AIG offers discounts to low-risk motorists
TODAY file photo
SINGAPORE — Motorists will be offered discounts on their insurance premiums if they are assessed to be of low safety risk based on a 20-minute questionnaire.
The move by insurer AIG comes after it recently joined others in the industry in using telematics — the use of computers and wireless telecommunications technologies to transmit data — to gauge motorists’ driving, rewarding those who drive well with premium discounts.
Under the latest tie-up with the AAS Academy, which came up with the questionnaire, motorists answer 12 questions each in four sections, testing their driving attitude, knowledge, concentration and observation, and hazard perception.
Respondents will be rated as high, medium or low risk according to their answers. Those who achieve a “low-risk” score get a 15 per cent discount on vehicle insurance premium with AIG. AAS Academy is a wholly owned subsidiary of the Automobile Association of Singapore.
In a joint press release yesterday, AAS president Bernard Tay said that although the overall road safety situation improved last year, the increase in the number of accidents “shows that more can be done to increase awareness of road safety”.
Statistics released by the Traffic Police (TP) show that accidents resulting in injuries rose from 8,058 in 2015 to 8,277 last year, the highest number over the past five years.
Motorists who failed to keep a proper look out were the chief culprits in these accidents, followed by those who failed to keep proper control of their vehicles, and those who did not give way to traffic.
There were 140 road fatalities last year, bringing the fatality rate down to 2.51 in 100,000 persons, the lowest since the TP started keeping records in 1981.
In March, AIG launched a smart driving app that scores a motorist’s driving each time he takes the wheel, using telematics to measure indicators such as acceleration, braking, cornering and speed. Safe drivers get up to 15 per cent off their insurance premiums. Any discount from the online questionnaire under the latest tie-up will be on top of this, meaning a motorist could get 30 per cent off on premiums.
In October last year, motor insurance giant NTUC Income launched a scheme giving discounts to good drivers too.
Data on a motorist’s driving, such as whether he speeds or drives smoothly, are also collected using a smartphone-based app.
Before that, in January, MSIG Singapore started a trial where a device is installed in cars to track motorists’ driving. Under this, safe drivers stand to be rewarded with up to 20 per cent off their insurance premiums.
