Tag Archives: driving markets

Money Monday: New FICO score and good driving

Of course, your FICO score affects your auto insurance premiums. But now it may also give drivers a predictive driving score.

“Historically, many auto insurance companies have also used the FICO credit score when determining auto insurance premiums…But now FICO is getting into the business of building a predictive driving score. FICO has partnered with eDriving to create a driving score that will assess your level of risk as a driver.” (Forbes. “New FICO Credit Score Decides If You Are A Good Driver”. http://www.forbes.com/sites/nickclements/2016/10/14/new-fico-score-decides-if-you-are-a-good-driver/?ss=personalfinance#2503fb6663f1)

Using your smartphone, the eDriving app will “capture acceleration, braking, cornering, speeding, cellphone distraction, and other behavioral data, as well as provide the proprietary, predictive analytics platform to fuel the FICO Safe Driving Score.” (https://www.edriving.com) Then, that data will be used to create a driving score, which will provide a predictive level of driving risk to insurance providers.

Currently, the plan will target two primary driving markets; adolescents/new drivers and semi-truck drivers.

Read more about this in Forbes’ article: “New FICO Credit Score Decides If You Are A Good Driver.”