GM Enters Car Insurance Game With OnStar

General Motors is looking to transform the automotive insurance industry with the announcement of its OnStar Insurance....
GM Enters Car Insurance Game With OnStar
Written by Matt Milano

General Motors is looking to transform the automotive insurance industry with the announcement of its OnStar Insurance.

OnStar has been a signature service offered on GM vehicles for 20 years, providing navigation, hands-free calling, diagnostics, security and emergency services. GM sees an opportunity to capitalize on that track record by offering insurance built around the service.

Because OnStar has access to existing vehicle systems, it can provide a level of integration and communication other insurance companies would be envious of. OnStar Insurance will provide customers with personalized plans based on their driving habits. Should an accident occur, the system will be able to automatically notify OnStar personal so help can be quickly dispatched.

“OnStar Insurance will promote safety, security and peace of mind,” said Andrew Rose, president of OnStar Insurance Services. “We aim to be an industry leader, offering insurance in an innovative way. GM customers who have subscribed to OnStar and connected services will be eligible to receive discounts, while also receiving fully-integrated services from OnStar Insurance Services.”

Provided GM can compete on cost, it’s a safe bet the company will have a hit on its hands with its OnStar Insurance.

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