Terms & Conditions
As used in these Terms & Conditions, including the SmartDrive Binding Arbitration and Class Action Waiver provision below,
"we," "our," and "us" includes the commonly controlled affiliates in the National General Insurance Group, including Direct
Your participation in the SmartDrive program is contingent on your acceptance of these terms and conditions. If you do not agree
with any of the stipulations in these terms and conditions then you should not participate in SmartDrive.
We reserve the right to amend these terms and conditions at any time and will do so at this location:
Please check back often to ensure that you are still in agreement with the terms and conditions. Your ongoing participation in
SmartDrive constitutes acceptance of any and all changes to these terms and conditions.
SmartDrive is our usage based program that allows us to more accurately tailor your rate based on the actual driving experience of
the participants on your account gathered via the Routely1
smartphone app. Drivers that engage in safe driving habits could potentially
get savings off of what they would normally pay without the app. The Routely app analyzes a variety of driving habits such as speeding,
hard-braking, and distracted driving.
Once you have enough trips logged, we will be able to generate a driving score based on all of
this data that has been gathered. Note that the driving score will follow the driver, and not the vehicle since this is a
smartphone-based app. The Routely smartphone app does gather location data via GPS coordinates, and this data can be used for underwriting purposes
and in the claims handling process.
In order to enroll in the program, the driver must have a smartphone that is either an iPhone or Android. The named insured is also
required to provide a valid e-mail address. This e-mail will be used when we send the initial activation instructions. The driver must
also be a "rated" driver on the policy. Note that Named Non Owner policies and RV-only policies are not eligible to participate in the
If you are under the age of 18, you must review these Terms and Conditions with your parent or legal guardian to ensure that you and
your parent or legal guardian understand and accept these Terms and Conditions. If you are under the age of 16, you are not eligible
to participate in the SmartDrive program.
To participate in the program, a driver needs to sign-up or have been signed up for the SmartDrive program and then download the
Routely app on their smartphone from the Google Play Store or the Apple iTunes Store. You will be required to review and agree to
the Routely terms and conditions at that time. Each participating driver should then enter in their activation code into the app and
complete at least one trip to officially complete the sign-up process.
Note that once the code is generated, each driver has 14 days to complete this process. Failure to do so will result in the
participation discount being removed back to the day it was added.
If you are enrolled in SmartDrive and get a new smartphone or delete and reinstall the app on an existing phone, a new activation code
will be required in order to continue to participate.
For customers who come to us with a full set of driving data available from a company-approved source, the SmartDrive experience is
essentially complete at time of enrollment. The SmartDrive results are calculated and applied at that time.
Communicating With Participating Drivers
In order to activate and service the SmartDrive App, we may need to send messages via voice or SMS ("messages") to you and one or more
other drivers you registered on your insurance application.
WHEN YOU AGREE TO OR OTHERWISE INSTRUCT US TO SEND SUCH MESSAGES TO YOU OR TO OTHERS, YOU REPRESENT AND WARRANT TO US THAT YOU
AND EACH DRIVER YOU REGISTERED FOR SMARTDRIVE HAVE CONSENTED TO RECEIVE SUCH MESSAGES AND ANY OTHER RELATED ADMINISTRATIVE TEXT
MESSAGES FROM NATIONAL GENERAL, DIRECT AUTO INSURANCE AND/OR NATIONAL GENERAL CONTROLLED AFFILIATES.
"Administrative text messages" are periodic transactional messages from a particular National General/Direct Auto service, including
but not limited to a "welcome message,” activation instructions, or instructions on how to stop receiving messages. You or your
participating drivers who no longer wish to receive such messages can opt-out of receiving further messages from us at any time by
following the instructions provided. If you no longer wish to receive such messages or participate in the service or application, you
agree that you will opt out through the instructions provided by the applicable program or service. If you have reason to believe that
one of the drivers you listed on your application no longer wishes to receive such messages or participate in the group, you agree to
remove them from the group.
YOU ALSO REPRESENT AND WARRANT TO US THAT YOU AND EACH DRIVER YOU HAVE INSTRUCTED US TO MESSAGE UNDERSTANDS THAT EACH PARTICIPATING
DRIVER IS RESPONSIBLE FOR THE COSTS OF ANY MESSAGE CHARGES ASSESSED BY HIS OR HER MOBILE CARRIER.
SmartDrive Pricing and Discounts
A SmartDrive participation discount will be given to drivers that enroll in the program and maintain the minimum requirements. As
previously mentioned, they have 14 days to complete the enrollment process.
If a driver has 30 consecutive days of inactivity without logging a trip then they may be subject to removal of the participation
discount. Driver can also have the discount removed if they fail to log at least 10 trips in the policy term.
At the first policy renewal after activation, we should have enough data to generate a predictive score which will be used to adjust
your renewal rate to reflect your actual driving experience more accurately. This score will continue on future renewals unless we
elect to collect additional driving data which can be used to develop a new score.
