Launching the First App-only Telematics Insurance Initiative

Direct Line Group has worked with global telematics provider The Floow, who are a UK based data analytics company, to create the first app-only telematics insurance initiative in the UK market called DriveXpert. 

Having worked with The Floow for over 8 years, DriveXpert is another step in our commitment to providing the best insurance cover to drivers as well as making a positive impact to influence safer driver behaviour across the UK. The app will launch this month on the Privilege brand and will make Direct Line Group the first UK insurer to use an app-only proposition to support policy backed insurance.

How does it work?

Once someone has downloaded and registered the app to their smartphone, DriveXpert will begin acting as a mobility sensor evaluating and scoring smooth driving, mobile distraction, road risk, speed and time of day. By collecting this data and feeding it back into the FloowDrive platform, scores are calculated on the individuals driving behaviour.

As a result of this, the driver scores can lead to a policy premium discount as well as provide feedback to help drivers improve behind the wheel.

By moving to an app based system, this will allow for easier access and usability of telematics for our customers. It will also allow for drivers, particularly young drivers, to gain the chance for a policy premium discount. Due to risk factors associated with drivers who are under 26, this group can often face high premiums. Through using the data collected by DriveXpert, there is a chance for people to gain a reduced premium depending on their scores.

David James, The Floow Chief Operating Officer, said “The launch of DriveXpert is truly a ground-breaking development. The platform harnesses the smartphone as a telematics sensor, rather than utilising the traditional black box method of recording driver data. DriveXpert is primarily targeted at young drivers, those aged under 26 years old, and offers an upfront discount to the driver, with the potential for them to also obtain a reduced premium at renewal time dependent on their scores. The motor insurance market is rapidly evolving and we are committed to being at the forefront of this data-driven evolution, using telematics data to ensure both insurers and policyholders get the best out of their policies.”

Neil Ingram, Head of Motor Product Management at Direct Line Group, said: “This is a very significant milestone for both organisations and the UK insurance telematics market itself, a continuation of the long-term partnership we have enjoyed with the tech experts at The Floow, and a clear demonstration of the commitment from both sides to transform motor safety for the benefit of all drivers. The previous products The Floow has developed for us, such as DrivePlus on our Direct Line brand, all used a smartphone app with a black box or onboard device to collect journey data. We now see that using a smartphone for data collection is just as accurate as using a black box and, as smartphones are more cost effective and pervasive, this widens the potential reach of telematics technology within motor insurance.”