20 July 2018
IoT and the Auto Insurance Industry: Next-Gen Vehicle Tracking Minimizes the Administrative Burdens of Vehicle Theft
Advances in Telematics Improve Vehicle Recovery Times and Minimize Insurance Costs
Vehicle tracking systems are not new, of course. And although early versions undoubtedly helped police find stolen vehicles, there were a few major problems that often slowed down recovery.
To begin with, thieves could detect and disable tracking signals with relative easy, using jamming devices that cost only a few hundred dollars. Also, because these tracking signals were transmitted over cellular networks, signal strength wasn’t entirely reliable. If a truck was taken from a rural area with limited 3G/4G coverage, or if thieves parked a stolen car out of range in an underground garage, the tracking device was of little use. It might be days, if at all, before the vehicle was moved back into signal range.
Next-generation vehicle tracking systems use improved technology that solves these problems.
Instead of depending on traditional cellular networks (GSM), next-gen tracking devices transmit their signals over Sigfox’s global IoT network, designed specifically to power smart devices on the Internet of Things. Unlike traditional solutions, these signals are reliable, impenetrable, and virtually undetectable to thieves.
If a thief tries to disable a next-generation tracking device, by jamming its signal, he won’t succeed. This solution is so successful, in fact, that most vehicles protected by next-generation tracking devices are recovered in a matter of hours.[CLICK TO TWEET]
Global auto theft costs the insurance industry millions of dollars in claims costs each year. Even when vehicles are recovered unharmed, the administrative burdens of opening and closing claims add up. As the industry looks for ways to become leaner and more efficient, next generation tracking systems are leading the way.
Read our full use case to learn more about the technology behind next-generation vehicle tracking systems.