The AA to use connected car technology to reduce driving costs

The AA has launched Intelematics Europe, a joint venture to develop connected car software to prevent and cut the cost of breakdowns.

It said that, through the joint venture, which also incorporates roadside assistance clubs in the Netherlands (ANWB) and in Austria (OAMTC), and Intelematics, a subsidiary of the Australian auto clubs and market leader in connected car services and products in Australia, information will be delivered via the internet from a small device embedded in vehicles operated by its members and customers.

Such information can improve the safety and security of vehicles and their occupants, and reduce driving costs by monitoring them.

It will also help the AA both pre-empt and diagnose breakdowns, improve deployment of appropriate assistance and enable more accurate and faster service.

The AA said the tracking of information on driving could allow the provision of cheaper car insurance.

Bob Mackenzie, executive chairman of the AA, said: "We are excited to launch this platform for developing our connected car proposition, sharing best practice with an international group of clubs.

"This is a powerful partnership – it gives us access to existing solutions which are tried, tested and widely adopted, it gives us reach across international manufacturers at a global level, and it gives us the ability both to roll out existing solutions fast and develop ever more sophisticated solutions in time.

“The AA is embracing connected car technology so that our members will benefit directly through advancements in safety and security, and information to help reduce driving costs.

"Connectivity will improve both timing and diagnostics of the AA’s roadside assistance services and enable us to increase efficiency.

"We also value the potential for greater integration with our manufacturer partners and, combined with what we are doing with fleets through Trakm8, connected car capability will enhance our already strong position across our business partnerships.

"Better information also provides the potential for wider adoption of telematics for insurance by the AA.   

“This international telematics platform, combined with our extensive relationships with manufacturers and strong relationships with our international partners, strengthens our ability to innovate and take the AA to the next level of digital capability.”

The AA said the joint venture will build on its strong relationships with approximately 70% of the UK’s manufacturers to make the most of the opportunities this technology presents.