Maxis, Etiqa team up to offer usage-based insurance plan

KUALA LUMPUR: Maxis and general insurer Etiqa have teamed up to roll-out a usage-based insurance (UBI) programme that offers businesses greater cost savings and business efficiency for their customers. 

The programme will leverage on Maxis mDrive as a proven vehicle tracking solution and Etiqa’s wide-range of general insurance premium offerings.

Maxis said on Wednesday mDrive is an easy, affordable vehicle tracking solution that optimises efficiency and productivity through monitoring of vehicle’s vital information, such as the vehicle’s location, mileage and engine health. 

The solution can also provide insight into driver behaviour patterns when benchmarked against international standards for safe driving. It is now UBI-ready.

Maxis said there are three important aspects why the collaboration will benefit their customers.

Firstly, there is a peace of mind. Businesses can monitor the location of their vehicles at anytime, anywhere and ensure it is where it should be. 

By tracking their vehicles, businesses can ensure the timely delivery of goods and services and thus improve customer satisfaction.

Secondly, there is business efficiency as the monitoring and analysing of driver behaviour generally encourages drivers to be more careful on the road. Hence, general road safety is improved while this also reduces disruptions to business operations as vehicles remain in the best working conditions.

Thirdly, there is cost savings. Businesses with vehicles that are being tracked typically see their drivers take less risks on the road, for example reducing their driving speeds. 

This will result in additional benefits in terms of fewer traffic summonses and also a significant reduction in fuel costs. Accompanied with better insurance premiums, businesses can potentially enjoy significant cost savings.

Maxis’ head of enterprise Loong Tuck Weng said: “Maxis mDrive has attracted many businesses because it is a single solution that fits into any company’s fleet and is easily scalable at an affordable cost. 

“Now, with the added benefit of readily available UBI driver scoring capabilities, Maxis is enabling businesses to enjoy further cost savings with lower insurance premiums from Etiqa.”

Maybank Ageas Holdings Bhd group CEO Kamaludin Ahmad pointed out safe driving is no longer a matter of mere lip service.

“The fact that the driving habits of business’ fleet drivers can be tracked and monitored means that they will be more cautious when they drive,” he said.  

“Under this programme, Etiqa is offering a unique UBI insurance only for mDrive customers, who will enjoy better premium rates. As they maintain their good driving behaviour over a period of one year, such offers will be extended and expanded on.” 

Maybank Ageas Holdings is the parent company of Etiqa Insurance Bhd and Etiqa Takaful Bhd.