The Future of Mobility

Those who know me, know I have a deep affinity for cars. It’s a passion I’ve carried through adulthood.

I appreciate well-engineered, well-designed cars that perform on the road and the track while “looking good” in the process. American-made is a plus in my book. I’m ready for spring and summer to make their way to Ohio, clearing the roads of salt and extending the daylight. At the time of this writing, we’re on the verge of this most-favorite time of year. In the warm-weather months, I spend many weekends at cruise-ins, car meet ups and different car-themed events.

I also enjoy the camaraderie of connecting with fellow car enthusiasts. From enjoying a cup of coffee on those early morning road trips to getting under the hoods in the afternoon sun, it’s a unique bond that lends itself to great conversation during the course of a day or weekend. While I enjoy the smell of gasoline and the rumble of a big block, one topic that often comes up is the future of transportation and cars.

Everyone agrees there are momentous changes afoot, but there’s a range of opinions from early adopters to skeptics. From my perspective, both as a car buff and an insurance executive, the whole concept of mobility—or how we get around—is transforming dramatically. 

The shift from horse and buggy

A century ago, the transformation was well underway, from traveling by horse-and-buggy to driving around in the innovation of the day—automobiles. As a matter of fact, the company I work for was founded to address an unmet need for farmers in response to the rise of the automobile.

In 1926, rural drivers were looking for a more affordable way to access car insurance. They felt their risk was lower than it was for city drivers, and they felt they shouldn’t have to pay as much for auto insurance. That’s when members of the Ohio Farm Bureau Federation formed an insurance provider that could meet the unique needs of rural drivers.

You know that company today as Nationwide.

The shift is on again

Fast forward more than 90 years. The transportation landscape is shifting again.

How people and things move around is changing before our very eyes.

• Ride-hailing: Five years ago, concepts like Lyft or Uber were unheard of in most circles. Now, these types of services are up-ending the traditional livery industry. Are the days of the familiar, yellow cab numbered? That remains to be seen, but the concept is revolutionizing how we get from point “A” to point “B.” When I travel on business, my normal approach is to “Uber” to my hotel rather than use a car service.
• Self-driving cars: While I believe we’re still some time away from fully autonomous vehicles dominating the streets, self-driving cars are a new reality on our roadways. It’s only a matter of time before this technology becomes widely available and adopted by the public.
• Car sharing: Technology is making it possible to get around without owning a car. In many areas, car sharing is a reality, allowing access to a car only when you need it. I’m pretty certain I’ll always own cars, but that is a grand assumption for my sons—and their children.
• Commercial transportation: Transformation is also affecting public transportation, trucking and other modes of “getting around.” The day may not be far off when we see self-driving tractor trailers, buses and trains, or lightning-speed people movers. We’re already seeing interest in testing autonomous shuttles on university campuses.

Opportunity abounds

These transformations open new doors of opportunity for the insurance industry.

It’s why mobility is one of four focus areas for Nationwide when it comes to innovation. We’re actively pursuing innovative solutions for our members with three objectives in mind:

1. First, we believe there’s a safety opportunity. It’s why we’ve recently invested in a start-up company called Nexar. They are developing cutting-edge technology to keep drivers, passengers and pedestrians safe, and we think that’s a great benefit for our members and others.
2. Second, we want to help make auto insurance more accessible. Consumer habits and preferences are shifting. As they do, we’re interested in solutions that make it easier for people to get the insurance protection they need, at a competitive rate. Our investments in Insurify, Sure and Matic demonstrate our interest in leveraging technology to deliver solutions more readily—in Sure’s case, delivering travel insurance on demand just before a flight.
3. Third, we’re exploring ideas beyond traditional insurance. How might we help our members protect what matters most in innovative ways? How might we help bring more convenience to their mobility experience? How might we help them in this new mobile life that people seem to be living? How might we better protect members and what matters most to them in ways we can’t even yet imagine?

Regardless of the changes we’re seeing, cars will always remain a personal passion for me. I’m energized about my teams’ efforts to explore transformative solutions that make mobility safer, affordable and simple. And we’re looking for the right partners and the right talent to make that happen for our members—now and in the future.