Why Remote Work Is Lowering Car Accident Claims?

Understanding the Link between Remote Work and Low Claims

Let’s explore how remote work has led to a decline in accident-related claims.

Less Exposure to Risk

Road accidents and related fatalities are directly linked to higher road exposure. The more vehicles on the street, the higher the chances of accidents and claims. This is not only because of road congestion and traffic, but also because of the way many drive during rush hours to reach their office or college on time. With a decline in exposure to risk, there has been a notable decrease in road accident claims.

Shift in Driving Pattern

Remote work doesn’t translate into the elimination of driving completely. Rather, a shift in driving patterns. How? Remote workers are no longer driving during rush hours. Even for needs like casual outings or going to the gym, they prefer driving during off-peak hours. This shift has reduced road accidents, as evidenced by lower car accident claims.

How Does this Impact Insurance Premiums?

Witnessing a significant decline in road accidents due to remote work, insurance companies are also shifting their approach. Here’s how you can benefit from this:

Adjustment in Pricing Models

Unlike traditional methods, motor insurance companies now evaluate risk factors to determine the insurance premium. With lower exposure to risk, you may benefit significantly from lower premiums. This adjustment in the pricing model can be seen as a step toward aligning motor insurance plans with changing mobility patterns.

Pay-As-You-Drive Benefits

The Pay-As-You-Drive feature under motor insurance is one of the most interesting outcomes of lower car accident claims. If you are a remote worker, this feature can help you save substantially compared to the traditional flat rate premium.

What is Pay-As-You-Drive? It is a car insurance rider that you can add to your existing motor insurance policy. Here, your premium is directly linked to the actual distance ( pre-determined slabs) your vehicle has travelled.

Additional Benefits

As a remote worker, you enjoy lower premiums and additional benefits, including No Claim Bonus and quicker claim settlements due to reduced overall claims. Insurance companies may also offer bundled perks like roadside assistance and renewal discounts¯.

Looking for more such benefits under motor insurance? Trust Jio Insurance Broking to bring the best car insurance policies for your needs.

How does this go beyond Insurance?

The benefits of remote work go beyond insurance. Here’s how:

Enhanced Road Safety:

Traffic congestion has improved across major Indian cities, which has eventually reduced the risk of road accidents for vehicle owners, pedestrians, cyclists, etc.

Lower Carbon Emissions:

Interestingly, remote work is also considered an environmentally friendly approach. With fewer vehicles on the road, there is a direct cut in carbon emissions. Such changes can benefit extremely polluted cities like Delhi or Bangalore.

Better Work-Life Balance:

By reducing long daily commutes, remote workers can now enjoy a better work-life balance.

Conclusion

Remote work has helped reduce the overall road congestion and accidents. With fewer cars on the road, the chances of road accidents and related fatalities have also declined. Result? A significant decline in car accident claims under motor insurance. Policyholders can benefit from such declines in claims by enjoying benefits such as affordable insurance premiums, faster claim settlement, no claim bonus, and a pay-as-you-drive feature.

If you're seeking motor insurance with exciting benefits for remote workers, Jio Insurance Broking is the ideal platform to explore, compare, and purchase the best car insurance plan.