`
`[150057971 34A
`
`United States Patent
`
`119]
`
`[11] Patent Number:
`
`5,797,134
`
`McMillan et a1.
`
`[45] Date of Patent:
`
`Aug. 18, 1998
`
`MOTOR VEHICLE MONITORING SYSTEM
`FOR DETERMINING A COST OF
`INSURANCE
`
`5.543.273
`5550551
`5.638.273
`
`8/1996 Nicol et 31.
`............................. 340/439
`8/1996 Alesio ..................................... 342/457
`
`..............
`6/1997 Coiner et a1.
`364/42404
`
`[54]
`
`[75]
`
`[73]
`
`[21]
`
`[22]
`
`[5 1]
`[5 2]
`[5 8]
`
`[5 6]
`
`
`
`
`Inventors: Robert John McMillan. Tampa. Fla.;
`Alexander Dean Craig. Moreland
`Hills. Ohio: John Patrick Heinen.
`Tampa. Fla.
`
`Assignee: Progressive Casualty Insurance
`Company. Mayfield Village. Ohio
`
`Appl. No.: 592,958
`
`Filed:
`
`Jan. 29, 1996
`
`Int. Ci.‘5 ...................................................... G06F 17/60
`US. Cl. ................................................. 705/400; 705/4
`Field of Search ....................... 395/204; 364/424.01.
`364/424.04. 565; 340/441; 346/18; 705/4.
`400
`
`References Cited
`
`U.S. PATENT DOCUMENTS
`
`4.533.962
`4.608 ,638
`4.667.336
`4.763.745
`4.807 .179
`4.829.434
`4.843.463
`4.843 .578
`4.853.720
`4.939.652
`4.987 .541
`4.992.943
`5.055.851
`5.1 l l .289
`5.189,621
`5.223 .844
`5.319.374
`5.365.451
`5.430.432
`5.499.182
`
`.
`
`.
`
`8/1935 Decker et a],
`8/1936 Tsikos.
`5/1987 Best.
`.
`8/1988 Eto et a1.
`.
`2/1989 Clerc et al.
`5/1989 Karmel et a].
`6/1989 Michetti.
`6/1989 Wade ...................................... 364/565
`8/1989 Onari et a1.
`.
`7/1990 Steiner.
`1/1991 Levente et a],
`2/1991 McCracken.
`10/1991 Sheifer .................................... 342/457
`5/1992 Lucas et a]. .
`2/1993 Onari et a1.
`.
`......................... 342/357
`6/1993 Mansell et a].
`34W387
`6/1994 Desai et a1.
`..
`
`364/449
`
`11/1994 Wang et a1,
`.
`340/438
`7/1995 Camhi et al.
`
`.............. 364/424.04
`3/1996 Ousborne
`
`
`.
`
`,204
`
`i
`r vemcu sensor
`;.
`RECON} FILE
`
`F
`1
`*)"""“5
`[I
`i
`
`FOREIGN PATENT DOCUMENTS
`
`9002333
`
`3/1939 wrpo
`
`OTHER PUBLICATIONS
`
`Rosenberg. Martin: Alexander. Shephen A. Rate Classifica-
`tion Reform in New Jersey. Best’s Review(Prop/Casualty)
`vol. 92. No. 12. pp. 30—32. Apr. 1992.
`Kaneko. Tetsuya; Jovanis. Paul P. Multiday driving patterns
`and metro carrier accident risk. A disaggregate analysis.
`Accident Analysis and Prevention. vol. 24. No. 5. pp.
`437—456. Jan. 1. 1992.
`“The Safest Cars of ’9 1”; Baig. Edward US. News & World
`Report. v109. n22. p. 71: Dec. 3. 1990.
`“Vendors Spice Up Services”; Robert Deierlein Beverage
`World. v109. n1467. p. 82: Jun. 1990.
`
`Primary Examiner—Edward R. Cosimano
`Assistant Examiner—Thanh-Hang Voqui
`Attorney, Agent, or Fimz—Fay. Sharpe. Beall. Fagan.
