Usage-based insurance

Pay as you drive ( PAYD ) is a type of motor vehicle liability insurance in which the premium amount from the amount and type of vehicle use is calculated.

The kilometers and the driving style (eg, compliance with speed limits ) are technically documented in the vehicle and sent for analysis to the insurance company. There are two variants, which differ mainly by the location of necessary for insurance premium calculation statistics production from the raw data:

• The statistics can be created directly in the vehicle
• Or the raw data can be transmitted to a service provider who determined the statistics and forwards them to the insurance company.

According to both concepts, the insurance thus has no access to raw data and thus the spatially and temporally fine resolution stay the user.

Advantages over traditional types of insurance

Insurance and manufacturer of pay-as- you-drive systems indicate that individual driving behavior does not affect only in the course of years to the amount of the insurance premium, but directly. In addition to a higher justice is thereby resulting a higher motivation to regelkonformem driving behavior - if driving, compliant behavior is rewarded in a specific configuration of the system. In the transport system as a whole it would come this way to increase security.

Special effects would result in a mass deployment of the system probably in the group of novice drivers in the control strategies and willingness to take risks are most diverse.

PAYD some systems require the installation of a GPS receiver. This vehicle could also be localized event of a breakdown, an accident or in case of theft. The possibility of localization, bears the risk of abuse - see review.

Criticism

In the discussion about privacy and misuse of data, there is the theory that once observed data are always exposed to the risk of misuse and abuse can only be excluded by non- survey. From this basic conviction and the damage potential, which carries a conceivable abuse of the detailed raw data, received in 2007 a ​​manufacturer of a pay -as-you -drive system a Big Brother Award.

In detail, it is feared that by the potential financial benefit for participants in the scheme, from voluntary participation in the long term in fact a forced will. The then forcibly adjusting to get used to a permanent Überwachtsein was not conducive to a free and self-confident citizen awareness.

The parliamentary group of the FDP on March 4, 2009, an inquiry by the Federal Government to " pay-as -you- Drive ' bonus system by means of a telematics ( electronic logbook ), which are currently testing some motor insurers ". The questions focus in particular on data protection, a possible monitoring and how it can be prevented, since " continuously transmits information via satellite to a data center and a log is created about where, when and how the policy goes ." In response, the Federal Government refers mainly to the private nature of such insurance contracts.