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The Car Insurance for People Who Hate Car Ownership

With the rise in ride-sharing and autonomous vehicles, the car insurance industry is innovating in new ways. One company changing the game is Arity.

Arity, a subsidiary of Allstate, is going in another direction in assessing driver risk, providing discounts on insurance policies based on driving behaviors, not demographics like age, gender, and marital status that are primary indicators of risk.

Using millions of data points on personal driving data, it relies on in-vehicle sensor data, used to learn which behaviors are more likely to result in an accident.

Arity president Gary Hallgren

This results in a unique scoring assigned to each driver.

?Cars and phones alike have far more sensors that collect more information with greater accuracy,? said Arity president Gary Hallgren in an Aug. 2018 feature with Fortune magazine. ?And wireless networks transmit it in real time.?

At the moment, Arity has been losing money to the tune of $15 million in 2017, climbing past $79 million in all. However, it is relying on 10 years worth of data to serve customers that may eventually include trucking fleets and ride-sharing companies, such as Uber and Lyft.

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