Research by financial services company Deloitte indicates that 50% of drivers would be happy to share their driving data in return for discounted policies based on their driving habits. The company estimates that these type of digital insurance arrangements could be worth €20bn in just 3 years.

David Rush Deloitte UK head of insurance said, “This year’s survey showed a 20% rise in the number of customers willing to switch their insurance policy. When this ‘switchability’ is combined with people’s readiness to share their data and the rise of connected devices, the prospects for change in insurance are significant.”

Deloitte believes digital insurance could account for almost a quarter of policies by the end of the decade. James Rakow of Deloitte said, “Digitally-enabled motor insurance is on its way to becoming an important offering in all European countries. Customers are also ready for a new insurance product where insurers would be more than just a risk carrier or a company that offers discount-based polices. We could see new policies that do not just include traditional motor cover, but also services like automatic emergency assistance or theft and recovery notifications, depending on the driver’s needs. Insurers who follow this path could emerge as winners in a redistribution of the market for motor policies.”