(Image source: Y-Risk homepage.)
Arity, a Chicago-based provider of mobility data and analytics solutions founded by Allstate (Northbrook, Ill.) in 2016, has announced a partnership with Y-Risk (Farmington, Conn.) to establish a model that improves insurance efficiency for the emerging on-demand and shared economy. Arity and Y-Risk, a brand of The Hartford, say they will enable shared mobility companies to better manage and understand driving risk so they can work more efficiently with insurance carriers and streamline operational costs.
Due to their recent emergence, shared mobility companies have limited historical data to anticipate risks that cause high operational costs and expensive insurance. Arity and Y-Risk say their partnership is aimed at helping shared mobility companies address these challenges by providing tools to identify and understand risks to control losses and loss-related costs.
“Arity’s predictive models and risk analytics are built on data and expertise that took decades to develop,” comments Rachel Allen, Group Product Manager, Shared Mobility Solutions, Arity. “They give customers a jump-start on insights that would take years for a shared mobility platform to uncover themselves. Additionally, this partnership opens the door to offer solutions more broadly across a diverse portfolio of consumer services, including on-demand delivery, micro-mobility and more. We believe that collaborations with companies like Y-Risk will set the precedent for properly modeling insurance—accurate and fair—ultimately fueling the future of mobility.”
Improving Operational Expenses and Optimizing Coverage
Arity’s Shared Mobility Solutions, built on Arity’s analysis of how driving risk affects accidents and claims, enable shared mobility platforms to improve operational expenses and optimize insurance coverage, the company says. Combined with Arity’s insights, Y-Risk can leverage its underwriting experience to help shared mobility companies to the following, by Arity’s description:
- Instantaneously assess the risk distribution and profile of drivers;
- Track ongoing driving behavior and vehicle utilization to analyze exposure; and
- Evaluate segmented pricing for customers.
“Y-Risk is at the leading edge of the insurance industry, and partnering with Arity gives us the opportunity to optimize how the industry customizes coverage for shared and on-demand fleet owners,” comments Iain Boyer, Chief Underwriting Officer, Y-Risk. “The ability to collect telematics data and Arity’s ability to predict how risk factors affect accidents and claims are critical in helping us understand and manage the risks of shared mobility operations and decrease insurance costs for fleets.”