Intact updates UBI auto insurance product in Nova Scotia
Published: November 5, 2019
CATEGORY: Car Insurance
Intact Insurance has announced it is making changes to its usage-based insurance (UBI) solution in Nova Scotia.
At the centre of the changes for motorists will be a requirement of continual monitoring of the driving behaviour of the insured client. Previously, Intact would allow the UBI discount until the end of a policy.
Across provinces, Intact Insurance’s UBI product gives drivers the chance to receive discounts on their premium. This is achieved by monitoring their driving habits (acceleration, when the vehicle is used, speed, hard braking, and other factors) and rewarding good behaviour. If the motorist is engaging in low risk driving, they will receive a discount.
Called my Driving Discount, the company’s UBI offering has proved popular as it allows drivers to get a one-time discount on enrolment that lasts until the end of the policy term. When a customer renews a policy with Intact, they can receive a discount if eligible to do so.
Intact has now updated the product with a requirement for continual monitoring. Nova Scotia’s insurance regulator approved the change on Oct. 16.
“The new program requires continuous monitoring to maintain the discount,” Nova Scotia Utility and Review Board chair Peter Gurnham wrote. “The driving behavior will be reassessed at regular set intervals and the discount may increase or decrease as a result. Intact explained that driving behavior can change over time and locking in a discount may be inappropriate.”
Drivers taking out a new policy with Intact will see the change from Jan. 8, 2020. Renewal business will come into effect on Feb. 8, 2020.