SINGAPORE (Oct 6): NTUC Income is introducing two new insurance schemes, Drive Master and FlexiMileage, which are usage-based schemes to reward good driving behavior and low-mileage driving.

Income aims to utilise telematics, real-time data on driving behavior such as driver’s speed, manoeuvres drive time and mileage to better assess and manage risk.

“With Drive Master and FlexiMileage, we are leveraging digital technology to make insurance more personalised for our customers,” says Ken Ng, chief executive, Income.

“The combination of telematics and data analytics allow us to offer insurance, which is behaviour- and usage-based,” he adds.

The Drive Master is a smartphone app which applies telematics to track and assess driver’s speed, manoeuvres, drive time (time of the day) and mileage on a journey. Based on these criteria, the app will award a cumulative score, which will be more weighted on driver’s speed and manoeuvres, after each drive.

Drivers who participate must hit minimum mileage of 5,000 km and allow data to be shared via the app for six consecutive months. An average score of 70 and above is required to enjoy savings of 5% to 20% on motor insurance premiums.

The app is currently available to all drivers but only policyholders can enjoy the premium discounts.

FlexiMileage is a usage-based scheme for those who drive 9,000 km or less a year. Drivers who drive less than 5,000 km a year can get a 35% discount on their current premiums, while those who clock between 5,000 km and 9,000km can get a 20% discount.

Participating drivers are required to install the telematics device at the Income Motor Service Centre after applying online, which will only capture the mileage and not store any personal data. Drivers who exceed 9,000 km will only not receive the discount and not pay any penalties.

“Drive Master and FlexiMileage are part of Income’s continuous efforts to ensure that our policies remain competitive and innovative, catering to our customers’ current and future needs,” says Bill O’Connell, vice president for Motor Insurance, Income.