June 4, 2013 by Canadian Underwriter
Saskatchewan Government Insurance (SGI) is looking for a vendor to supply telematics technology for motorcycles for a planned pilot program.
The insurer issued an Advance Contract Award Notice through SaskTenders on Tuesday looking for a vendor that can help shape a usage-based insurance program for motorcycle drivers in the province.
The Motorcycle Review Committee, a group of key stakeholders formed by SGI to help address rating issues affecting motorcycles, was unanimously in favour of the pilot program, according to SGI.
“This is a truly innovative approach to addressing the issues that have been raised by motorcycle owners regarding their insurance rates and traffic safety,” Donna Harpauer, the minister responsible for SGI noted in a statement.
“Usage-based insurance is the ultimate in rating fairness because it essentially lets the driver control their own insurance rate through their driving behaviour,” she noted. “Simply put, those who drive responsibly pay less and those who don’t pay more. This pilot is an exciting first step to seeing if this could be an effective approach here in Saskatchewan.”
SGI and the review committee will be looking for several hundred motorcycle riders in the province to volunteer to have a telematics device installed on their bikes. No rating changes would be made during the pilot, which is for information-gathering only, according to SGI.
The pilot could begin as early as “this riding season,” depending on the availability of volunteers and technology, the insurer said.
“We’re eager to get the pilot program underway so we can really investigate this technology and get feedback from the volunteers about what the user experience is like,” SGI president and CEO Andrew Cartmell said.
“The program we’re planning to pilot would give riders weekly updates on their driving behaviour, to show them what information an insurer would be looking at. But even more importantly, we anticipate a positive impact on traffic safety as riders are more aware of their driving behaviour, which hopefully will mean fewer collisions, and associated injuries and fatalities.”
SGI will be providing more information on how riders can volunteer as soon as details of the pilot are finalized.
A discussion document based on other rating issues related to motorcycle use and the review committee’s work is currently being finalized and will be released to the public in mid-June for their feedback.