Amodo collects data from smartphones and other connected devices to build customer profiles which provide insurers better insights into customer risk exposure and product needs. Amodo is currently focused on driving data.
There are currently two parts to Amodo’s proposition:
Advanced driving behaviour analytics: this takes into account driving context, driving conditions and driving style and scores drivers accordingly (e.g. a driver may receive a good score for driving at 70mph on a dry summer’s day; however, the score will be considerably lower if they drive at the same speed through a blizzard)
Driver engagement and coaching: this provides a platform from which insurers can reward good driving and use detailed analytics to coach drivers to be safer on the roads (e.g. a driver who that brakes too hard can be coached to drive better and rewarded when they learn to do so)
Amodo is trying to differentiate itself from other telematics providers though the number of variables taken into account when scoring drivers. It claims to provide the “most comprehensive” view on driving behaviour currently available in the market.
Gamification is the application of elements of game playing (e.g. point scoring, competition with others) to other areas of activity to encourage engagement with a product or service.
Amodo is using gamification to try to generate both more customer interactions and data. For example, a driver may be awarded points for adhering to all speed limits in a month, or not driving at night. According to Amodo, these interactions increase customer engagement and offer insurers the opportunity to cross-sell and up-sell other insurance products.
This gamified approach appears to be resonating in the industry: AIG recently partnered with Amodo to find “the Best Driver in Hong Kong”. Good drivers were rewarded with prizes and discounts on their premiums.
The Oxbow Partners view
We like the business – but as ever there are challenges.
For example, Amodo must establish to what extent gamifying driving behaviour will be attractive to more than a niche audience. This will be a combination of both “caring” about a driving score – but also the willingness to share personal data with insurers. Finally, it’ll have to find more insurers like AIG who are able and willing to explore how to use this data.
George oversees projects across strategic, operational and technology topics and spends most of his time working with specialty and reinsurance clients.George joined Oxbow Partners as a consultant following completion of his first-class degree in Economics and Philosophy. On his journey to principal, he has worked on many of Oxbow Partners’ most challenging and high-profile projects. These projects include developing a group-wide strategy for a global reinsurer, completing an end-to-end target operating model review for a leading (re)insurer and developing smart follow strategies for multiple syndicates.You can find George’s writing on his areas of focus on the Oxbow Partners blog, as well as in the trade press.