Berkshire Hathaway GUARD Insurance Companies See Reduced Accidents with SDS

The SDS Active Driver Assistance System, supplemented by the SDS Telematics unit, has been tested to assess whether it reduces the frequency and severity of accidents. The SDS solution includes radar technology to help prevent collisions. Real-time tracking capability provides driver behavior and rating analytics. In 2018, SDS’ collision avoidance radar solution was installed in 585 vehicles operated by 40 commercial fleets insured by Berkshire Hathaway GUARD insurance companies, and they traveled a total of 1.2 million miles. The pilot clearly demonstrated the value of the SDS collision avoidance feature and the value provided, both to vehicle owners and the insurance company.

“All drivers participating in the project have been graded for their driving. Overall, the average Driver Behavior Trend score has increased by approximately 4% from the start of the pilot to the present. In the first four to six months, their average intercity vehicle speed dropped to 65 miles per hour, and 92% immediately reduced their speed when the radar system warned of an impending accident,” said Doron Kedem, director of SDS.

“After an initial adjustment period, the liability frequency of SDS vehicles exceeded that of the control group,” said Amber Ng, chief actuary at Berkshire Hathaway GUARD. “The data showed that once SDS systems were installed in vehicles, the number of collisions dropped by more than 25% after adjusting for other variables.”

The RD140 collision avoidance radar system from SDS can be installed in any vehicle manufactured after 2006.

Kristan F. Talley