Exigen PAYD^®

Nothing will change auto insurance quite like pay-as-you-drive insurance.  Low mileage driver interest in pay-as-you-drive (PAYD) insurance is growing fast, for many reasons. It will save most drivers money on their premiums. And it is environmentally responsible - a green product that creates incentives for driving less, resulting in less pollution, oil dependence and infrastructure cost.

In response, PAYD is being provided in several states and regulatory momentum is strong for changes to regulations enabling PAYD to be offered in many more. California is now leading the charge. Some insurers are moving fast to capitalize on the market-growth opportunity and to position themselves as leaders in corporate responsibility aligned with the product’s green message. Exigen PAYD^® is designed for insurers looking to accelerate entry into this fast emerging auto insurance market.

Exigen PAYD^® is a market-ready solution that enables insurers to rapidly implement a usage-based pricing auto insurance product that provides high quality insurance at a lower cost for drivers who drive less than average.

Key Characteristics: 

• Driven miles are the principal coverage effective term 
• Typically coupled with date-based coverages for general risks, i.e. Fire, Theft  
• Supports Trust-based PAYD: relies on self-reporting and occasional verification of odometer only and protects consumer privacy  
• Supports Telemetry-based PAYD: integrates data from in-vehicle specialized hardware devices directly into the policy administration, underwriting, and billing systems
• Provides full core system “out-of-the-box” functionality for policy administration, billing, claims and customer management

Exigen PAYD^® Advantages:

Most insurer systems lack the agility required for rapid PAYD market entry. They are, for example, designed with a heavy emphasis on vehicle, year, make, and model as key rating factors, rather than mileage.  Exigen PAYD offers insurers many advantages over the option of building in-house PAYD operations, they include: 

• Implementation in a fraction of time vs. time required to upgrade core and legacy systems 
• Agility to capture and use all rating data associated with PAYD
• Provides built-in rating algorithm 
• Provides experience with pricing to assist with actuarial models 
• Integrates channel communications for attracting and retaining customers via phone, web, and mobile communications  
• Manages the greater complexity of regular policy admin lifecycle/transactions posed by ODO readings 
• Manages the claims processes where ODO reading becomes critical 
• Manages demands on billing processes made by multiple payment options, mileage top up, rollover miles and no claim discount functionality 
• Resolves Earned Premium calculation challenges 
• Provides integrated web user interface

Deployment Options: 

Standalone SaaS Solution 

• Rapid deployment and commercial roll-out
• No impact to existing applications and business processes
• Simplifies the creation of a unique brand to tailor product to targeted audience (low mileage drivers and/or young drivers) 

Custom Solutions