Dearborn, Michigan — State Farm and Ford are working together to give shared customers in the U.S. lower premiums through a new Vehicle Build Data product, crafted from a year-long research project conducted by the two companies.
Over the course of a year, State Farm and Ford collected vehicle build data from companies to get a closer look at how safety features impact claims. What was found is that companies that shared their data were able to lower the cost of vehicle ownership by better matching price to risk. This allowed for savings up to 20 percent. The data also gives State Farm and Ford a better look at how specific features impact the severity of auto claims like ADAS systems.
State Farm Vice President of Operations, Craig Isaacs, said in a press release that the main strength of the Vehicle Build Data product is that it’s customizable and doesn’t rely on a ‘one size fits all’ model.
“We’re finding solutions for the future by grounding everything in data, research and insights,” Isaacs said. “What’s unique about this project is we’re not just looking at the make and model of a vehicle, but ultimately to the individual safety features on each vehicle.”
Tim Meek, Ford’s digital insurance manager, Ford Enterprise Connectivity, said that the new product they are offering is designed with the customer in mind.
“Our new-build data API piloted with State Farm is another way we’re using data to help our customers get the most out of their Ford, at a lower total cost of ownership,” Meek said. “What’s more, State Farm can access build data back to 2010, which means second and third owners also benefit.”
