CENTREVILLE, Va., Feb. 27, 2020 /PRNewswire/ -- CARFAX® now helps insurers more precisely identify a specific vehicle's trim level and installed equipment, allowing them to more accurately underwrite and price auto policies. As part of CARFAX Vehicle History, insurers can now access information on over 530 unique OEM vehicle attributes categorized into five segments: Safety and Security, HMI and Infotainment, Comfort and Convenience, Chassis and Drivetrain, and Base Vehicle Characteristics. This VIN-level information gives insurance carriers unparalleled insight into the factory and aftermarket equipment installed on a vehicle.
"Leveraging over 35 years of vehicle history data, insurers finally have the ability to actuarially evaluate and price for the unique equipment configuration on specific cars and trucks," said Dan Hill, Director of Insurance Underwriting at CARFAX. "We've normalized the thousands of vehicle attributes and distilled them down into a consistent set of VIN-level attributes for ease of use."
A core segment of the VIN-level attributes data covers advanced driver-assistance systems (ADAS) that improve safety and security such as blind spot monitoring and collision detection systems. Additionally, CARFAX can identify a wide array of other equipment installed on a vehicle such as integrated apps or customizable instrumentation that could distract drivers. Presence of these infotainment options can impact safety as well as repair costs when the equipment is damaged in an accident.
"Insurers know that ADAS has an impact on loss costs, but up until now, they didn't have access to the data they needed to quantify that impact," said Don Hendriks, Chief Actuary of the CARFAX Banking & Insurance Group. "This CARFAX data allows them to integrate information about the vehicle from bumper to bumper into their rating plans, going well beyond ADAS information. Our analysis shows carriers are already benefitting from this data."
CARFAX offers a Vehicle Insights Programtm that provides insurers with unique benchmarking information for improved underwriting and rating. Insurance companies can now evaluate CARFAX vehicle attribute data through this program to see the potential impact on their own portfolios. To learn more, visit CarfaxForInsurers.com/insights.
CARFAX, part of IHS Markit (NYSE: INFO), helps millions of people every day confidently shop, buy, service and sell used cars with innovative solutions powered by CARFAX vehicle history information. The expert in vehicle history since 1984, CARFAX provides exclusive services like CARFAX Used Car Listings, CARFAX Car Care, CARFAX History-Based Value and the flagship CARFAX® Vehicle History Reporttm to consumers and the automotive industry. CARFAX owns the world's largest vehicle history database and is nationally recognized as a top workplace by The Washington Post and Glassdoor.com. Shop, Buy, service, Sell ? Show me the CARFAXtm. Become a Carfax Banking & Insurance Group insurer at www.CarfaxForInsurers.com or call 800-789-6232. Based in London, IHS Markit is a world leader in critical information, analytics and solutions.
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