`Minnich and McKee
`
`[57]
`
`ABSTRACT
`
`A method and system of determining a cost of automobile
`insurance based upon monitoring. recording and communi—
`cating data representative of operator and vehicle driving
`characteristics. The cost is adjustable retrospectively and
`can be prospectively set by relating the driving characteris—
`tics to predetermined safety standards. The method com—
`prises steps of monitoring a plurality of raw data elements
`representative of an operating state of the vehicle or an
`action of the operator. Selected ones of the raw data ele-
`ments are recorded when the ones are determined to have an
`identified relationship to safety standards. The selected ones
`are consolidated for processing against an insurer profile and
`for identifying a surcharge or discount to be applied to a base
`cost of automobile insurance. A final cost is produced from
`the base costs and the surcharges or discounts.
`
`26 Claims, 6 Drawing Sheets
`
`202
`
`(
`
`BEGm
`
`
`ACOUIRE
`VEHICLE
`RECORD FILE
`
`
`l
`206
`7’“.
`ACOUlRE 79156513
`“ TRIGGER EVENT
`new RESPONSE
`RESPONSE fire
`HLE
`1 +74
`A}
`
`I:
`CONSDJDA'H:
`FILES
`Acouifleo
`
`
`208
`
`. 210
`
`212
`
`3,, -L-.. , 3 ,1
`PROCESS FILE
`AGAlNS'I
`INSUHFD
`PROFILE
`
`4
`FRDCESS TILE
`AGAINST SURCHARGE
`ALGORIYHM FII E
`
`214
`
`216
`
`Account
`51 AYEMENTS
`
`77
`
`PHODIICE PFRiODIC
`BlLLS TO BE MAILED r0
`lNSURED
`
`Progressive Exhibit 2003
`
`Liberty Mutual v. Progressive
`CBM2013-00009
`
`
`
`US. Patent
`
`Aug. 18, 1998
`
`Sheet 1 of 6
`
`5,797,134
`
`I00
`
`BEGIN
`
`
`
`VEHICLE
`OPERATING
`
`?
`
`
`I04
`
`REVERIFY
`IN TWO
`
`MINUTES
`
`
`
`RECORD SENSOR
`
`INFORMATION
`
`
`
`
`
`
`IMMEDIATE
`RECORD TRIGGER
`UPLOAD
`INFORMATION
`
`
`
`?
`
`
`NOTIFY
`CENTRAL CONTROL
`
`
`
`
`CENTRA L CONTROL
`
`TAKE APPROPRIATE
`
`
`
`
`RECORD TRIGGER
`EVENT RESPONSE
`
`
`
`ACTION
`INFORMATION
`
`
`
`
`FIG.I
`
`
`
`US. Patent
`
`Aug. 18, 1993
`
`Sheet 2 of 6
`
`5,797,134
`
`FIG.2 @
`
`204
`
`202
`
`
`
`
`VE HICLE SENSOR
`RECORD FILE
`
`
`ACQUIRE
`
`RECORD FILE
`
`VEHICLE
`
`206
`
`208
`
`
`TRIGGER EVENT
`
`
`RESPONSE FILE
`
`
`
`
`ACQUIRE TRIGGER
`EVENT RESPONSE
`FILE
`
`2IO
`
`CONSOLIDATE
`FILES
`
`ACQUIRED
`
`2I2
`
`PROCESS FILE
`
`PROFILE
`
`AGAINST INSURED
`
`2I4
`
`PROCESS FILE
`
`AGAINST SURCHARGE
`ALGORITHM FILE
`
`STATE MENTS
`
`ACCOUNT
`
`PRODUCE PERIODIC
`
`BILLS TO BE MAILED TO
`INSURED
`
`
`
`US. Patent
`
`Aug. 18, 1998
`
`Sheet 3 of 6
`
`5,797,134
`
`
`
`
`
`US. Patent
`
`Aug. 13, 1998
`
`Sheet 4 of 6
`
`5,797,134
`
`4I6
`
`OPERATIONS
`CONTROL
`
`CENTER
`
`COMMUNICATIONS LINK
`
`(eg CELLULAR
`TELEPHONE)
`
`
`402 I 404
`
`4I8
`
`4:0
`
`300
`
`SENSORS
`
`DRIVER
`INPUT
`
`CONSOLE
`
`4.4
`
`ADDITIONAL
`
`ON‘ BOARD
`DATA
`STORAGE
`
`[/0
`SUBSYSTEM
`
`om- BOARD COMPUTER
`AND RECORDING SYSTEM
`
`CPU AND
`
`MEMORY
`
`REAL‘TIME
`OPERATING
`KER NEL
`
`406
`
`408
`
`
`
`VEHICLE
`DATABUS AND
`SENSORS
`
`NAVIGATION
`SUBSYSTEM
`
`4|2
`
`420
`
`FIG.4
`
`/422
`
`
`
`US. Patent
`
`Aug. 18, 1998
`
`Sheet 5 0f 6
`
`5,797,134
`
`FIG.5
`
`502
`
`
`
`
`
`
`COLLECT
`RAW DATA
`
`ELEM ENTS
`
`
`
`GENERATE
`CALCULATED
`
`DATA ELEMENTS
`
` COLLECT
`
`DATABASE
`
`INFORMATION
`ELEMENTS
`
`
`
`
`
`
`
`
`GENERATE
`DERIVED DATA
`ELEMENTS
`
`STORE DATA
`SAMPLE
`
`
`
`INCIDENT
`CONDITION
`?
