Hyundai Motor India Ltd has begun offering owners of its connected cars the ability to share their driving data to qualify for benefits from partner insurance providers. The company says this could reward safe driving, encourage better road use behaviour, and potentially improve resale value. Usage-Based Insurance (UBI) will be available to owners of all compatible Bluelink-equipped Hyundai cars who have insurance renewals through Hyundai India Insurance Broking (HIIB) coming up within an eligibility window.
UBI works by assigning car owners a score based on how the car has been driven within the preceding three-month period. Parameters used to determine the score include driving dynamics (acceleration, deceleration and braking), speed control, and idling behaviour. Prospective customers will see their scores in Hyundai’s Bluelink app and can track their eligibility. From there, they will be able to opt in to sharing this data with partner insurance firms.
Hyundai India has announced three initial partners for the first phase of this scheme: Cholamandalam MS General Insurance, Go Digit General Insurance, and ICICI Lombard General Insurance. They will use the UBI score to underwrite applicants’ policies, potentially offering personalised benefits and savings on premium costs.
A score of 70 or more could make applicants eligible for benefits, subject to each partner’s underwriting policy and terms and conditions. Car owners with weak scores can be shown tips and encouragement to drive safer.
Eligible customers could receive insurance benefits at the time of renewal. The scheme could help Hyundai India achieve its recently announced target of 10 lakh connected car sales by 2027. The company already offers a “digital passport” which contains data about overall vehicle health, service records, and accident history to help owners consolidate important information and help evaluate its resale value. The company says UBI will also allow owners to prove a history of responsible usage.
Bluelink is a set of connected-car features available on higher-end trims of Hyundai cars. Features vary by model and variant, but can include automatic crash notifications, roadside assistance, a valet mode, remote immobilisation, remote climate control, geolocation, car access sharing, diagnostic checks, navigation sharing, time-based usage restrictions, and more. The package is free for three years with an eligible vehicle purchase.
In a press statement, Tarun Garg, MD and CEO, Hyundai Motor India Ltd said “Hyundai Motor India’s connected car ecosystem continues to witness strong growth, with over 0.8 million connected cars already on Indian roads, a target of 1 million cumulative connected car sales by 2027, and an ambition to reach 2 million connected car sales by 2030 through its Bluelink platform. Leveraging this expanding connected-car ecosystem, the Usage-Based Insurance (UBI) programme extends the value of connected mobility beyond convenience and safety by rewarding responsible driving with personalized insurance benefits. In certain cases, customers may save up to 15 percent (basis insurers’ underwriting rules) on the own-damage component of their insurance premium, making vehicle ownership safer, smarter, and more rewarding.”
