Pulling motor vehicle records (MVRs) has become a time-consuming and costly process for many insurance providers.
What’s needed for insurers
Fortunately for insurance companies, says Eric Waldinger, SambaSafety’s Chief Marketing Officer, what is often needed is a quick thumbs up or thumbs down, something that can be achieved through alternative data, found in SambaSafety’s Volta offering.
“You don’t always want to buy an MVR every time, so what we do is we provide, through our Volta product, the ability to look at those MVRs in a different way,” Waldinger said. “We have the ability to do a quick pull and just say, ‘Are they clean or dirty?’ And understanding if they don’t have any violations in three years, …. start quoting.”
Speed and accuracy galore
There not only is an increase in speed, but alternative data allows for an increase in accuracy as well – something that ultimately allows insurance organizations to increase their profit.
“Our goal is to continue making the combined ratio sub-1. Right now they’re running about 1.6 to 1, which means you’re losing six cents on every dollar you’re collecting. We wanted to get back to where it was about 10 years ago where it was in that .97-.98 to 1 ratio where this maybe isn’t going to be your profit center, but it’s at least going to be break even to slightly profitable, which means the rest of your book becomes so much more profitable in every area.”