OnStar to Offer Driving Feedback; Customers can Seek Insurance Discounts

Progressive® Insurance to offer discounts for consenting driver data use

2015-01-04


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DETROIT – Beginning this summer, OnStar will offer customers the opportunity to sign up for a new service that can tell them how well they drive and provide some customers an opportunity to seek discounts from Progressive Insurance.

The new connected vehicle service will allow OnStar customers a chance to enroll in a program that provides a detailed driving assessment at the end of a 90-day evaluation period. The assessment, provided only to OnStar customers who sign up for this service, will reveal how the customer performed in important driving metrics, comparing that customer against an aggregate of other anonymous enrolled customers. Driving tips will be provided by OnStar based on a customer’s individual assessment characteristics.

After the assessment, some customers can choose to share their driving data and evaluation information with Progressive through its Snapshot® program, potentially leading to discounted insurance offers. This information sharing will be entirely voluntary following advanced consent from customers.

“The driver assessment is meant to help people better understand how they drive and give them feedback on how to be better, smarter drivers,” said Greg Ross, director, Business Development and Alliances, Global Connected Consumer Experience, General Motors. “This is the first time we can use actual driving behavior to deliver valuable important feedback to customers who want this information. This new service truly shows the power of the connected car.

“The beauty of this program is that control is in the hands of the customer,” said Ross. “If they wish to participate, we’ll inform them of their driving behavior and then they’re able to choose if they want to share their information with Progressive.”

Progressive® Insurance is the first insurance company that will use OnStar data to evaluate actual driving behavior, subject to explicit customer consent, to offer driving-based insurance discounts.

“We are looking beyond traditional expectations of car makers and insurance providers, toward helping people be smarter drivers,” said Dave Pratt, general manager of usage-based insurance at Progressive. “Providing drivers with feedback benefits consumers by making them more aware of their driving behavior, saving them money and keeping the roads safer. This program makes it easier than ever for consumers to take advantage of the latest in-car technology and the leading usage-based insurance program.”

The smart driver assessment program is expected to be available for all 2016 GM models, most 2015 models, and select 2013 and 2014 models, starting this summer. The program is only expected to be available for U.S. drivers at this time.

OnStar customers currently are able to receive low mileage discount offers through other insurance companies. These low mileage programs, however, do not require the collection or use of driver assessment data.

About OnStar

OnStar, LLC (OnStar) is a wholly owned subsidiary of GM Holdings LLC (“GM”). Along with its affiliate Shanghai OnStar Telematics Co. Ltd (a joint venture involving OnStar, Shanghai General Motors Co., Ltd (SGM) and Shanghai Automotive Industry Corporation (SAIC)), OnStar serves 7 million subscribers in North America and China. OnStar is a provider of Emergency, Security, Navigation, Diagnostic and Connectivity services. OnStar with 4G LTE is currently available on more than 30 2015 GM models in the U.S. and Canada.

About Progressive
The Progressive Group of Insurance Companies makes it easy to understand, buy and use auto insurance. Progressive offers choices so consumers can reach it whenever, wherever and however it's most convenient—online at progressive.com, by phone at 1-800-PROGRESSIVE, on a mobile device or in-person with a local agent.

OnStar

Driving tips will be provided by OnStar based on a customer’s individual assessment characteristics.

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