Telematics technology, which collects real-time driving data, is emerging as a significant tool for reducing biases in auto insurance pricing. Traditionally, insurers have relied on demographic factors and credit scores, which can lead to unfair pricing for certain groups. The shift towards assessing driving behavior allows for more personalized and equitable premiums based on actual performance. Industry experts argue that this approach not only addresses systemic discrimination but also aligns with consumer demand for transparency and fairness in insurance.