`
`
`INCIDENT
`
`
`CONDITION
`
`
`
`SNAPSHOT
`
`
`
`
`
`US. Patent
`
`Aug. 18, 1998
`
`Sheet 6 of 6 '
`
`5,797,134
`
`ZO_._.<.2m0n_z.
`
`mk<mMIKE/um
`
`mo<mmmkz_
`
`
`
`mmumnomMAO_Im>
`
`NIB.0.:
`
`mOhomzzoo@59193..
`
`
`
`<._.<omz_ozw-
`
`
`
`<._.<o>oom-
`
`
`
`
`
`(hdo4<OEPomqm..
`
`wh<mw4a2<m
`
`mo<mmmhz_
`
`
`
`mmomnommuIHo
`
`mm_m<>u
`
`PEP.0295.55-
`
`
`
`GE.mwimmmém.03
`
`
`
`thmrm>._._m30mw..
`
`<._.<omI>_-
`
`<._.<ommo..
`
`
`
`
`
`“mySuhwrm4<zo_._._oo<.
`
`
`
`mmmoommmoz<m=mz_mI_o_Im>mOPOE
`
`
`
`
`
`
`
`30:...—mmmoomaZO_.Em_DOU<42.40MAO—Iw>
`
`
`
`
`
`0.0;
`
`
`
`mzo_._._n_zou><>>IG_I-
`
`
`
`
`
`“om...mmnbamv.
`
`mh<mm._n:2<m
`
`mu<mmm._.z_
`
`mm<m<h<o
`
`ozSzmo20a
`
`
`
`m0<m0._.mawhamioo‘
`
`9.22.:—ommam-
`
`mm<2-
`
`
`
`
`
`mzo_mDin—4m...‘
`
`
`
`5.797.134
`
`1
`MOTOR VEHICLE MONITORING SYSTEM
`FOR DETERMINING A COST OF
`INSURANCE
`
`BACKGROUND OF THE INVENTION
`
`invention relates to data acquisition and
`The present
`processing systems. and particularly to a system for moni—
`toring motor vehicle operational characteristics and driver
`behavior to obtain increased amounts of data relating to the
`safety of use for purposes of providing a more accurate
`determination of a cost of insurance for the vehicle.
`
`Conventional methods for determining costs of motor
`vehicle insurance involve gathering relevant historical data
`from a personal interview with the applicant for the insur-
`ance and by referencing the applicant’s public motor vehicle
`driving record that is maintained by a governmental agency.
`such as a Bureau of Motor Vehicles. Such data results in a
`classification of the applicant to a broad actuarial class for
`which insurance rates are assigned based upon the empirical
`experience of the insurer. Many factors are relevant to such
`classification in a particular actuarial class. such as age. sex.
`marital status. location of residence and driving record.
`The current system of insurance creates groupings of
`vehicles and drivers (actuarial classes) based on the follow—
`ing types of classifications.
`Vehicle:
`
`Age;
`manufacturer. model; and
`value.
`Driver:
`
`Age;
`sex;
`
`marital status;
`
`driving record (based on government reports).
`violations (citations);
`at fault accidents; and
`
`place of residence.
`Coverage:
`Types of losses covered.
`liability.
`uninsured motorist.
`comprehensive. and
`collision;
`liability limits; and
`deductibles.
`
`The classifications. such as age. are further broken into
`actuarial classes. such as 21 to 24. to develop a unique
`vehicle insurance cost based on the specific combination of
`actuarial classes for a particular risk. For example.
`the
`following information would produce a unique vehicle
`insurance cost.
