As an alternative to self-reported mileage and aftermarket hardware solutions, more and more insurance companies have started using their policyholders’ smartphones as a tool for tracking and verifying mileage information. Here is why this popular solution is problematic, and which route your insurance business can take instead.
At first sight, using a smartphone for mileage verification sounds favorable. Policyholders download an app and set their location sharing to “always.” From here on, the phone’s accelerometer and location services are doing the magic. The phone detects the start and end of a trip. It then calculates driven mileage based on the phone’s continuous location data.
As simple and convenient as it may seem, there are numerous problems with using smartphones to track vehicle mileage:
That said, smartphones aren’t the best way to report and verify car mileage. We at Smartcar have given this topic a lot of thought, and we’ve worked hard to develop a solution that solves all of the mentioned problems in one go.
Smartcar’s mileage verification solution uses API technology to let insurance businesses do the following:
As our API communicates directly with each vehicle, there is no need to constantly monitor location data, or to estimate and calculate mileage based on other information. Smartcar is the first mileage verification solution that eliminates the risk of inaccuracy, failure to report, battery drainage, fraud, and privacy complaints. Our product does the heavy lifting and simplifies mileage verification, so that insurance providers can focus on what’s important: successful underwriting, a growing customer base, and increased profits.
Are you wondering how Smartcar caters to your insurance product? Would you like to learn more about our product or schedule a demo with our sales team? Feel free to reach out to us. We’ll be happy to assist!
Smartcar is the easiest way to integrate mobility apps and services with cars.