Volkswagen Financial Services (VWFS) has teamed up with telematics broker Carrot and its sister technology firm Trak Global on a new offering for young drivers.
Under the deal, VWFS will offer a year’s free telematics-based insurance to 18-to-24-year-old drivers that buy a Volkswagen Polo from a Volkswagen dealership.
The car’s on-board telematics technology will collect the driving data. Trak Global will provide the scoring and data analytics. Carrot will handle the insurance side of the deal, giving VWFS access to its panel of insurers and handling the policy administration for VWFS’s insurance brand.
Carrot and Trak Global chief executive Nick Corrie said: “Many insurance and automotive industry commentators believe one of the key destinations of the connected car evolution is insurance capacity being combined with ‘on board’ telematics technology to deliver mass market telematics. In principle that is what we are beginning to do with VWFS today.”
VWFS insurance director Robert Cottrell added: “We researched the telematics industry thoroughly and concluded Trak Global/Carrot’s unique two-tiered business, from in-house technology and product design (Trak Global), to delivering appropriately branded telematics insurance via their panel (Carrot), is the best fit for our requirements.”