`
`
`
`Vehicle:
`
`Age
`manufacturer. model
`value
`Driver:
`
`
`1993 (three years old)
`Ford. Explorer XLT
`$18,000.
`
`Age
`sex
`marital slams
`driving record (based on government
`
`38 years old
`male
`single
`
`2
`-continued
`reports)
`
`violations
`at fault accidents
`place of residence
`Coverage:
`Types of losses covered
`
`1 point (speeding)
`3 points (one at fault accident)
`33619 (zip code)
`
`yes
`liability
`no
`uninsured motorist
`yes
`comprehensive
`yes
`collision
`$100.000.l$300,0001’$50.000.
`liability limits
`
`deductibles $500./$500.
`
`A change to any of this information would result in a
`different premium being charged. if the change resulted in a
`different actuarial class for that variable. For instance. a
`change in the drivers’age from 38 to 39 may not result in a
`ditferent actuarial class. because 38 and 39 year old people
`may be in the same actuarial class. However. a change in
`driver age from 38 to 45may result in a difierent premium
`because of the change in actuarial class.
`Current insurance rating systems also provide discounts
`and surcharges for some types of use of the vehicle. equip-
`ment on the vehicle and type of driver. Common surcharges
`and discounts include:
`Surcharges:
`Business use.
`Discounts:
`
`Safety equipment on the vehicle
`airbags. and
`antilock brakes;
`theft control devices
`passive systems (e.g. "The Club”). and
`alarm system; and
`driver type
`good student. and
`safe driver (accident free).
`A principal problem with such conventional insurance
`determination systems is that much of the data gathered
`from the applicant in the interview is not verifiable. and even
`existing public records contain only minimal information.
`much of which has little relevance towards an assessment of
`the lflrelihood of a claim subsequently occurring. In other
`words. current rating systems are primarily based on past
`realized losses. None of the data obtained through conven-
`tional systems necessarily reliably predicts the manner or
`safety of future operation of the vehicle. Accordingly. the
`limited amount of accumulated relevant data and its minimal
`evidential value towards computation of a fair cost of
`insurance has generated a long-felt need for an improved
`system for more reliably and accurately accumulating data
`having a highly relevant evidential value towards predicting
`the actual manner of a vehicle‘s future operation.
`Many types of vehicle operating data recording systems
`have heretofore been suggested for purposes of maintaining
`an accurate record of certain elements of vehicle operation.
`Some are suggested for identifying the cause for an accident.
`others are for more accurately assessing the efficiency of
`operation. Such systems disclose a variety of conventional
`techniques for recording vehicle operation data elements in
`a variety of data recording systems. In addition. it has also
`been suggested to provide a radio cormnunication link for
`such information via systems such as a cellular telephone to
`provide immediate communication of certain types of data
`elements or to allow a more immediate response in cases
`
`5
`
`10
`
`15
`
`20
`
`25
`
`30
`
`35
`
`40
`
`45
`
`SO
`
`55
`
`65
`
`
`
`5.797. 1 34
`
`3
`such as theft. accident. break—down or emergency. It has
`even been suggested to detect and record seatbelt usage to
`assist in determination of the vehicle insurance costs (U.8.
`Pat. No. 4.667.336).
`The various forms and types of vehicle operating data
`acquisition and recordal systems that have heretofore been
`suggested and employed have met with varying degrees of
`success for their express limited purposes. All possess
`substantial defects such that they have only limited eco-
`nomical and practical value for a system intended to provide
`an enhanced acquisition. recordal and communication sys-
`tem of data which would be both comprehensive and reliable
`in predicting an accurate and adequate cost of insurance for
`the vehicle. Since the type of operating information acquired
`and recorded in prior art systems was generally never
`intended to be used for determining the cost of vehicle
`insurance.
`the data elements that were monitored and
`recorded therein were not directly related to predetermined
`safety standards or the determining of an actuarial class for
`the vehicle operator. For example. recording data character-
`istics relevant to the vehicle‘s operating efficiency may be
`completely unrelated to the safety of operation of the
`vehicle. Further.
`there is the problem of recording and
`subsequently compiling the relevant data for an accurate
`determination of an actuarial profile and an appropriate
`insurance cost therefor.
