NAVTEQ (NYSE: NVT), a leading global provider of digital maps for vehicle navigation and location-based solutions, is supplying map data to Norwich Union for its innovative “Pay As You Drive” insurance scheme which could save drivers in the United Kingdom up to one third on their premiums. Drivers are provided with in-car GPS devices coupled with NAVTEQ street level maps, enabling Norwich Union to calculate insurance premiums for each journey, depending on time of day, type of road and mileage.
Norwich Union is the only insurer in the UK to offer a usage-based motor insurance policy and has launched “Pay As You Drive” nationally following a very successful pilot scheme involving 5,000 motorists. The objective is to help drivers control insurance costs by making informed choices about when to use the car. Pricing begins from as little as a penny per mile.
Bills will look similar to mobile phone bills, with the premiums for each journey calculated and totaled. This transparent approach to motor insurance will help customers control motor insurance costs in a way that has not been possible before now.
“We’re confident that ‘Pay As You Drive’ insurance is simply a fairer way of calculating premiums and gives customers greater control, flexibility and choice. That is why we expect this unique UK proposition to be a huge success with motorists.”