We require at least 30 days of driving experience and approximately 125 trips to collect the appropriate amount of data to obtain a
score to apply at the next renewal. Note that the driving score could potentially add a surcharge to the renewal rate depending on
driving habits, but most often gives a discount.
Surcharge does not apply in MD.
Opting Out of SmartDrive after Enrolling
Participating drivers can opt out of the program entirely within 30 days of signing up for the SmartDrive program. In that event, we
will simply remove the participation discount and not use any data or score generated in that time at the subsequent renewal. After 30
days, drivers are still able to delete the Routely app, but any data collected up to that point will remain available to us for
SmartDrive scoring purposes. If we are able to generate a valid SmartDrive score from the retained data, we may use this score to rate
future policies that the driver may be rated on with us.
SmartDrive Binding Arbitration and Class Action Waiver
Mandatory Arbitration and Class Action Waiver. Instead of suing in court, you and we agree to arbitrate all
Claims (as defined below) on an individual, non-representative, and non-class basis in accordance with the terms of this
Arbitration Agreement (“Arbitration Agreement”). Neither you nor we shall seek the resolution or adjudication of any Claim in
court, other than to compel arbitration as provided below or to confirm, vacate or modify an arbitration award as allowed by law.
YOU AND WE AGREE THAT, BY ENTERING INTO THIS ARBITRATION AGREEMENT, EACH IS WAIVING THE RIGHT TO RELIEF IN COURT, TO TRIAL BY JURY
OR TO PARTICIPATE IN A CLASS ACTION OR REPRESENTATIVE ACTION. SMALL CLAIMS COURT EXCEPTION: AS THE SOLE EXCEPTION TO THIS ARBITRATION
AGREEMENT, YOU AND WE RETAIN THE RIGHT TO PURSUE IN SMALL CLAIMS COURT ON AN INDIVIDUAL, NON-REPRESENTATIVE, AND NON-CLASS BASIS
ANY CLAIM THAT IS WITHIN THAT COURT’S JURISDICTION.
The term “claim” means any and all disputes, claims, demands, and controversies of every kind and whatever nature, arising from, or
in any way concerning the SmartDrive Application, its service, your SmartDrive account, advertising, marketing, communications, your
purchases, or these Terms and Conditions (including the formation, performance, alleged breach, interpretation or validity thereof,
including the determination and the scope or applicability of this agreement to arbitrate), under any legal theory whether arising at
law, in equity, by statute, regulation, ordinance, or otherwise. The term “claim” shall not include any dispute arising under an
insurance policy, except where allowed by law.
This Arbitration Agreement shall survive termination, cancellation, or expiration of the relationship between you and us. You and we
agree that this Arbitration Agreement evidences a transaction in interstate commerce, governed by, and enforceable under, the Federal
Arbitration Act (“FAA”).
THIS ARBITRATION AGREEMENT IS INTENDED TO BE BROADLY INTERPRETED. TO THE EXTENT THAT APPLICABLE LAW BARS THE ENFORCEMENT OF AN
ARBITRATION CLAUSE, THIS ARBITRATION CLAUSE SHALL NOT APPLY.
Notice of Dispute. A party who intends to seek arbitration must first send to the other party, by certified mail,
return receipt requested, a written Notice of Dispute (“Dispute Notice”) to provide an opportunity to resolve the Claim informally
through negotiation. The Dispute Notice to us should be addressed to: Attn: General Counsel, 5630 University Parkway, Winston-Salem,
NC 27105 (the “Notice Address”). The Dispute Notice need to (a) include the party’s contact information (name, address, best way to
make contact; (b) describe the details of the Claim; and (b) describe the specific relief wanted. You and we both agree to try in
good faith to resolve the Claim for no less than 60 days after receiving a Dispute Notice.
Arbitration Procedures. If you and we cannot resolve the Claim within 60 days after receipt of the Dispute Notice,
you or we may commence an arbitration proceeding by filing a demand for arbitration (“Arbitration Demand”) with JAMS. After we receive
notice at the Notice Address that you have commenced arbitration, we will promptly reimburse you for your payment of the standard
filing fee. The arbitration shall be administered by JAMS in accordance with its Comprehensive Arbitration Rules and Procedures then
in effect at the time of the dispute. The JAMS Rules are available at
www.jamsadr.com. The terms of this Arbitration Agreement govern in the event they
conflict with the JAMS Rules. Their neutral arbitrator will have the power to adjudicate all issues and questions concerning his or her
own jurisdiction, authority or power, and on the existence, scope or validity of this Arbitration Agreement; provided however, that the
arbitrator is bound by the terms of this Arbitration Agreement, but he or she has no power inconsistent with Paragraph (5) hereof. If
your Claim, including interest, non-monetary loss, attorneys’ fees, expenses and costs, totals $5,000 or less, we agree that you may opt
to have the hearing conducted solely on the basis of documents submitted to the arbitrator, through a telephonic hearing, or by an
in-person hearing as established by JAMS Rules. If your Claim exceeds $5,000, the right to a hearing will be determined by JAMS Rules.
