Pay as you go Insurance

I recently read an interesting article by Stephen Dubner and Steven Levitt (of Freakonomics fame), published on the NY Times website. The article discusses a Pay As You Drive (PAYD) automobile insurance product offered by Progressive Insurance in Ohio (US). It's an interesting discussion bridging technology and product design, with the economics thrown in for good measure. The article is a little old (2008), but is well worth a read.

On the Life Insurance side, I recall many, many conversations with the Product guys, hearing of their desire for better information about consumers and the ability to price products accordingly. Of course there are often regulatory constraints to deal with...