Otonomo has announced a strategic relationship with Henshin Group, the mobility and energy tech company that developed MOVENS, the agnostic, cloud-based IoT platform for smart cities, and wefox, Europe’s largest digital insurer. The aim of this relationship is to generate rich, actionable vehicle data sets built off Otonomo’s platform to drive innovation in the field of digital insurance for fleets. wefox seeks to provide increasingly responsive offers tailored to customer needs as it moves to become the hub for innovative insurance services across Europe and will be the first to market with new insurance products powered by the joint platform.
Insurance companies are looking for new ways to move into the digital age and offer smart new services to meet ever-evolving customer demand for innovation. Two trends highlighted in TransUnion’s 2022 Insurance Trends and Outlook Report show consumers are seeking digital interactions and telematics in their insurance experiences. The survey showed that more than half of the respondents prefer to interact with their insurer via email, mobile app or a website. While this number may be lower than general consumer adoption of these technologies, the insurance sector seems to be catching up in its digital transformation as these numbers continue to rise. Almost half (49%) of the respondents who were offered a telematics option opted into programs that monitor and report on their driving behavior. That choice paid off for nearly half (48%) of them who saw a decrease in their insurance rates. Overall, nearly two-thirds (64%) of the consumers were happy with their telematics experience.
The insurance industry is ripe to leverage vehicle data, and MOVENS has just the platform to help insurers on their digital transformation in that direction.
Bridging the gap between connected cars and modern services
The MOVENS platform is playing a key role in driving mobility services for smart cities. Bridging the chasms of the fragmented IoT space, MOVENS provides full turnkey solutions for different mobility modes, such as shared mobility, public transportation and demand transportation solutions, as well as connected and mobility services, while boosting the integration between different mobility systems. In this partnership, Otonomo connected car data has been integrated into the MOVENS platform and is served up to power modern business use cases.
One of the biggest challenges facing the shared mobility industry today is fragmentation. Shared mobility relies on multiple data sources that provide data points in a variety of formats using different scales and metrics. Moreover, much of the data available suffers from inaccuracies, making it difficult to make informed decisions. Gathering data can be expensive as well, as the need to install and later uninstall aftermarket devices incurs additional costs and maintenance requirements.
The partnership between Otonomo and MOVENS open-source mobility platform expands data availability to create new business use cases. It enables an extensive range of differentiated services in the smart city ecosystem to be developed, providing a unique access point for mobility data management. With Otonomo’s connected vehicle data, MOVENS clients can benefit from value-added services to promote advanced insurance and fleet management solutions without the need to install a dongle or blackbox or any requirement for deep and domain-specific knowledge regarding data security and privacy responsibilities for telematics devices and data.
Connected car data-driven insurance
wefox uses extensive data analysis to help drivers drive and maintain their vehicles better. Using the latest AI and IoT technology they access and analyze vehicle data and manage to reduce vehicle incidents that cause loss or harm by 30% shifting the insurance paradigm from “repair & replace” to “predict & prevent.” But until now, getting that data required vehicles to be equipped with OBD dongles or black boxes. Not only do these aftermarket devices create barriers to adoption, but they are costly and time-consuming to manage and maintain. And at the end of the day, the data available from them is limited. By accessing Otonomo’s vehicle data sets through the MOVENS platform, wefox’s path from connected car to connected car insurance will become much easier and more direct. The insurer will be able to get a more granular understanding of risk from enhanced real-time datasets sourced directly from OEMs, promoting the development of new fleet vehicle insurance offerings such as Pay-As-You-Drive (PAYD), Pay-How-You-Drive (PHYD), and Pay-As-You-Go (PAYG). Ultimately, wefox’s customers will get more control over their insurance costs while creating a safer mobility environment for everyone.
Usage-based insurance is the next big revolution in auto insurance and as consumers are becoming more accustomed to highly personalized services, they are willing to share their driving behavior with insurers in order to reduce their premiums. Going forward, Otonomo’s connected vehicle data, accessed through the MOVENS platform can foster the foundation of a next-generation insurance platform based on cloud EDGE AI architectures. This technology helps ensure data can be collected and decisions made offline even when vehicles are operating in areas with poor or unreliable connectivity. wefox is perfectly positioned to benefit from the technology and to propose increasingly responsive offers in the constantly evolving contemporary world of auto insurance.
Forward Looking Statements
This announcement contains certain forward-looking statements within the meaning of the federal securities laws, including statements regarding the services offered by Otonomo the anticipated technological capability of Otonomo, the markets in which Otonomo operates and Otonomo’s projected future financial and operational results. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this announcement, including but not limited to, the ability to implement business plans, forecasts, and other expectations, the ability to identify and realize additional opportunities, and potential changes and developments in the highly competitive data marketplace. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in Otonomo’s final prospectus filed with the SEC on November 3, 2021 and other documents filed by Otonomo from time to time with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and Otonomo assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. Otonomo gives no assurance that it will achieve its expectations.