`
`Current motor vehicle control and operating systems
`comprise electronic systems readily adaptable for modifica-
`tion to obtain the desired types of information relevant to
`determination of the cost of insurance. Vehicle tracking
`systems have been suggested which use communication
`links with satellite navigation systems for providing infor-
`mation describing a vehicle’s location based upon naviga—
`tion signals. When such positioning information is com-
`bined with roadmaps in an expert system. vehicle location is
`ascertainable. Mere vehicle location. though. will not pro-
`vide data particularly relevant to safety of operation unless
`the data is combined with other relevant data in an expert
`system which is capable of assessing whether the roads
`being driven are high—risk or low-risk with regard to vehicle
`safety.
`The present invention contemplates a new and improved
`motor vehicle monitoring. recording and communication
`system. which primarily overcomes the problem of deter—
`mining cost of vehicle insurance based upon data which
`does not take into consideration how a specific vehicle is
`operated. The subject invention will base insurance charges
`with regard to current material data representative of actual
`driving characteristics of the vehicle and driver operation to
`provide a classification rating of the operator and the vehicle
`in an actuarial class which has a vastly reduced rating error
`over conventional insurance cost systems. Additionally. the
`present invention allows for frequent (monthly) adjusn'nent
`to the cost of coverage because of the changes in operator
`behavior and driving patterns. This can result in automobile
`insurance charges that are readily controllable by individual
`operators. The system is adaptable to current electronic
`operating systems.
`tracking systems and communication
`systems for the improved extraction of selected insurance
`related data.
`
`BRIEF SUMMARY OF THE INVENTION
`
`10
`
`15
`
`20
`
`25
`
`30
`
`35
`
`45
`
`50
`
`55
`
`In accordance with the present invention. there is dis—
`closed a method of determining a cost of automobile insur—
`ance based upon monitoring. recording and communicating
`data representative of operator and vehicle driving
`characteristics. whereby the cost is adjustable by relating the
`
`65
`
`4
`
`driving characteristics to predetermined safety standards.
`The method is comprised of steps of monitoring a plurality
`of raw data elements representative of an operating state of
`a vehicle or an action of the operator. Selected ones of the
`plurality of raw data elements are recorded when they are
`determined to have an identified relationship to the safety
`standards. The recorded elements are consolidated for pro-
`cessing against an insured profile and for identifying a
`surcharge or discount
`to be applied to a base cost of
`automobile insurance. The total cost of insurance obtained
`
`from combining the base cost and surcharges or discounts is
`produced as a final cost to the operator.
`In accordance with another aspect of the present
`invention.
`the recording comprises identifying a trigger
`event associated with the raw data elements which has an
`
`identified relationship to the safety standards so that trigger
`information representative of the event is recorded.
`In accordance with a more limited aspect of the present
`invention.
`the method comprises a step of immediately
`communicating to a central control station via an uplink.
`information representative of the trigger event and recording
`response information generated by the control station.
`In accordance with yet another aspect of the present
`invention. the method comprises steps of generating calcu—
`lated data elements and derived data elements from the raw
`data elements. and accumulating the calculated and derived
`data elements in a recording device.
`The present invention will use information acquired from
`the vehicle to more accurately assess vehicle usage and
`thereby derive insurance costs more precisely and fairly.
`Examples of possible actuarial classes developed from
`vehicle provided data include:
`Driver:
`
`Total driving time in minutes by each driver of the insured
`vehicle;
`number of minutes driving in high/low risk locations
`(high/low accident areas);
`number of minutes of driving at high/low risk times (rush
`hour or Sunday afternoon);
`safe driving behavior.
`using seat belts.
`use of turn signals.
`observance of speed limits. and
`observance of traflic control devices;
`number of sudden braking situations; and
`number of sudden acceleration situations.
`Vehicle:
`
`Location vehicle is parked at night (in garage.
`driveway. on street);
`and
`
`in
`
`location vehicle is parked at work (high theft locations.
`etc).
`These new and more precise actuarial classes are consid—
`ered to be better predictors of loss because they are based on
`actual use of the vehicle and the behaviors demonstrated by
`the driver. This will allow the consumers unprecedented
`control over the ultimate cost of their vehicle insurance.
`In accordance with the present invention. additional dis-
`counts and surcharges based on data provided by the insured
`vehicle will be available. Examples of surcharges and dis—
`counts based on vehicle provided data include:
`Surcharges:
`Excessive hard braking situations occurring in high risk
`locations; and
`intermittent use of a safety device. such as seat belts.
