KANETIX.ca survey suggests, yes: six in 10 Canadians would opt for usage-based insurance, despite privacy concerns.
The big buzz in auto insurance is usage-based insurance programs that monitor your driving to determine if you'll get a discount off your insurance. The discounts can be significant too, up to 25 per cent off your auto insurance premium. But, like anything new, there are a lot of unknowns.
KANETIX.ca commissioned a survey to delve into the psyche of Canadian drivers to find out if consumers are ready for usage-based auto insurance. The survey, conducted by Leger, looked at Canadian consumers' familiarity with the notion of usage-based insurance, their willingness to take part in a program, savings expectations, and concerns drivers have with the whole idea of it all.
The majority of Canadians are not familiar with usage-based insurance; nationally 79 per cent of Canadians are unfamiliar with it. In Ontario and Alberta, 76 per cent said they were unfamiliar with usage-based insurance, while in Quebec 79 per cent were unfamiliar with the concept. So what is it exactly?
A usage-based insurance program monitors how you drive through a device that plugs into your vehicle. It monitors acceleration, braking, the time of day you drive, and distance driven to determine if your driving habits warrant an insurance premium savings discount.