-- Paul Pukis
Mosaic Insurance Alliance, LLC.
425-320-4263
Lynnwood, Washington: Mosaic Insurance Alliance knows that getting car insurance doesn’t have to be complicated or cookie-cutter limited and getting discount auto insurance doesn’t mean you have to reduce coverage. At Mosaic, personalizing insurance needs for every customer is a daily goal, and with Nationwide’s telematics programs, the independent insurance agency has found another way to easily achieve that.
As one of Mosaic’s numerous insurance carriers, Nationwide gives them access to all kinds of programs and features that are constantly changing to improve the customer experience. Telematics, also known as usage-based insurance, is the future because it hones in on a customer’s specific situation and gives them more control over cost. It is solely a discount based on good driving actions of the customer, keeping the coverage on the vehicle the same.
Nationwide’s telematics programs vary from that of other carriers, and the variations give Mosaic additional options to help a client keep the same reliable car coverage, while saving money and having more personalization options.
What kind of savings come from SmartRide?
When first enrolling in SmartRide, a customer gets an automatic 10% participation discount. Afterwards, discounts are given based on safe driving data. A client can get up to a 40% discount for safe driving, and the national average is 21%.
The safer a customer drives, the higher their savings.
To track safety, a client either uses the SmartRide app on their cellphone or they plug a device directly into their car. Customers have the option to choose which method, but some might have to use the app if their car is older than 1996 and does not have the compatible adaptor to use the physical device.
Data time duration depends on enrollment date, but it is typically 4-6 months. Clients can track their rating over the duration for a discount estimate. If a customer uses the plug-in device to track data, only the enrolled vehicles get the discount. If customers all use the app to track data, discounts are averaged and then a final car insurance discount is applied to every vehicle on the policy. The discount will be applied at the next policy renewal and will remain on future policy terms if the customer stays an auto insurance client.
To measure safe driving effectively, Nationwide considers factors that increase the likelihood of an accident:
Miles driven. The more miles someone drives, the higher chances they have of getting into an accident.
Hard braking and accelerating. Coming to a sudden stop, decreasing speed significantly, and punching the gas can cause accidents and/or traffic violations. It is also commonly an indicator that the driver might not be paying adequate attention. Nationwide considers hard braking as “a slowing in excess of 7.7 mph per second.”
Night driving. Driving late, typically in the hours of midnight-5 am increases the likelihood of being in an accident.
Idle time. Stop-and-go traffic increases the chances of getting into an accident than traffic that is flowing at a steady pace. Bad traffic on the highway, having to stop at multiple streetlights and stop signs, construction zones that are causing a car to constantly stop, etc. increase the chances of hitting another car.
Is SmartMiles also worth looking into?
If a customer does not drive a certain vehicle on their policy very often, then SmartMiles can help them save money on that car. This program is great for people who work close to home, work from home, use public transportation frequently, have a car they do not drive often, have a classic car that is only driven part of the year, and the like.
With this coverage, data tracking happens until the program is no longer desired, and monthly payment uses this formula: base rate + (actual miles driven x rate per mile). When first signing up, an agent will set the base rate and cost per mile and estimate the monthly mileage for the first payment. After the first month, actual mileage will be counted for the following month’s bill. For example, if Sam signs up in the beginning of June, his June bill will have the estimated miles factored in and real miles will start being tracked for July’s bill. If Sam has a base rate of $40 and he drives 100 miles in June with a rate of $0.06 per mile, then for the month of July, his bill would be $46 ($40 base rate + (100 miles x $0.06 per mile)).
Mileage driven is determined by an app or in-car plug-in device like with SmartRide. Customers can track their miles online to get an idea of their next bill cost. Also, only the first 250 miles will be calculated in a day, so if a client decides to take their car on a road trip, it will not cost a fortune.
Why Nationwide?
Telematics are not a new thing amongst auto insurance carriers. However, Nationwide offers more opportunities than the average insurance agency.
● There is no cost to participate in any of the programs.
● Clients will not receive any increase in coverage due to participating.
● For SmartMiles, the base rate and mileage rate will remain the same over time unless the policy changes.
● Customers can choose what is best for them based on their driving habits with each of their cars on the policy. While all cars on the policy can participate in a program(s), they do not have to participate at all, nor do they have to participate in the same program. A car can also do both programs.
● Additional opportunities for discounts. For example, participating customers can receive an additional discount if they bundle home and auto insurance.
Have any questions, or interested in getting a free quote? Mosaic loves questions and is ready to help in any way possible. Give them a call at 425-320-4280, or email them at [email protected].
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