Thread: Someone explain this to me.

I think it would depend on what exactly is being monitored, and for how long.
As long as it is optional and they are upfront about the data, there is nothing wrong.
And frankly: a 10% discount sounds good to me. It's not like there is anything in my driving patterns which could cause me problems.

All that glitters is not gold, and neither is a 10% discount.

Ace, fart on. You may get a discount for recycling.

Originally Posted by markdfhr

Ace, fart on. You may get a discount for recycling.

Only if someone breathes it in or burns it for fuel. Until then it is strictly an emission.

Originally Posted by Bruno

I think it would depend on what exactly is being monitored, and for how long.
As long as it is optional and they are upfront about the data, there is nothing wrong.
And frankly: a 10% discount sounds good to me. It's not like there is anything in my driving patterns which could cause me problems.

Insurance companies in the US, notably Progressive, are promoting "usage-based insurance" in which they send an electronic device to you via mail with instructions on installing. You leave it in your car for 30 days which gives them access to (AFAIK - damn Wikipedia blackout!) only time, distance and place. They can calculate your driving risk by those factors and will give you a discount based on them. Progressive specifically states that your rates will not increase as a result of the data.

The only behavioral data it collects (again, AFAIK -- let me know if found otherwise) is "hard stops" in which it senses sudden decreases of speed. There is no GPS in the device and as many of us have noted, it's a voluntary program that can net you a discount of up to 30% off your existing rate.

Originally Posted by thebigspendur

"at your option"

Since it is at your option, I don't see how this would be overreaching

It does seem kind of nanny-ish though. Federal rewards for desired behavior is kind of weird, but I know the gov't already hands out all kinds of stuff with strings attached

I'm pretty sure that kind of micro-level user data would potentially be worth millions and millions, if not billions, of dollars to a big insurance company. So essentially you are giving them gold and they are paying you in breadcrumbs. Why else would they bother - they are a profit making business. Why anyone would voluntarily allow someone that kind of access to their data without proper remuneration is beyond me, but then possibly I appreciate the value of data more than some/most.

In any event, I think therein lies the answer to the OP as well - short term gain over long term pain. The Tax department is viewed as something that "takes money away from me" as opposed to something that "funds my country and everything it does". An insurance company purporting to give you a 10% rate cut is seen as directly benefiting you, albeit at a ludicrously small rate.

James.

Can you switch the monitor off when you drive to your floozy?

Just think, all the data that is collected can be sold all over the place. Maybe a car maker can target you for performance cars or econoboxes based on this or they can tell if you take short trips or long ones. Even the basic info when tabulated can make them huge profits sold to the right people who can then use it to market research you and then you get bombarded with more junk mail and phone calls.

OnStar has the capability and does to a certain extent use the information it collects to graph trends in driving habits. Though they are not selling or making money off of the individuals statistics, they are certainly making money off of the more general information gathered.

No Sir, didn't like it. Auto insurance in general is the biggest scam ever, I'm OK with the program being voluntary but I'm not real sure what the real story is on this thing. What I do know is that if tomorrow the government imposed an additional 15% tax of some sort on auto insurance providers, these companies, without blinking would simply recover their money by increasing premiums. Logically, if they're offering you a 10% discount odds are they are making their money back and then some using the information for other purposes (selling to marketing companies or whatever). Call my a cynical old crumudgeon if you will but there's more here than meets the eye. As for me, I'll leave my tin foil hat in place and keep my rig as free of such gadgets as possible. They don't need such a gadget to determine if you're a safe driver. I'm pretty sure that any ticket I've ever received can be retrieved in a matter of seconds and guess what, if I've done business with your company for 10 years and my only claim is for a cracked winshield or an accident someone else was charged with, I'm probably a safe driver. Just a little too "Big Brother" for my tastes.

And besides, Flo looks as if she fell out of the ugly tree and hit every damn branch on the way down.