Octo & Cesar Telematics Russia founded
29 Oct 2008
Moscow, October 29th, 2008 – Octo Telematics, a MetaSystem Group company and global market leader in research, development and management of cutting-edge telematics applications for auto insurance, and Cesar Satellite, the Russian market leader in satellite surveillance services and vehicle theft prevention, announced today the formation of Octo & Cesar Telematics Russia.
The new company, which will be operative before the end of 2008, will supply the Russian insurance market with a complete offer of vehicle telematics systems and services which will be amongst the most advanced and competitive in the world that will favour a more secure and responsible use of automobiles and will allow insurance companies to propose new insurance products designed to meet the individual needs of their users.
The Italian-Russian joint venture of equal participation between Octo Telematics and Cesar Satellite will combine experiences and asset resources from both companies, meshed together in order to create a technological platform through which it will be possible to supply new insurance telematics products. Options will be based on usage, a globally unique claims management service for crash management that is both trustworthy and proven, a localization service for the recovery of stolen vehicles and other innovative services.
According to a recent study by Frost & Sullivan, the European market of vehicle telematics systems is greatly influenced by significant EU initiatives for road safety that mandate the use of a satellite localization device on all new vehicles from 2010 onwards and will reach an annual value of approximately € 500 million by 2015, a 200-fold growth over 2007.
On one hand, considering the social and environmental costs from increased traffic, it will be possible to achieve an improvement in road safety, in terms of increased mobility, of higher responsibility and incident prevention. Furthermore, emergency services will be improved and rendered more timely, which, in the case of serious incidents, will allow the possibility of more human lives to be saved. In addition, always through the use of telematics solutions, it will be possible to put into place eventual containment measures with regards to public spending and pollution as a result of excessive urban traffic.
On the other hand, with respect to the often high costs of actual insurance products, the possibility of applying new models of contracts (e.g., PAYD - Pay-As-You-Drive), based on usage such as the number of kilometres traveled, the type of road used, or the time of day of circulation, will allow users to choose the insurance solution most suitable to their own routines and, consequently, to save money with respect to the past.
Insurance companies, on their part, will benefit from the advantages inherent in new telematics solutions while optimising their management costs, and foreseeing possible fraud. They can increase their efficiency and capacity by offering products that are more and more interesting and closer to their clients' needs.
"This initiative enters within the realm of our expansion strategy at the international level and provides immediate opportunities, as well as interesting development prospective, thanks to the unrivalled sector leadership of our partner Cesar Satellite within the Russian market", affirms Fabio Sbianchi, Managing Director of Octo Telematics S.r.l.
"Through this joint venture, Octo Telematics is ready to transfer precious knowledge to the Russian market, not only its innovation and technology, but also its extensive experience with the most significant insurance companies and groups across Europe, for collaboration with the main automobile manufacturers to build the largest telematics fleet present today in Europe", concludes Mr. Sbianchi.
"The creation of Octo & Cesar Telematics Russia is very important for Cesar Satellite and represents a priority for us," affirmed Leonid Ogarev, President of Cesar Satellite. "We believe that the consolidated experience of Octo Telematics professionals in the implementation of similar systems Europe-wide, together with our undisputed knowledge of the Russian security and insurance market, will lead this new joint venture to a great success, allowing insurance companies to offer their customers innovative ranges of products based on vehicle telematics".
Notes to Editors
Octo Telematics
Octo Telematics srl is a MetaSystem Group company specialising in the provison of telematics systems and services for the insurance and automotive market. Founded in Rome in 2002, Octo Telematics has more than 650,000 subscribers to its own services, branches across most European countries and partners all over the world. Through the largest telematics fleet in Europe for the number of active clients and a database of the most complete figures and statistics globally, Octo Telematics represents a best practices scenario within the global panorama of vehicle telematics.
Cesar Satellite
Cesar Satellite is, since 1997, the Russian market leader in satellite surveillance and in automotive theft prevention. Through a team specialised in emergency situations, with three assistance centres and 40 operations offices spread throughout Russia and the Ukraine, Cesar Satellite provides assistance, prevention and protection services to more than 50,000 clients and 24/7/365 real-time surveillance to about 4,000 private and commercial properties. The company is a partner in pan-European initiatives such as EuroWatch.
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