`
`
`
`5.797.134
`
`Discounts:
`
`5
`
`Regular selection of low/high risk routes of travel;
`regular travel at low/high risk times;
`significant changes in driving behavior that results in a
`lower risk:
`vacation discount when the vehicle is not used:
`
`regular use of safety devices: and
`unfailing observance of speed limits.
`There is some overlap between the use of actuarial classes
`and discounts and surcharges. Until data has been gathered
`and analyzed it is not possible to determine which vehicle
`provided data will be used to determine actuarial classes and
`which will be used for surcharges or discounts.
`One benefit obtained by use of the present invention is a
`system that will provide precise and timely information
`about the current operation of an insured motor vehicle that
`will enable an accurate determination of operating
`characteristics. including such features as miles driven. time
`of use and speed of the vehicle. This information can be used
`to establish actual usage based insurance charges. eliminat-
`ing rating errors that are prevalent in traditional systems and
`will result in vehicle insurance charges that can be directly
`controlled by individual operators.
`It is another benefit of the subject invention that conven—
`tional motor vehicle electronics are easily supplemented by
`system components comprising a data recording. a naviga-
`tion system and a communications device to extract selected
`insurance relevant data from the motor vehicle.
`
`It is yet another object of the present invention to generate
`actuarial classes and operator profiles relative thereto based
`upon actual driving characteristics of the vehicle and driver.
`as represented by the monitored and recorded data elements
`for providing a more knowledgeable. enhanced insurance
`rating precision.
`The subject new insurance rating system retrospectively
`adjusts and prospectively sets premiums based on data
`derived from motor vehicle operational characteristics and
`driver behavior through the generation of new actuarial
`classes determined from such characteristics and behavior.
`which classes heretofore have been unknown in the insur-
`ance industry. The invention comprises an integrated system
`to extract via multiple sensors. screen. aggregate and apply
`for insurance rating purposes. data generated by the actual
`operation of the specific vehicle and the insured user/driver.
`Other benefits and advantages of the subject new vehicle
`insurance cost determination process will become apparent
`to those skilled in the art upon a reading and understanding
`of the specification.
`
`BRIEF DESCRIPTION OF THE DRAWINGS
`
`The invention may take physical form in certain parts and
`steps and arrangements of parts and steps. the preferred
`embodiments of which will be described in detail in this
`specification and illustrated in the accompanying drawings
`which form a part hereof and wherein:
`FIG. I is a flowchart generally describing a data gathering
`process from a vehicle;
`FIG. 2 is a flowchart detailing the gathering and consoli—
`dating of appropriate information for determining a cost of
`insurance and the resulting insurance billing process;
`FIG. 3 is a suggestive perspective drawing of a vehicle
`including certain data element monitoring. recording and
`communicating devices;
`FIG. 4 is a block diagram of a vehicle on-board computer
`and recording system implementing the subject invention for
`
`5
`
`10
`
`15
`
`20
`
`25
`
`30
`
`35
`
`45
`
`50
`
`55
`
`6
`selective communication with a central control center and a
`global positioning navigation system:
`FIG. 5 is a flowchart generally illustrating a method for
`acquiring and recording vehicle insurance related data; and
`FIG. 6 a tabular illustration of various sources of
`insurance—related data. a necessary interface for acquiring
`the data and an exemplary sample rate therefor.
`
`DETAILED DESCRIPTION OF THE
`INVENTION
`
`Referring now to the drawings. wherein the showings are
`for purposes of illustrating the preferred embodiments of the
`invention only and not for purposes of limiting same. the
`FIGURES show an apparatus and method for monitoring.
`recording and communicating insurance related data for
`determination of an accurate cost of insurance based upon
`evidence relevant to the actual operation and in particular
`the relative safety of that operation. Generally. a vehicle user
`is charged for insurance based upon statistical averages
`related to the safety of operation based upon the insurer’s
`experience with other users who drive similar vehicles in a
`similar geographic area. The invention allows for the mea—
`sure of the actual data while the motor vehicle is being
`driven. Such data measurement will allow the vehicle user
`
`to directly control his/her insurance costs by operating the
`vehicle in a manner which he/she will know will evidence
`superior safety of operation and a minimal risk of generation
`of an insurance claim. Examples of data which can be
`monitored and recorded include:
`
`C.
`
`low
`
`l.Actual miles driven;
`2.’I‘ypes of roads driven on (high risk vs. low risk); and.
