Transportation Analytics for Trip-Based Insurance Premium Calculation
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
Current computing devices face limitations in calculating insurance premiums based on telematics data from user mobile devices due to lack of specific data structures, inability to assess actual transportation behavior, and inefficiencies in payment processes for usage-based insurance policies with varying premiums and multiple payment obligations.
Innovation Solution
A transportation analytics computing device that receives, stores, and analyzes telematics data from user mobile devices to identify trips, calculate insurance premiums, and automatically transfer payments from transportation platform accounts to insurer accounts, utilizing AI and machine learning for accurate risk assessment.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Measurement precision
If telematics data is collected from mobile devices to calculate insurance premiums, then the accuracy of risk assessment is improved, but the complexity of data processing and payment management increases
Solution Approach 1:
The patent introduces a transportation analytics computing device as an intermediary between mobile devices and insurers. This intermediary automatically processes telematics data, identifies trips, calculates premiums, and manages payment transfers, thereby resolving the complexity burden while preserving accurate risk assessment capabilities
2Reliability
If usage-based insurance premiums are calculated based on actual transportation behavior, then the fairness of insurance pricing is improved, but the time required for premium calculation and payment processing increases
Solution Approach 1:
The system performs preliminary actions by continuously collecting and storing telematics data in structured databases with trip identifiers and timestamps during the insurance period. This pre-processing enables rapid premium calculation when needed, maintaining pricing fairness while reducing actual calculation time
Solution Approach 2:
The transportation analytics computing device automatically identifies trips from telematics data, calculates premiums based on actual usage, and executes payment transfers without requiring manual intervention. This automation maintains accurate usage-based pricing while eliminating time losses associated with manual processing
3Adaptability or versatility
If multiple payment obligations are managed for usage-based insurance policies, then the completeness of insurance coverage is improved, but the complexity of payment management increases
Solution Approach 1:
The transportation analytics computing device performs multiple functions including trip identification, premium calculation, payment processing, and account management within a single integrated system. This multi-functional approach ensures complete coverage management while reducing overall payment management complexity through consolidation
Data Source
AI summary
A transportation analytics (TA) computing device may be provided. The TA computing device may include at least one processor and/or associated transceiver. The at least one processor and/or associated transceiver may be configured to: (1) receive, from a user mobile device, telematics data including an indicator that the user mobile device is communicatively linked to a transportation device; (2) identify each period that the user mobile device is communicatively linked to a transportation device as a trip using the transportation device; (3) store, the telematics data in a database in association with a trip identifier corresponding to the identified trips and a time stamp; (4) perform a lookup in the database to identify, based upon the timestamps, telematics data corresponding to a time period; and/or (5) calculate, based upon the identified telematics data, a premium amount for insuring the user during the trips taken during the time period.