Telematics – New Ford and Lincoln Vehicles Enable Insurance Company Monitoring of Your Driving Behaviors

Ken Zino of AutoInformed.com on 2020 Ford Explorer

The 2020 Explorer was a leader at Ford Motor with its embedded telematics.

During the last 12 months, Ford  has secured agreements with key insurance carriers*,  that can help customers save money on insurance premiums based on driver behavior, with built-in connectivity technology on many Ford and Lincoln vehicles#. Ford Insure and Lincoln Motor Company Insure also offer usage-based policies through FordPass and Lincoln Way apps. Connected vehicle data also enables the usage-based insurance products offered through Ford Credit’s insurance agency subsidiary, American Road Services Company. Telematics data is shared with insurance carriers through Ford’s embedded modem that is now standard on all new vehicles – and enables the carrier to use that information to analyze driving habits and offer potential savings.  The embedded modem eliminates the requisite plug-in devices.

This is part of a sweeping change in the pricing of auto insurance. It also raises yet again  larger privacy issues for the owners of connected vehicles along with intelligent phones , computers and appliances. A vast amount of owner information is now available to companies – from Google and social media apps or computers running on Microsoft Dos or Apple computers and iPhones – for resale or for their own cash flows, sometimes without owner’s consent or any usage fees given back to the creators of the data. In Ford’s case, customers have a choice. (AutoInformed on Pew Research Center on Americans’ Views About Privacy, Surveillance and Data-Sharing)

“Connected vehicles present new opportunities for us to help customers save money and improve their experience with Ford products,” said Alex Purdy, director of business operations, enterprise connectivity, Ford Motor Company. “Whether customers are purchasing through Ford Insure or working with another carrier, we are committed to giving them the ability to choose the right option for themselves – and to potentially earn big discounts based on how they drive.”

Footnotes

*Including State Farm, Allstate, Liberty Mutual, Metromile, Verisk Data Exchange – with more collaborations planned.

# Available on 2020 model-year Ford vehicles which are compatible with the embedded modem. Requires FordPass App and FordPass Connect Service. Not available on 2020 F-150, Fusion Plug-in Hybrid, GT and F-650/F-750.

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