Usage Based Insurance (UBI) has been around for more than ten years, with Progressive Insurance being among one of the early adopters in the late 1990’s. While UBI offers many potential benefits to consumers (decreased premiums, you pay for what you drive), the technology has not yet seen the massive adoption as originally anticipated.


In my work with insurance companies, I have seen several pilot programs that did not get the expected consumer participation. While it seems to hold a lot of promise, like many other consumers out there, I still have some reservations about signing up for a UBI program with my insurance provider. I would probably be a prime candidate for a UBI program because I’m a safe driver and I don’t drive a lot—mostly local driving.

If you’re an insurance executive and are curious to know why drivers like me are not signing up for UBI, I’d like to dive into some of the reasons. Overcoming the Fear Factor