OnStar has typically been used as a safety net, helping out in emergencies by calling 911 or helping to track stolen cars. But now the safety suite is offering driving tips and potentially lower insurance rates.
Announced today at the 2015 Consumer Electronics Show in Las Vegas, GM and OnStar revealed that new car owners can opt into a service that will track your driving driving habits during a 90 day span. This service will be offered this summer on all 2016 model year GM vehicles, most 2015 models and select 2013 and 2014 models.
Following that 90-day evaluation period, the driver will receive some feedback about how they drive and how they can become a safer driver. Users can then send their driving habits to Progressive Insurance in order to potentially lower their premiums, as stated on millerhanover.com.
Progressive currently offers a similar service via its Snapshot usage-based insurance service. By plugging in a device into your car, the company can track the way you drive and potentially offer a lower insurance rate. With this new OnStar based service announced today, drivers won’t require the Snapshot device and users can choose not to send the information to Progressive following the 90 day evaluation period.
SEE ALSO: What is Usage Based Insurance?
“The driver assessment is meant to help people better understand how they drive and give them feedback on how to be better, smarter drivers,” said Greg Ross, director of Global Connected Consumer Experience, General Motors. “This is the first time we can use actual driving behavior to deliver valuable important feedback to customers who want this information.”
“The beauty of this program is that control is in the hands of the customer,” said Ross. “If they wish to participate, we’ll inform them of their driving behavior and then they’re able to choose if they want to share their information with Progressive.”
2015 Consumer Electronics Show Coverage
So far, Progressive is the only insurance provider that has partnered up with OnStar.
“We are looking beyond traditional expectations of car makers and insurance providers, toward helping people be smarter drivers,” said Dave Pratt, general manager of usage-based insurance at Progressive. “Providing drivers with feedback benefits consumers by making them more aware of their driving behavior, saving them money and keeping the roads safer. This program makes it easier than ever for consumers to take advantage of the latest in-car technology and the leading usage-based insurance program.”
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