U.S. insurers poised to assess driving location risk using GPS data

ISO has launched a device that allows insurers to analyze driving location risk using GPS data from navigation systems in automobiles.
The ‘GeoMetric’ vehicle decision tool will allow insurers to assess the risk of an insured based on actual driving locations, while also keeping the insured’s driving locations private, an ISO release says.
Some consumers and privacy advocates object to the use of GPS data to record driving behaviour and vehicle location as an infringement of privacy, an ISO release says.
“Our nationally representative survey on telematics conducted this past June with more than 1,000 Americans indicates a desire for privacy, but a willingness to share some detail or information that would allow a more individualized insurance premium,” said Steven Craig, general manager of ISO’s Applied Informatix unit.
“We designed GeoMetric to provide insurers with the information needed to make better decisions when creating more individualized products while protecting policyholder privacy.”