Malawi’s UGI Taps Inseego for Usage-Based Auto Insurance Program

UGI will deploy the Ctrack telematics solution, which utilizes tracking devices to gather and monitor data related to driver behavior including accidents, fuel consumption and mileage.

(St. Michael and All Angels Church in Blantyre, Malawi. Photo credit: Ulanda.)

United General Insurance Company Limited (UGI, Blantyre, Malawi) has adopted Inseego Corporation’s (San Diego) Ctrack telematics solution, which utilizes tracking devices to gather and monitor data related to driver behavior including accidents, fuel consumption and mileage. The insurer will use the solution for a usage-based auto insurance model offering lower insurance premiums to foster safer drive behavior.

“With high-performance analytics and data modeling techniques, Inseego’s Ctrack offers UGI the most advanced, accurate assessment and real-time insight into driving behavior,” comments JW Oberholzer, International Channel Manager for Africa, Ctrack, Inseego. “Unlike traditional models, Ctrack provides for an ongoing, personalized dialogue between insurers and policy holders. With communication central to influencing change, we are confident that Ctrack will transform UGI’s relationship with its customers from one of necessity to one of mutual benefit.”

The solution will address negligent driver behavior, a worldwide problem that accounts for 90 percent of all accidents in Malawi, with speeding, fatigue and driver distraction listed as the primary causes. Through deploying the Ctrack solution within a usage-based model, UGI will reduce losses and strengthen its customer relationships by rewarding attentive and responsible drivers with lower insurance premiums, according to Inseego. The insurer has distributed the first 1,000 units as part of what Inseego calls an aggressive rollout strategy aimed at eventually covering UGI’s entire customer base in the near future.

Reducing Accidents While Minimizing Fraud

“Invaluable partnerships like these will provide significant added advantages to both insurance providers as well as their customers who have the Ctrack telematics device installed in their vehicles,” adds Oberholzer. “The data gathered can be used to not only reduce claims loss ratios as well as minimize fraudulent claim pay-outs but also influence positive behavior behind the wheel, which ultimately pays off in reducing accidents and loss of life worldwide.”

Anthony R. O’Donnell // Anthony O'Donnell is Executive Editor of Insurance Innovation Reporter. For nearly two decades, he has been an observer and commentator on the use of information technology in the insurance industry, following industry trends and writing about the use of IT across all sectors of the insurance industry. He can be reached at [email protected] or (503) 936-2803.

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