`3.Safe operation of the vehicle by the vehicle user
`through:
`A. speeds driven.
`B. safety equipment used. such as seat belt and turn
`signals.
`time of day driven (high congestion vs.
`congestion).
`D. rate of acceleration.
`E. rate of braking.
`F. observation of traffic signs.
`With reference to FIG. 3. an exemplary motor vehicle is
`shown in which the necessary apparatus for implementing
`the subject invention is included. An on—board computer 300
`monitors and records various sensors and operator actions to
`acquire the desired data for determining a fair cost of
`insurance. Although not shown therein. a plurality of oper-
`ating sensors are associated with the motor vehicle to
`monitor a wide variety of raw data elements. Such data
`elements are communicated to the computer through a
`connections cable which is operatively connected to the
`vehicle data bus 304 through an SAE—J1978 connector. or
`OBD—II connector or other vehicle sensors 306. A driver
`input device 308 is also operatively connected to the com-
`puter 300 through connector 307 and cable 302. The com-
`puter is powered through the car battery 310 or a conven-
`tional generator system (not shown). Tracking of the vehicle
`for location identification can be implemented by the com-
`puter 300 through navigation signals obtained from a GPS
`(global positioning system) antenna or other locating system
`312. The communications link to a central control station is
`
`65
`
`accomplished through the cellular telephone. radio. satellite
`or other wireless communication system 314.
`FIG. 4 provides the block diagram of the in-vehicle
`computer system. The computer 300 is comprised of four
`principal components. an on-board data storage device 402.
`
`
`
`7
`
`5 .797. l 34
`
`an input/output subsystem 404 for communicating to a
`variety of externzfl devices. a central processing unit and
`memory device 406 and a real time operating kernel 408 for
`controlling the various processing steps of the computer
`300. The computer 300 essentially communicates with three
`on-board vehicle devices for acquisition of information
`representative of various actual vehicle operating character-
`istics. A driver input console 410 allows the driver to input
`data representative of a need for assistance or for satisfaction
`of various threshold factors which need to be satisfied before
`
`the vehicle can be operated. The physical operation of the
`vehicle is monitored through various sensors 412 in opera-
`tive connection with the vehicle data bus. while additional
`sensors 414 not normally connected to the data bus can be
`in direct communication with the computer 300 as will
`hereinafter be more fully explained.
`The vehicle is linked to an operation control center 416 by
`a communications link 418. preferably comprising a con—
`ventional cellular telephone interconnection. A navigation
`sub-system 420 receives radio navigation signals from a
`GPS 422.
`
`The type of elements monitored and recorded by the
`subject invention comprise raw data elements. calculated
`data elements and derived data elements. These can be
`broken down as follows:
`Raw Data Elements:
`Power train sensors
`RPM.
`transmission setting (Park. Drive. Gear. Neutral).
`throttle position.
`engine coolant temperature.
`intake air temperature.
`barometric pressure;
`Electrical sensors
`
`5
`
`10
`
`15
`
`20
`
`25
`
`30
`
`35
`
`rapid acceleration:
`vehicle in skid:
`
`wheels in spin:
`closing speed on vehicle in front;
`closing speed of vehicle in rear:
`closing speed of vehicle to side (right or left):
`space to side of vehicle occupied;
`space to rear of vehicle occupied;
`space to front of vehicle occupied;
`lateral acceleration:
`sudden rotation of vehicle:
`
`sudden loss of tire pressure;
`driver identification (through voice recognition or code or
`fingerprint recognition);
`distance travelled: and
`
`environmental hazard conditions (e.g. icing. etc).
`Derived Data Elements:
`
`vehicle speed in excess of speed limit;
`observation of trafl‘ic signals and signs;
`road conditions;
`tt‘aflic conditions; and
`
`vehicle position.
`This list includes many. but not all. potential data elements.
`With particular reference to FIG. 1. a flowchart generally
`illustrating the data gathering process of the subject inven-
`tion is illustrated Such a process can be implemented with
`conventional computer programming in the real time oper-
`ating kernel 408 of the computer 300. The process is
`identified with initially a begin step 100 (key in ignition?)
`and a check of whether the vehicle is operating at step 102.
`If the vehicle is not operating a reverification occurs every
`two (2) minutes as shown at step 104. It should be noted that
`the computer is continually powered by at least the vehicle
`battery 310 (FIG. 3). but it can be appreciated that during
`operation the generator (not shown) will supply the energy.
