International telematics company Octo Telematics has expanded its operations into Canada with the launch of new usage-based insurance programs in Ontario and Quebec.
The company is well established in the US market as a provider of telematics systems and services to the auto and insurance industries, but has been looking for a new opportunity given the rising adoption of services by US auto insurers.
In a statement, Octo (Rome, Italy) said customer acceptance of insurance telematics has grown significantly over the past few years and that most US auto insurers already have usage-based insurance services available or in development.
Although Canadian insurers are beginning to introduce programs, the market appears to be far less developed than Octo’s home turf.
“We expect our new Canadian operations, headquartered in Montreal, to quickly replicate the successes we’ve seen in the US as we begin to offer comprehensive program service and support also in Canada,” said Nino Tarantino, the chief executive of Octo Telematics North America.
Octo says it has launched seven insurance telematics programs with leading US insurers since starting its US operations less than three years ago.
It has also already made some progress in Canada.
Earlier this month, Intact Insurance (Toronto, Canada) and belairdirect (Ottawa, Canada) both launched telematics-based discounts in Canada using the company’s systems and services.
“Octo has been refining and delivering quality insurance telematics services in Europe for more than 11 years and we have more than two million active customers in more than 20 countries,” said Fabio Sbianchi, the chief executive of Octo Telematics. “Octo Telematics in North America has grown rapidly, where we plan to invest and consolidate a world leadership role.”
Tarantino says that Octo plans to make increasing use of developments in the field of big data to provide “actionable insight” across claims management, pricing and customer assistance.
Octo recently claimed to be adding more than 120,000 new customers each more tand processing more than 72,000 data points every minute, maintaining what it says is the world’s largest insurance telematics statistical database.