Hyundai Motor India Ltd (HMIL) has introduced a usage-based insurance (UBI) programme for eligible customers of its Bluelink-connected vehicles, offering the potential to save up to 15% on the own-damage component of their motor insurance premium based on driving behaviour.
The programme, launched in association with Hyundai India Insurance Broking (HIIB) and three insurance partners, will assess customers’ driving patterns and provide personalised scores that participating insurers can use to determine insurance benefits at the time of policy renewal.
The first phase of the programme will involve Cholamandalam MS General Insurance, Go Digit General Insurance and ICICI Lombard General Insurance. It will be available to eligible Hyundai customers across the product portfolio who own Bluelink-connected vehicles and have insurance renewals falling within the specified eligibility window.
Driving behaviour determines insurance benefits
The UBI programme uses driving data generated through Hyundai’s Bluelink connected-car platform to evaluate individual driving behaviour. The score will be calculated based on driving patterns recorded over the preceding three months.
Key parameters include driving dynamics such as rapid acceleration, rapid deceleration and harsh braking, along with speed control and idling behaviour.
Customers can access their UBI scores through the Bluelink app, track their eligibility and, with their consent, share the scores with participating insurers for underwriting.
A score of 70 or above may make customers eligible for additional insurance benefits, subject to the underwriting policies, terms and conditions of the respective insurance partners. Customers scoring below the threshold can use personalised driving tips to improve their driving behaviour and potentially qualify for benefits at a subsequent renewal.
Customers whose insurance policies are due for renewal within the next 90 days will be able to view their scores and explore the potential benefits.
Hyundai India Insurance Broking will act as an intermediary between HMIL and the participating insurers, facilitating the consent-based sharing of driving scores and access to personalised insurance offerings.
Connected-car ecosystem expands
Hyundai Motor India MD & CEO Tarun Garg said the company had more than 0.8 million connected cars on Indian roads and was targeting one million cumulative connected-car sales by 2027 and two million by 2030 through its Bluelink platform.
He said the UBI programme would extend the benefits of connected mobility beyond convenience and vehicle safety by rewarding responsible driving with personalised insurance benefits.
Depending on insurers’ underwriting rules, eligible customers could save up to 15% on the own-damage component of their insurance premium, he added.
Unlike conventional motor insurance pricing, which relies primarily on factors such as vehicle characteristics and the policyholder’s insurance history, usage-based insurance introduces driving behaviour as an additional parameter in assessing risk.
The initiative also allows customers to demonstrate responsible vehicle usage through data-backed driving records, potentially supporting vehicle resale value.
The UBI programme is the latest addition to Hyundai’s expanding Bluelink ecosystem. The company has also introduced features such as Digital Passport, which provides vehicle health insights, and Remote Immobilizer to enhance vehicle security.
With usage-based insurance, Hyundai is seeking to leverage connected-car data to create additional ownership benefits while encouraging safer driving practices.