Directed Electronics, a supplier of aftermarket vehicle security and remote start systems in North America has signed a memorandum of understanding with Octo Telematics, an insurance telematics provider in Europe.

 

As per terms of the agreement, both companies will cooperate on developing telematics services for the U.S. and Canadian vehicle insurance markets.

 

According to Germano Fanelli, CEO of Octo Telematics, Directed's vast network of customers with installation capability, technical support, and sizable logistics infrastructure will accelerate their speed to market.

 

“We look forward to jointly working with insurance providers to further advance telematics offerings in North America,” Fanelli said.

 

Both partners are aiming to tap the burgeoning automotive insurance telematics market in Europe which has attracted many insurance companies who are now offering consumers value-added services such as automatic crash response and usage-based insurance.

 

Octo Telematics and Directed Electronics agree that significant opportunities exist for similar services in the United States.