According to Market and Market Research, the global automotive market was valued at nearly 90 million units in 2014 and estimated to grow at a CAGR of more than 6% over the next four years.

The influx of many international vehicle manufacturers in developing countries is driving the market for OBD systems. Any OBD system with remote diagnostics is expected to buoy the market.  The analysts predict a rising shift from hardware to software based interface for automotive OBD manufacturers. The market is likely to witness an emergence of cloud platform and big data analytics in OBD systems during the forecasted period.

These days OBD enterprises are offering in-vehicle diagnosis and maintenance services coupled with insurance companies providing auto insurance claim services. Herein, OBD can also be used as an advanced tool to monitor habits like driving habits, pay as you drive (PAYD), and pay how you drive (PHYD).

Meanwhile, globally telematics providers like Baseline Telematics, Masternaut, MyDrive Solutions Limited, Octo Telematics, and TomTom Telematics have continuously optimized OBD devices to assist insurers with accurate usage based insurance market pricing techniques and tools.

Insurance companies like Ping, a Property & Casualty Insurance Company determine the vehicle insurance rate of different type of customers based on risk pricing schemes.

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