User Based Insurance Companies: If you have a car or a bike, and you are planning to insure these vehicles, then this news can prove to be of your use. Now the insurance premium will be decided based on the driving of the vehicle. ICICI Lombard has launched a product named Pay-as-you-use (PAYU).
What is PAYU Product
ICICI Lombard has launched a product called Pay-as-you-use (PAYU) for its customers. In this product, as much as you drive your vehicle, you will have to pay premium on that basis. Driving distance can be measured with the help of telematics device present in the vehicle. In this news we are going to give you complete information about it.
Selected products on the basis of driving
ICICI Lombard GIC Ltd. Sanjay Dutta, Chief Underwriting, Reinsurance, Claims & Actuarial, says that ‘Pay As You Drive’ allows customers to choose kilometer based options as per their driving requirements. The customer response regarding the segment is also good. It is known that there is a segment of customers who want a different insurance product according to their needs.
Customers got offers
This is a driving-behavior based add-on and the product is offered to customers who opt for a telematics device-based product option. The entire eco-system is preparing itself well for the product offering telematics. The PAYU and PHYU add-ons are a step in that direction. Their growth outlook is better.
it has high demand
These products have been introduced in a variety of age groups. The demand for kilometer based PAYU add-on is expected to be higher in cities where public transport is adequately available, and customers are not driving their vehicles on a daily basis.
demand will remain
Let us tell you that the demand for PAYU and PHYU add-ons is still in the early stages. These add-ons have full potential to play a mainstream role in motor insurance in future. The eco-system required for these products is developing rapidly.
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