Independent analysis by Angelica Solutions commissioned by Howden Driving Data (HDD) confirms driving behaviour data isn’t just interesting, it’s invaluable. In a first-of-its-kind independent study, Angelica Solutions analysed over 1.2 billion miles of telematics data from young driver policies and found that Howden’s proprietary HDD Driver Score is proven to be a significantly stronger predictor of claims than traditional insurance rating factors alone.
The study shows:
• HDD Driver Score can identify drivers who are over three times riskier than traditional rating factors would predict
• Just 30 days of data can accurately forecast long-term claims risk
• Night driving and aggressive driving styles were major predictors of large loss events. In fact, regular night-time drivers were found to be 17 times more likely to have a large loss than those who drive only in daylight, a sobering risk for insurers, reinsurers, and society at large
• Intervening early through cancellation or behaviour change could each cut loss ratios by 6% or more in year one – options not even open on traditional policies
• This is the first time such analysis has been made public that not only quantifies the benefit of using telematics data but ties it directly to specific driver behaviours and the insurer actions needed to unlock this value
The analysis shows insurers and brokers could slash renewal loss ratios by more than 13% if they integrate driving behaviour data into their pricing strategies, opening the door to safer roads, fairer premiums, and better-performing motor portfolios.
While the industry accepts the theory that telematics data is valuable, few have been able to quantify it, let alone convert it into measurable, monetary benefit. This study bridges that gap. It also shows clearly that unless insurers act on the data, not just collect it, the economics simply don’t work.
The research focused on Ingenie’s young driver book, one of the UK’s most mature telematics portfolios, and evaluated the HDD Driver Score against historic claims performance using actuarial-grade modelling techniques to isolate the incremental value of behavioural data.
“We’ve always believed in the power of driving behaviour data, but this is the first time it’s been validated openly at this scale,” said Sarah Vaughan, Founder & Director at Angelica Solutions. “Everyone agrees it’s not rocket science but without data and analysis, the risk relationship can’t be priced, and what can’t be priced can’t benefit consumers or the bottom line. The data is already there. The opportunity for insurers is to use it early, smartly, and in a way that drives real impact.”
Penny Searles, Chairman, Howden Driving Data comments: “Let’s be honest, telematics has become a tired word in insurance. Too much promise, not enough delivery. But this changes everything. For the first time, we have cold, hard proof that driving behaviour data improves pricing accuracy and portfolio performance. It’s time to move from ‘potential’ to practice. This isn’t just an insurer opportunity, it’s a call to action for government and policymakers too. If reducing motor insurance costs is a strategic goal, then supporting telematics adoption via IPT relief, score-sharing frameworks or investment incentives would be a strong place to start.”
Sarah Vaughan concludes: “The industry has spent years talking about the potential of telematics. This proves that if you use the data properly, it delivers. The question now is, who’s ready to act?”
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