Unless you and we agree otherwise, any arbitration hearings shall be held in the county (or parish) of your billing address, except that
if the arbitrator determines that such county lacks adequate facilities for an arbitration, he or she may direct that the arbitration
hearing be held at a location with adequate facilities, keeping in mind the goal of holding the hearing near the county of your billing
address. The decision of the arbitrator shall be final and binding and may be enforced in any court of competent jurisdiction.
Attorneys’ Fees and Sanctions. If you prevail in the arbitration and are awarded more than our last settlement
offer before appointment of the arbitrator, we will pay your reasonable attorneys’ fees for investigating and pursuing your claim.
Notwithstanding the foregoing, if you would be entitled to a larger amount of attorneys’ fees or expenses under applicable law, this
Arbitration Agreement does not preclude the arbitrator from awarding you that amount. Except as otherwise provided for herein, we
agree not to seek an award of attorneys' fees in arbitration even if such an award is otherwise available under applicable law. If,
however, the arbitrator finds that your Claim is such that it would warrant sanctions under the standards of Rule 11 of the Federal
Rules of Civil Procedure, then the arbitrator shall have the power to issue an award to us for all monies previously disbursed by
us that otherwise would be your obligation to pay under JAMS Rules and our reasonable attorneys’ fees.
NO CLASS ARBITRATIONS. The arbitrator may award relief only in favor of the individual party seeking relief
and only to the extent necessary to provide relief warranted by that party’s individual Claim.
THERE SHALL BE NO RIGHT OR AUTHORITY FOR ANY CLAIMS TO BE ARBITRATED ON A CLASS-WIDE BASIS. THE ARBITRATOR SHALL NOT HAVE THE
POWER TO ADJUDICATE CLAIMS ON A CLASS-WIDE BASIS, AND YOU AND WE AGREE THAT EACH SHALL BRING CLAIMS AGAINST THE OTHER ONLY IN AN
INDIVIDUAL CAPACITY AND NOT AS A CLASS REPRESENTATIVE OR MEMBER IN ANY PUTATIVE CLASS OR REPRESENTATIVE PROCEEDING. FURTHER, THE
ARBITRATOR SHALL NOT HAVE THE POWER TO CONSOLIDATE MORE THAN ONE PERSON’S CLAIMS OR TO OTHERWISE ADJUDICATE OR PRESIDE OVER ANY
FORM OF A REPRESENTATIVE OR CLASS PROCEEDING.
If all or any portion of this Paragraph (5) is found to be unenforceable, then neither party may be required to arbitrate.
NO CLASS ACTIONS. IF FOR ANY REASON A CLAIM PROCEEDS IN COURT RATHER THAN IN ARBITRATION, AND REGARDLESS OF WHETHER THE
CLAIM IS THE INITIAL CLAIM BEING ASSERTED, A COUNTERCLAIM, OR ANY OTHER COURT PROCEEDING, YOU AND WE AGREE THAT NEITHER WILL
BRING OR REQUEST A CLASS ACTION OR REPRESENTATIVE ACTION. YOU AND WE AGREE TO PURSUE ANY CLAIMS SOLELY ON AN INDIVIDUAL BASIS,
AND WILL NOT LEAD, JOIN OR SERVE AS A MEMBER OF A CLASS OR GROUP OF PERSONS BRINGING SUCH CLAIMS. YOU AND WE AGREE THAT NEITHER
SHALL JOIN A CLAIM WITH THE CLAIM OF ANY OTHER PERSON OR ENTITY, NOR ASSERT A CLAIM IN A REPRESENTATIVE CAPACITY ON BEHALF OF
Must File Within One Year. You and we must file in small claims court or arbitration any claim or dispute
(except intellectual property disputes) within one year from when it first could be filed. Otherwise, it's permanently barred.
Rejecting Future Arbitration Changes. You may reject any change we make to the SmartDrive Binding Arbitration and
Class Action Waiver (except address changes) by sending us notice within 30 days of the change by U.S. Mail to Attn: General Counsel,
5630 University Parkway, Winston-Salem, NC 27105. If you do, the most recent version of SmartDrive Binding Arbitration and Class
Action Waiver before the change you rejected will apply.
Severability. If any clause in this Arbitration Agreement (other than paragraph (5) above or any portion of it)
is found to be illegal or unenforceable, that clause will be severed from this Arbitration Agreement, and the remainder of this
Arbitration Agreement will be given full force and effect.
1 Routely is a separate application that collects and analyzes driver data through its technologies.