Autodata Middle East and Zurich have signed an agreement in which dynamic pricing techniques will determine the actual value of a used car in the UAE, resulting in even more accurate calculation of motor insurance premiums. Autodata is one of the leading provider of vehicle and pricing information and
Zurich is one of the world’s leading insurers. Under the agreement, Zurich Insurance will use Autodata Middle East’s proven dynamic pricing model, giving the insurer immediate visibility of any valuation changes in the market.
The prices of used cars change daily, due to the influence of factors such as depreciation, interest rates and seasonality. Traditional valuation systems, for instance valuation books, produce price information that has been derived from depreciation models that are based on the opinions of panels. This information is not independent, and is not objective.
Maroun Mourad, CEO of Zurich’s General Insurance operations in the ME, said: “An important part of Zurich’s service promise is a commitment to continuously improve how we service our customers and distribution partners. Autodata’s dynamic auto valuation model will enable Zurich to be even more accurate in pricing risk, ensuring customers enjoy the right cover at the right price.”
“There is the misconception in this region that vehicles depreciate by a pre-set percentage each year,” states Pascal Persoon, General Manager of Autodata Middle East. He continues: “Motor insurance premiums that are based on actual car values provide greater transparency and better pricing, which is beneficial for all concerned, insurance company and car owner alike”.