A new partnership between reinsurance giant Swiss Re and German multinational BMW Group that aims to account for driver-assistance systems when calculating car insurance premiums has just been announced by the two companies.
With this partnership BMW will hope to leverage the rising sophistication of it’s vehicles’ safety-relevant driver-assistance systems in order to create an attractive proposition for potential new customers: lower insurance premiums.
Likewise, Swiss Re will consider it a fresh opportunity to supply innovation to a sector in transition, positioning the company strongly as autonomous driving and integrated safety systems pose new hurdles for re/insurers moving forward.
“The automotive landscape is changing and we at Swiss Re want to drive innovation in the motor insurance sector,” said Moses Ojeisekhoba, Chief Executive Officer of Reinsurance at Swiss Re. “We are delighted that the BMW Group has chosen to be our partner.”
“To continually assess all individual OEM’s safety features and their effect on accident frequencies and severities is difficult and burdensome for insurers.”
“By combining our strengths, we have jointly developed the ADAS Risk Score, which will assist in the risk assessment of increasingly automated vehicles and help our clients develop their product suite.”
Thomas Wittig, Head of BMW Group Financial Services, added, “At the BMW Group, we are always focused on the customer. For this reason, we have developed a solution, together with Swiss Re, that will enable primary insurers to calculate premiums based on an individual assessment of a vehicle’s technical features.”
“Our customers will benefit twice: from the added safety and convenience of intelligent assistance systems and from a possible reduction in their insurance payments.”