitte).
Mobility is constantly evolving: new modes of transport, new uses, new needs (especially about innovation). Innovation in moving in face of new mobility trends and new services.
Car insurance market evolution in Europe
There are 5 main trends:
- Technological innovation
- Alternative mobility (long term rental, car-sharing, ownership vs usage)
- Data availability (connected cars)
- Process digitization
- Regulation (in Europe, diesel-ban in some cities, whereas some incentives have been put in place)
The market is hugely impacted: downwards pressures on the overall car insurance market size, moving from retail lines to commercial lines, threat of non-insurance players and increasing offers for direct online insurance, internalization of insurance product by leasers.
The importance of data: an added value both for insurers and clients
More data allow to better calculate the underlying risk, better assess accidents, avoid fraud cases and build new services
The first pay-as-you-go car insurance: Wilov
Founded in 2016, Wilov operates in the highly competitive car insurance, where price is first criteria for customers. Wilov differentiates by innovating in the business model: prices are adjusted depending on the habits of drivers. 2 possibilities:
- A monthly subscription
- A 24h offer starting at the moment the driver use its car
All the subscription process is made online, Wilov’s ambition is to become the usage-based insurance for every mobility types.
Direct Assurance gets into parts repairing and re-use
Transition towards sustainable mobility is a major trend. Direct Assurance aims cutting costs of repaired auto parts, thanks to re-used ones, improve the customer experience thanks to a more competitive offer and contribute to the overall ecological transition.