`If the vehicle is operating. then there is a step of recording
`sensor information 106. The recording comprises monitor—
`ing a plurality of raw data elements. calculated data elements
`and derived data elements as identified above. Each of these
`
`is representative of an operating state of the vehicle or an
`action of the operator. Select ones of the plurality of data
`elements are recorded when the ones are determined to have
`
`45
`
`an identified relationship to the safety standards. For
`example. vehicle speed in excess of a predetermined speed
`limit will need to be recorded but speeds below the limit
`need only be monitored and stored on a periodic basis. The
`recording may be made in combination with date. time and
`location. Other examples of data needed to be recorded are
`excessive rates of acceleration or frequent hard braking.
`The recording process would be practically implemented
`by monitoring and storing the data in a bufier for a selected
`period of time. e.g.. thirty seconds. Periodically. such as
`every two minutes. the status of all monitored sensors for the
`data elements is written to a file which is stored in the
`vehicle data storage 402. The raw. calculated and derived
`data elements listed above comprise some of the data
`elements to be so stored.
`
`Certain of the recorded sensor information may comprise
`a trigger event of which inquiry is identified at step 108.
`“Trigger events” are defined as a combination of sensor data
`requiring additional action or which may result in a sur-
`charge or discount during the insurance billing process.
`Certain nigger events may require immediate upload 110 to
`a central control which will then be required to take appro—
`
`50
`
`55
`
`65
`
`brake light on.
`turn signal indicator.
`headlamps on.
`hazard lights on.
`back—up lights on.
`parking lights on.
`wipers on.
`doors locked.
`key in ignition.
`key in door lock.
`horn applied;
`Body sensors
`airbag deployment.
`ABS application.
`level of fuel in tank.
`brakes applied.
`radio station tuned in.
`seat belt on.
`door open.
`tail gate open.
`odometer reading.
`cruise control engaged.
`anti—theft disable;
`Other sensors
`Vehicle speed.
`vehicle location.
`date.
`time.
`vehicle direction.
`IVHS data sources.
`Calculated Data Elements:
`
`rapid deceleration;
`
`
`
`5.797. I 34
`
`9
`
`priate action. For example. a trigger event would be rapid
`deceleration in combination with airbag deployment indi—
`cating a collision. in which case the system could notify the
`central control of the vehicle location. Alternatively. if the
`operator were to trigger on an emergency light. similarly the
`system could notify the central control of the vehicle loca—
`tion indicating that an emergency is occurring. The trigger
`information is recorded. as at step 116. and whatever
`response is taken by the central control is also recorded at
`step 118. The trigger information recording step 116 and the
`recording sensor information step 106 may impart recording
`of information in the on-board data storage device 402 or
`memory 406. The event response information recording at
`step 118 will usually occur in the central control station.
`Such response information could be the dispatch of an
`emergency vehicle. or the telephoning of police or an EMS
`unit.
`
`Trigger events are divided into two groups: those requir-
`ing immediate action and those not requiring immediate
`action. but necessary for proper billing of insurance. Those
`required for proper billing of insurance will be recorded in
`the same file with all the other recorded vehicle sensor
`information. Those trigger events requiring action will be
`uploaded to a central control center which can take action
`depending on the trigger event. Some trigger events will
`require dispatch of emergency services. such as police or
`EMS. and others will require the dispatch of claims repre-
`sentatives from the insurance company.
`The following comprises an exemplary of some. but not
`all. trigger events:
`Need for Assistance:
`
`These events would require immediate notification of the
`central control center.
`1. Accident Occurrence. An accident could be determined
`through the use of a single sensor. such as the deploy—
`ment of an airbag. It could also be determined through
`the combination of sensors. such as a sudden decelera-
`tion of the vehicle without the application of the brakes.
`2. Roadside assistance needed. This could be through the
`pressing of a “panic button” in the vehicle or through
`the reading of a sensor. such as the level of fuel in the
`tank. Another example would be loss of tire pressure.
`signifying a flat tire.
`. Lock—out assistance needed. The reading of a combi—
`nation of sensors would indicate that the doors are
`locked but the keys are in the ignition and the driver has
`exited the vehicle.
`
`b)
`
`4. Driving restrictions. The insured can identify circum—
`stances in which he/she wants to be notified of driving
`within restricted areas. and warned when he/she is
`entering a dangerous area. This could be applied to
`youthfu