Panda's GPS-driven insurance premiums

07 Dec 2009

The Finland-based Panda Group - an acornym for Pohjola, Aplicom, Nokia, Destia and Astarte, has announced a new pilot program testing the use of GPS data to determine insurance premiums and road tolls.

A thousand of cars will be equipped with a GPS devices that track speed, sudden braking, frequency of rapid accelerations, and where and how often cars are driven, using this data to customize insurance premiums and road use fees to individual drivers.

According to Kyosti Talsi, director of Pohjola Insurance, the company's aim is to develop an increasingly fair model for the insurance premiums where the driver himself can influence the charges by adjusting his driving style and the amount of driven kilometers.