Ratemaking Model of Usage Based Insurance Based on Driving Behaviors Classification

Abstract

Based on the present situation of usage based insurance (UBI) research and application, this paper puts forward the UBI rating model based on driving behavior classification, and applies the technology of data mining to the evaluation of driving behavior. The actual driving behavior data and the risk data of 400 drivers are used as experimental data. Finally, an example shows that the driving behavior classification model is superior to the driving behavior score model for the identification of accident risk, which can make UBI rate more scientific and reasonable.

Keywords

• vehicle insurance rates
• usage based insurance (ubi)
• telematics
• driving behaviors
• classification algorithm