GM is poised to offer a new algorithm-based auto insurance plan that will charge policy holders based on their recorded driving performance. The new plan will be offered through GM subsidiary OnStar, and is set to launch by the end of Q1 in a handful of U.S. states, including Arizona, Illinois, and Michigan, with a goal of offering the new program in dozens of states in the future.
Per a recent report from Reuters, the new performance-based GM OnStar insurance plan will be offered in partnership with American Family Insurance. According to OnStar Insurance president and vice president of GM Global Innovation, Andrew Rose, the insurance program could be available as soon as the end of March.
At present, GM’s insurance offerings do not factor in things like driver-assist system usage. However, in the future, the new behavior-based GM OnStar insurance could factor in sensor data from the GM Super Cruise system, including the in-cabin camera system that tracks driver eye and head movements to verify that the driver is paying attention the road. That said, the use of this type of data would require the approval of state insurance commissions.
Although behavior-based automotive insurance is not a new concept, the current models typically require a mobile app or the installation of a data recorder device. By contrast, the new GM OnStar insurance would collect braking, acceleration, and general usage data, including seatbelt use, directly from the vehicle, thus providing a more reliable and consistent source of information on driver behavior, according to OnStar Insurance president and vice president of GM Global Innovation, Andrew Rose.
Those customers who opt into data collection would receive benefits if they exhibit “safe” driving habits, such as policy discounts. Rose added that habits considered to be bad driving would not necessarily result in surcharges, however, that could change in the future.
GM launched the standard OnStar insurance program a year ago, with a target of $6 billion in insurance revenue by 2030.
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Comments
Big brother is watching you!
And we must all tell him to get lost.
Stellantis EU is offering cheap insurance & repairs minus Big Brother’s eye. I get we invite prying eyes in to our lives with Alexa & phones but On Star is too much & safe driving iui s a difficult metric to quantify.
I like ‘all included packages’ & would buy a UK Vauxhall or Peugeot sedan for this reason but I’m not making driving decisions in order to please GM.
Discrimination!
Got a quote on the current offering. Insanely expensive. Highest quote I have ever received by a wide margin.
I drive spirited. Never been in any kind of car incident ever. ( With the exception of getting my hubcaps stolen) I’ve seen plenty of slow drivers get into crashes, actually more so than others as they freak and lock up in a dangerous situation. Discount me on my record, not my G’s I’m pulling
BIG BROTHER IS WATCHING.
Tell him to eff off!
Just another excuse to raise your rates. If they ever correlated the data with the real world results they might learn that spirited driving indicates a driver paying attention and ultimately safer.
Just another excuse to raise your rates. If they ever really correlated the data to the real world results they might find that spirited driving indicates a driver paying attention and ultimately safer.
Noticed this article yesterday but didn’t read it. Saw it again today and decided to read it. Kind of figured the comments would be filled with exactly what I’ve read above. But here’s another take:
Where I live in southern California, I have the joy (NOT) of getting to see just how aggressive so many drivers really are. When I first moved here in 2010, the top 3 types of cars that I would have listed for bad/aggressive driving would have been 1. BMW, 2. MB, and 3. Kia. Now fast forward to 2022 and that list had evolved. 1. TESLA!! 2. Toyota. 3. Kia. (something about many of these Kia drivers that is strangely aggressive). I say all this because it has become ever more difficult for people like me who drive in a very safe manner (not slow but safely) to avoid these morons who are driving like they just stole the car. Are overly slow drivers any safer? I don’t think so. However, it’s much easier to predict and avoid situations with them than it is with the Tesla driver who feels they have the right to drive extremely fast/unsafe because they aren’t using gas???
So I say great. I’m 100% for Onstar doing this and I would be more than happy to allow them to monitor my driving if it saves me money. However, I also want those other drivers to be similarly monitored and they need to pay a lot more for their insurance based on their aggressive driving behavior. Lastly, for those say they don’t want “big brother” watching over their driving? Please. Do you have a smart phone now? Do you use Google? Siri? Alexia? Do you watch a TV that is a “smart” TV? Do you ever use the internet? I hate to break it to you, but you no longer have a choice. So I welcome these programs because I know it will benefit my insurance costs.
These are SICK people working toward the ultimate goal of global enslavement of the world population!!! LET MY PEOPLE GO!!!