Atilze in talks with insurers
> Tech firm keen to provide connected car solutions for motor insurance
KUALA LUMPUR: Atilze Digital Sdn Bhd, which signed a collaboration agreement (CA) with Axiata Group Bhd last Friday, is in talks with insurance companies in Malaysia and Indonesia to provide connected car solutions for motor insurance.
Atilze CEO Gerard Lim said there is huge interest from insurance companies offering motor coverage as the solutions would provide data on drivers and their vehicles, which can be used to calculate premiums and aid accident investigations.
“We have been engaging various insurance companies here and in Indonesia for several months already,” he told reporters at the signing ceremony last Friday.
Lim said the solutions are relevant for the industry, especially with the detariffication of motor and fire insurance in Malaysia, which allows insurance companies to price new products at market rates.
“Today, all of us pay the same price on our premium for car insurance because it is based on two parameters, namely the age of the car and its engine capacity. It doesn’t matter what the mileage is.”
Lim said the connected car solutions’ ability to extract data such as driver’s driving behaviour or how often the vehicle is used could help insurance companies to calculate a fair premium.
The CA between Atilze and Axiata will see the two parties collaborating to explore, develop and pursue Internet of Things (IoT) opportunities across Southeast Asia with an initial focus on connected car solutions and commercialising city-wide LoRa (long range, low-power wide area network technology) deployments.
Under the 12-month CA, the two parties will jointly implement proof-of-concept pilots for connected car solutions and LoRa IoT network in Malaysia, Indonesia and Thailand. Lim said it aims to have 10,000 to 100,000 IoT-connected cars over the next 12 to 18 months.
The connected car solutions have a range of applications, including advanced diagnostics, predictive maintenance, realtime fleet monitoring and management, driving pattern analysis, advanced driver assistance systems, in-car WiFi, in-car infotainment, in-car e-commerce, electronic gate-less toll payments and usage-based insurance.
Lim said it is leveraging on Axiata’s regional footprint and scale and has already started introducing its IoT solutions to the market via Axiata, its operating companies and affiliates.
Axiata group chief strategy officer Dominic Arena said IoT is a key pillar of the “Axiata 3.0” strategy and is an emerging digital services sector estimated to be worth potentially US$30 billion (RM122.6 billion) by 2020, in Axiata’s current footprint alone.