The manufacturer Daimler Trucks North America (DTNA) is investing in a commercial auto insurance technology startup that is focused on the trucking sector, saying the firm’s approach could help fleets reduce their insurance costs by analyzing real-time driver behavior through telematic devices.
Portland, Oregon-based DTNA and investing firm McVestCo joined lead investor Weatherford Capital—alongside existing backers Munich Re Ventures, 8VC, Autotech Ventures, and Qualcomm Ventures LLC—in raising $32.5 million in “series B” funding for the three-year-old firm, High Definition Vehicle Insurance (HDVI) Group. The funding follows a 2020 “series A” round of $16 million.
Chicago-based HDVI said the funds will be used for the continued development of new products and to fuel the growth of the company on a national scale. HDVI is currently available in seven states, including Illinois, Indiana, Minnesota, Ohio, Tennessee, Georgia, and Texas, and is entering additional states.
HDVI’s products include HDVI Shift, which it calls “dynamically priced trucking insurance coverage” that allows fleets to save up to 12% on their monthly premiums based on real-time driver safety. HDVI Shift is compatible with a range of telematics devices and is provided to fleets alongside HDVI’s proprietary data, software tools, and apps.
Fleet managers can use the firm’s portal to gain real-time safety insights, while drivers are engaged with safety and other information through the HDVI Driver+ mobile app, the company said.
“The rising cost of insurance is a significant pain point for our fleet customers today, and providing better insurance solutions that are truly integrated with vehicle ownership life cycles and usage is an important initiative for Daimler Trucks North America and Daimler Truck Financial Services,” Richard Howard, president and CEO of Daimler Truck Financial Services North America & Asia, said in a release. “HDVI’s unique approach to insurance demonstrates their commitment to bringing fleets the technology, data, and services they need to improve their business operations and impact their bottom lines. We look forward to working with HDVI to bring innovative connected insurance solutions and more to Daimler Trucks customers and the broader transportation industry.”