Ford Motor Company and State Farm recently completed a data-driven pilot project that saved many of the companies’ shared customers with advanced driver assistance systems (ADAS) up to 20% on their insurance.
Over a year, the automaker and the insurance giant shared vehicle build data to better understand how certain safety features impact claims. For example, using Ford’s new Vehicle Build Data product State Farm had a comprehensive view of a vehicle’s feature content and a better perspective on how ADAS technologies affect the frequency and severity of auto claims. State Farm also shared claims data with Ford to help inform the automaker on how specific vehicle safety features impact auto claims.
Ultimately, this unique cross-industry information exchange resulted in a lower overall cost of vehicle ownership — up to 20% less — for numerous shared customers because the policy prices were based on better risk assessment.
Both companies are committed to grounding new solutions to evaluate real-world data. State Farm and Ford’s long history of sharing loss experience and technical information helps make the nation’s roads safer for all drivers, according to the companies.
After a successful pilot, the partners plan to continue to apply the formula, which better matches insurance price to risk, to more customers. Specifically, State Farm customers with certain Ford, Lincoln or Mercury products dating back to 2010 can benefit from this data sharing partnership.